Goodman’s sustainability programme is strategically aligned with our business activities and reflects our focus on creating long-term sustainable value for our key stakeholders, including customers and investors.

Sustainability is shaping the way Goodman conducts its business. Changing business dynamics including energy and carbon regulation, rising energy costs, disclosure obligations and investor demand are influencing the way we develop and manage properties, and engage with our stakeholders. These changes are also presenting real opportunities for Goodman to improve its business.

Sustainability highlights for the 2012 financial year include:

  • certified green development projects in Australia, Hong Kong, Continental Europe and the United Kingdom (UK);
  • energy upgrade projects completed in Australia, New Zealand, Hong Kong and the UK;
  • development of the Goodman Logistics Sustainability Benchmark;
  • 0.5 star increase in our National Australian Built Environment Rating System (NABERS) energy rating average across the Australian commercial portfolio; and
  • submissions to the Carbon Disclosure Project and Global Real Estate Sustainability Benchmark.

Our approach

During the year, we continued to embed our sustainability strategy across Goodman’s global operations, implementing new initiatives in some regions, while improving performance in others.

Our strategy encompasses six programme areas, comprising:

  • Sustainable Development;
  • Asset Management;
  • Engagement and Reporting;
  • Compliance;
  • Corporate Performance; and
  • Social.

Australian greenhouse gas emissions

Goodman’s greenhouse gas emissions (GHG) for 2012 have been calculated as 48,536.04 kgC02-e across our Australian operations. This represents a 35% increase of our absolute emissions from 2011, which is largely attributable to the inclusion of Goodman Trust Australia in the 2012 calculation.

Our GHG calculation includes scope 1 (refrigerants, petrol, diesel and gas) and scope 2 (purchased electricity) emissions generated from Goodman’s Australian property and building management services, comprising assets owned directly by Goodman and those within our Australian managed funds. It does not include the GHG emissions of our customers.

Goodman’s Australian carbon emissions
Refrigerants 0.2%
Petrols 0.3%
Diesel 1.5%
Gas 3%
Electricity 95%

Improving performance

Goodman manages approximately $20 billion of property assets globally, with the efficient operation of our assets key to the overall performance of the Group. Improving the performance of Goodman’s assets remains a core part of the property services we provide globally. We take a lifecycle approach to asset management as we consider performance across a building’s development, commissioning, operational and redevelopment phases.

During FY2012, we completed a number of initiatives to improve asset performance in our operations around the world.

Star increase in our
NABERS energy average


In Australia, the management of, and capital investment in, our assets during the year contributed to a 0.5 star increase in our NABERS energy average across the commercial portfolio. We are nearing completion of the second stage of our smart metering rollout to improve monitoring. Three major energy improvement projects were completed under the Federal Government’s Green Building Fund, and five separate lighting upgrade projects were also completed, with further projects budgeted for FY2013.

In Hong Kong, our Property Services team completed several LED and T5 fluorescent lighting upgrades during the year, further improving energy efficiency across the portfolio. Several water saving initiatives were also implemented, mainly during recent tenancy and building upgrade projects.

Our Property Services team in New Zealand was able to reduce energy consumption by approximately 15% at the Vodafone building in Auckland as a result of a major upgrade of the building management system. The team is also implementing a new portfolio energy and carbon reporting system to streamline its monitoring, reporting and energy billing procedures.

In the UK, a range of energy upgrade projects have been completed including the installation of smart meters across the portfolio. A major energy upgrade to the Unilever building at Colworth Science Park was also completed, reducing the building’s carbon output by approximately 789 tonnes, or [x]%. The upgrade included a new building management system, controls upgrade and installation of variable speed drives. Other projects across the UK portfolio included building management system upgrades, the installation of new efficient chillers and several lighting upgrades.

In Continental Europe, sustainability benchmarking was completed on 99% of the logistics portfolio. The aim of the benchmark is to identify performance trends and improvement opportunities, such as the LED lighting solution being trialled at one of our assets in the Netherlands. We have also increased the number of leases which facilitate closer collaboration with our customers to improve the sustainability performance of their tenancies.

Goodman Logistics Sustainability Benchmark

Defining an appropriate benchmark for logistics assets remains a priority for Goodman. Distinguishing between the performance of an asset and the activities of the customer is important to produce a comparable benchmark between assets.

During the year, Goodman developed the Goodman Logistics Sustainability Benchmark to address this complex issue and has commenced the assessment of our European assets against this benchmark. The outcomes of the

assessment allow our Property Services teams to identify performance trends and improvement opportunities focusing on the physical attributes of the relevant asset. The primary focus areas of our benchmark include lighting, heating, cooling, ventilation, insulation and monitoring.

Sustainable development

Goodman’s Development teams globally continue to seek opportunities to incorporate sustainable design initiatives and innovations into our developments. Our approach is to work closely with our customers during the design phase to evaluate design options, taking into consideration operational performance and financial benefits over the long term.

Our UK Business Parks team has made the commitment that all new development will be designed to the BREEAM “Very Good” standard. Two developments that achieved this certification during the period were the new Greater Manchester Police divisional headquarters, Manchester and the Innovation and Discovery Centre, Colworth Science Park.

