Ventas has organized its ESG strategy across three key pillars – People, Performance, Planet – and has set SMART (Specific, Measurable, Achievable, Relevant and Time-Bound) goals against each of these topics. The goals are closely aligned to the United Nations Sustainable Development Goals (UN SDGs). We have identified nine SDGs where we can make the most impact.
Starting with our priority ESG topics, we reviewed sustainability goals of our peers, partners, and ESG high-performers, and benchmarked our current practices against them to identify areas for improvement. We mapped findings on a maturity continuum and worked with internal Subject Matter Experts (SMEs) to build a portfolio of goals that align Ventas’s sustainability and business strategies.
Goals and Achievements
|STATUS KEY:||ACHIEVED||ON TRACK/PARTIALLY ACHIEVED||BELOW TARGET|
|TALENT ATTRACTION AND RETENTION||Overall employee engagement in top half of peer benchmark||Employee Engagement in 59th percentile of peer benchmark in 20211 ; 91% participation in 2021|
|Provide an employee medical health benefits package that exceeds a national cross-industry benchmark||Our medical health benefits package exceeded the peer benchmark by 48% in 2020 and 36% in 2021|
|Minimum wage of $17/hour for full-time employees by 2024||As of 12/31/2021, 99.1% of employees earned at least $17/hour|
|Annual goal of 0 lost time incidents for employees||Two lost time incidents in 2021; one to-date in 2022 (as of 8/1/2022)|
|DIVERSITY, EQUITY AND INCLUSION||Employee gender balance (50% female: 50% male) across organization (+/- 5%)||Our 2021 employee gender ratio was 47% female: 53% male; as of 6/30/2022 our employee gender ratio is 46% female: 54% male|
|Maintain or exceed 30% women on our Board of Directors||As of 12/31/2021, our board was 36% female; as of 6/30/2022 our board remains 36% female|
|Achieve 25% female representation among Ventas Leadership by 20232||As of 12/31/2021, our leadership was 32% female; as of 6/30/2022 our leadership is 31% female|
|TENANT, RESIDENT AND OPERATOR SATISFACTION||Achieve MOB overall tenant satisfaction above peer benchmark (Kingsley Index) and at least 1% annual increase||Our MOB tenant satisfaction survey results exceeded the Kingsley benchmark and increased by 1% in 2021|
|Achieve Life Science, R&I overall tenant satisfaction above peer benchmark (Kingsley Index) and at least 1% annual increase||Our Life Science, R&I tenant satisfaction survey results exceeded the Kingsley benchmark, but decreased by 2% in 2021|
|Derive at least 80% of Seniors Housing NOI from tenants/operators that conduct resident satisfaction surveys||As of 6/30/2022, 94% of our Senior Housing NOI3 was derived from tenants/operators that conduct resident satisfaction surveys|
|100% of NNN segment NOI from agreements requiring compliance with applicable health and safety laws||As of 6/30/2022, 100% of our NNN NOI3 was from agreements requiring compliance with health and safety laws|
|RESPONSIBLE INVESTMENT||Achieve LEED Silver or better on 100% of new R&I developments||As of 6/30/2022, 100% of our R&I developments are on track to achieve LEED Silver or better|
|Evaluate the cost and feasibility of LEED or equivalent for all new developments||As of 6/30/2022, 100% of our new developments have been evaluated for LEED cost and feasibility|
|CLIMATE CHANGE||Less than 10% of annual NOI from properties in high risk areas (FEMA Zone A)||As of 6/30/2022, 4% of our NOI3,4 was from properties in high flood risk zones|
|100% of non-NNN leased assets have emergency plans in place||As of 6/30/2022, 100% of our non-NNN assets have emergency plans in place|
|Develop a net-zero carbon emissions goal and implementation strategy by 2022||In March 2022, Ventas announced a goal to achieve net-zero operational carbon (scopes 1 and 2) by 2040, including a three-pronged strategy to achieve|
|ENVIRONMENT||GHG Emissions: Reduce Scopes 1, 2 and 3 emissions on an absolute basis by 30% by 2030 (2.5% annually); Scope 1 and 2 goal is validated by the Science Based Targets initiative||Since 2018, we have reduced our total Scope 1 and Scope 2 emissions by 16.3% and Scope 3 emissions by 3.2% (flat and a 1.5% reduction from 2020, respectively)5, 6|
|Energy: Reduce intensity (MWh/1,000 SF) for properties in our environmental control boundary by 20% over 10 years (2% annually)||Since 2018, we have reduced the energy intensity of properties within our environmental boundary by 21.5%, achieving our 10-year goal 6 years early5|
|Water: Reduce intensity (cubic meters/1,000 SF) for properties in our environmental control boundary by 20% over 10 years (2% annually)||Since 2018, we have reduced the water intensity of properties within our environmental boundary by 3.0%5|
|Waste: recycling programs at 100% of assets within our environmental control boundary by 2028||At the end of 2021, we had recycling services available at 49% of properties within our environmental boundary|
- In 2021 we transitioned administration of our employee engagement survey from Gartner to Gallup, resulting in a different methodology for measuring employee engagement and a different benchmark
- Leadership defined at Ventas as VP-level and above, including Executive Officers
- Trailing Twelve Months of NOI through 6/30/2022
- Denominator excludes 2.8% of NOI where flood zone is unmapped or unavailable.
- Emissions, energy, and water data are time-weighted by property for the period of ownership.
- 2020 scope 3 emissions have been adjusted due to changes in our estimation methodologies.