Sustainability Report 2023/24

Connecting with our Stakeholders We appreciate the invaluable feedback and suggestions from stakeholders through regular communications and targeted stakeholder engagement exercises during the reporting year. Below are our responses to three major concerns raised by stakeholders this year. SHKP’s operations can have potential impact on local biodiversity. Academia and professional bodies are keen to know how SHKP will preserve biodiversity in its portfolio and raise awareness in the community. Green lease and tenant engagement are key trends in the real estate sector. Customers and tenants are interested in how SHKP will engage its customers and tenants to maintain its competitiveness as a landlord. • Academia and professional bodies • Customers • Tenants SHKP recognizes the critical relationship between its operations and the impact on biodiversity. We are committed to supporting biodiversity through thoughtful project design, operation, active engagement, and education with our stakeholders and the public. To ensure our initiatives are aligned with our environmental goals, we have established a comprehensive Environmental Policy that includes biodiversity considerations, ensuring synergy with our overall environmental commitments. We have conducted in-depth biodiversity assessments to understand the potential impacts of our projects, such as Wetland Seasons Park and Wetland Seasons Bay, PARK YOHO, Sai Sha large-scale residential project and Tung Shing Lei project. At PARK YOHO, we engaged an ecology consultant to monitor biodiversity during the wetland restoration and operational phases. Besides, Hong Yip has standardized the tree-management procedure based on guidelines from the Tree Management Office and the Property Management Services Authority Best Practice Guides. Hong Yip Horticultural Committee will record the location, size, distribution, surrounding environment and potential falling risk index of trees. SHKP acknowledges the growing importance of embedding sustainability elements in our business operations to meet the needs and expectations of our stakeholders. We support the HKSAR Government’s carbon neutrality goals and tenants’ environmental commitments. As part of this effort, we have exchanged a green lease agreement with our first anchor tenant, UBS, at International Gateway Centre in Hong Kong. Both parties are committed to obtaining green certifications and achieving all other green leasing aspirations, where regular investments will also be made to enhance the building’s environmental and wellness performance. To further promote environmental sustainability, SHKP organizes engagement activities and incentive programmes for tenants on ESG issues. For instance, the Metro Green, a rooftop farm in Metroplaza, collaborates with selected restaurants at the mall to use some of the crops to create healthy dishes, and organizes harvesting tours as a unique experience for the members of The Point. We also encourage green activities among residents to reduce consumption of resources and promote recycling. Preserving Biodiversity Sustainability Integration in Business Operations Stakeholder Group Stakeholder Group Our Response Our Response Previously, we developed a scope 3 emissions inventory to track our emissions throughout the value chain. We acknowledge that emissions from ‘downstream leased assets’ are a significant component of this inventory. Therefore, we are committed to fostering collaboration with tenants to develop initiatives aimed at long-term reduction of carbon emissions. For more details, please refer to the Value Created for the Environment section. We also strive to advocate biodiversity through partnerships. Our collaboration with the Hong Kong Wetlands Conservation Association led to the hosting of the Fairyland Wetland EXPO at Park YOHO, where we conducted tours, exhibitions and workshops to promote biodiversity within the community. For more details, please refer to the Value Created for the Environment section. Sun Hung Kai Properties Limited | Sustainability Report 2023/24 < 14 > Our Reporting Approach Message from the Sustainability Steering Committee Our Business Our Approach to Sustainability Value Created for the Environment Value Created for People Value Created for Customers Value Created for Supply Chain Value Created for Community Appendices