Across Continental Europe, Goodman achieved four certified design ratings for new developments during the 2012 financial year, including BREEAM ratings across Continental Europe, and specific ratings sought under the DGNB (German Sustainable Building Council) system in Germany, and HQE (High Environmental Quality) system in France. We currently have a further nine design ratings in progress in Germany under the DGNB programme.

Amazon Distribution Centre Rheinberg, Germany
108,000 sqm logistics facility

  • Targeting DGNB Silver;
  • Energy efficient T5 fluorescent lighting;
  • Natural lighting through additional skylights and vertical windows;
  • Additional insulation in walls;
  • Insulated dark tube radiator heating system;
  • Building management system;
  • Extensive electrical metering; and
  • Bicycle facilities.

Greater Manchester Police Divisional Headquarters, UK
9,160 sqm office and custody facility

  • Achieved BREEAM Excellent rating and won the British Council of Offices North award for ‘Best Corporate Workplace’;
  • Combined heat and power plant and geothermal heat pump system;
  • Photovoltaic system;
  • Smart metering system;
  • Rainwater harvesting;
  • Energy efficient T5 fluorescent lighting; and
  • Bicycle facilities and green travel plan.

Our recently completed Goodman Interlink development in Hong Kong set a new standard for green logistics development in the region, achieving a gold rating under the HK BEAM scheme and certification under the US LEED programme. Recent developments in China, such as Goodman’s 43,000 sqm Pudong International Airport Logistics Park in Shanghai, incorporate a number of comparable features, including efficient lighting, increased natural lighting, natural ventilation and extensive energy metering.

In Australia, Goodman has received official certification for three developments under the Green Star Industrial v1 rating tool. This includes the 82,015 sqm Metcash NSW Distribution Centre which is the largest project certified under this tool. We currently have a further three developments registered for certification under the Green Star Office v3 rating.

Sydney head office

Goodman moved into its new Sydney head office in September 2011. Energy efficiency was a key focus in the fit out design, which included efficient LED and T5 lighting, movement sensors and daylight harvesting, whilst shifting towards a paperless office.

Since moving into our new office, we have reduced power consumption by approximately 46% and paper consumption by approximately 53%.


In FY2011, Goodman established a Diversity Policy which aims to provide a work environment in all locations around the world where diversity and inclusion are valued.

Goodman has made considerable progress on many of the diversity initiatives outlined in FY2011, which have related principally to gender diversity as this element has been identified as a key focus area for the Group.

The two programmes launched in FY2011 with a gender diversity focus were successfully continued out in FY2012:

  • The Future+Women programme is open to all female employees and is designed to provide insight and development specifically on career development, career negotiations, increasing visibility and increasing effectiveness at work. In FY2012, 15 women from all levels of the Group have been regular attendees in the Future+Women programme. It is anticipated that the Future+Women programme will continue through FY2013 and will be exported to overseas locations.
  • The Group’s middle management leadership development programme, known as Good+Future, continued in FY2012 with four programmes conducted, consisting of 32 participants in total of which 37% were female. The programme is aimed at high potential mid-level managers who would benefit from specific leadership development around team management, effective communication, strategic thinking, conflict resolution and presentation skills.

Other diversity initiatives undertaken during the year include the introduction of the Group’s Flexible Work Policy; the launch of the Goodman Values campaign, which embodies elements of inclusiveness, respectful behaviour and mutual tolerance; and a new mentoring scheme to provide all employees with the opportunity to gain insight from senior management on work related matters.

The Goodman Foundation

The Goodman Foundation supports the needs of the underprivileged in our community as well as providing support to our communities in times of need. Its focus is on social change and improving the standard of living or the health of our community by providing practical assistance through the distribution of cash, volunteering, workplace giving and in-kind programmes with long- term partnerships.

The successful implementation of the Goodman Foundation’s strategy in FY2012 has resulted in the expansion of its activities into Greater China, New Zealand and the UK through the development of new partnerships including Benji’s Centre, Duffy Books in Homes and Wooden Spoon in these countries respectively. Partnerships across Continental Europe are being finalised for implementation in FY2013.

During FY2012, new partnerships were created and existing ones further developed to help make a significant difference to the communities in which Goodman operates. A number of selected charities were supported by Goodman during FY2012 including:

  • OzHarvest
  • Good Beginnings Australia
  • Yalari
  • TNC Inc
  • MS Australia
  • NCIE (National Centre of Indigenous Excellence) + Property Industry Foundation (PIF)
  • Black Dog Institute
  • Cancer Council Australia
  • Clown Doctors
  • Development Education Association (EDA)
  • Kids Under Cover
  • Duffy Books in Homes (New Zealand)
  • Benji’s Centre (Hong Kong)
  • Wooden Spoon (UK)
  • Chinese Red Cross Foundation (China)
  • Fu Hong Society (Hong Kong)

“The five vehicles Goodman has funded for Good Beginnings have had an amazing impact over the past 12 months and we thank Goodman for making a major difference to children and families across Australia.”

Jayne Meyer Tucker
CEO, Good Beginnings Australia

The Goodman Foundation also conducts two employee focused programmes called Good+Deeds and Good+Heart, which allow Goodman employees to contribute through a range of volunteering and fundraising activities to several charitable organisations.

More information on Sustainability, our Diversity Policy and initiatives and the Goodman Foundation is available in the Corporate Social Responsibility section in Goodman’s 2012 Financial Report or the Goodman website at