Sustainability-related disclosures

We are committed to responsible investment

As an asset manager with over 40 years of experience in the real estate sector, the HANNOVER LEASING Group adheres to the United Nations Principles for Responsible Investment (^UNPRI1):

Responsible investing is an approach to investing that aims to incorporate environmental, social, and governance (ESG) factors into investment decisions in order to achieve better risk management and sustainable, long-term returns.

Sustainable and profitable business relationships are a key component of the HANNOVER LEASING Group's success. The Group fulfills its responsibility towards the environment, society, all stakeholders and employees through a long-term, clearly defined ESG strategy that is not only anchored in operations but also integrated into the investment cycle.

In dialog with investors, HL will ensure compliance with high standards of ESG management, including through: 

• The performance of ESG due diligence checks on new acquisitions.
• The formalization of ESG action plans for managed assets. This includes analyzing the technical conditions of buildings and creating a long-term modernization plan (technical and financial) to achieve climate targets.
• The consideration of ESG criteria in new construction or modernization measures.
• Regular reporting on the ESG performance of the respective properties or portfolios.

This is intended to promote responsible investing in cooperation with investors. In line with political guidelines, the overarching goal is to achieve climate neutrality for managed assets by 2050. The Hannover Leasing Group has set itself the goal of achieving climate neutrality by 2040.

In 2022, the ESG due diligence process for new real estate acquisitions was established. As part of this due diligence process, physical climate risks from extreme weather events and transition risks from external partners are identified for each new acquisition. This allows the compatibility of a building's performance in various scenarios with the EU's Green Deal target, i.e., achieving_{carbon neutrality} by 2050 at the latest, to be analyzed. In addition to evaluating new acquisitions, regular ESG due diligence reviews are also carried out for existing assets, if requested by investors, in order to prioritize any necessary improvements and modernizations.

The overarching ESG investment strategy is based on EU supervisory standards for sustainable products, including the Sustainable Financial Disclosure Regulation (SFDR) and the EU taxonomy. This enabled the launch of the fourth AIF in 2025 that complies with the requirements of Article 8 SFDR. In addition, institutional investors are investing in two special funds of HANNOVER LEASING Investment, which manage properties in their portfolio in accordance with Article 8 SFDR. The ESG investment strategy is reviewed regularly.

The HANNOVER LEASING Group maintains a corporate organization that provides functional support for the consideration of sustainability risks and compliance with processes.

Employees are a key factor in achieving the ESG targets that have been set. Almost every department is involved in ESG issues. Employees therefore receive regular training on this topic.

Responsibility for business and risk strategy, including with regard to sustainability risks, lies with the management of HANNOVER LEASING. The management team receives technical support on the subject of sustainability risks from the risk management and compliance departments. The position of ESG manager was created and filled in this department in 2025.

¹ UN Principles for Responsible Investment