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The new green building taskforce aligns directly with the UN SDG #17: Sustainable Cities and Communities as this group within Regency will seek to ensure the developments they design do not create urban pollution while adding more square footage dedicated to public usage.
The Green Building Task Force is an organized effort put together by Regency Center’s upper management first launched in 2007. It is made up of representatives from different disciplines like construction, leasing & investments within the company to determine what “Green Building” and upholding sustainable business practices should look like. Almost 15 years later, this task force was revitalized to tackle the new environmental challenges that Regency Centers is currently facing in their new developments and existing centers.
The company now prioritizes the certification from LEED, a third-party non-profit that analyzes the environmental impact of a given property and assigns it a silver, gold, and platinum rating. These ratings are universally recognized within the space of retail development as many competitors are also seeking high ratings. Regency’s Green Building Task Force works diligently to ensure their spaces adhere to the LEED guidelines and minimize the net environmental impact of their developments. The task force has been able to certify 1.2 million square-feet of retail space and has its sights on increasing that number to 4 million by the end of 2028. This innovation has proved to be integral to the success of Regency Center’s commitment to UN SDG #11, sustainable cities and communities, and their impact will continue to be felt in shopping centers across America.
Mark Peternell, currently the Vice president of Sustainability for Regency Centers, was fueled by his passion and available opportunities for innovation in the real estate and environment space. Born and raised in Tenessee, Mark had always been a big outdoors guy, he often went camping and skiing with his family to satisfy his love for the outdoors. After studying in environmental studies, Mark found himself stepping away from that path. However, he was inspired to pursue an “MBA with the goal of kind of merging those pieces together, [business, real estate, and environmental studies.]” Mark mentioned that 25 years ago, the concept of sustainability was there, but sustainability and real estate “was just an emerging concept.” With commercial and residential real estate being responsible for more than "20% of the greenhouse gas emissions," he saw an obvious opportunity for the built environment to do better. He was motivated to "merge those pieces together" to help "mitigate the environmental impact while also improving the bottom line.” Not long after that, he found himself connected with people from Regency Centers. The company was rooted deep in the mission of real estate sustainability. His job title was created during the time where there wasn’t a standard of operation for sustainability especially in the retail real estate space. The company was following the LEEDS guideline, but it was really specific for office commercial buildings, where he saw that it didn’t fully align with what the company was doing. Hence, he thought that it was a perfect opportunity to develop the Green Building Program and champion the energy procurement strategy for the company. With the Green Building Program, Mark was able to focus on implementing programs and policies to achieve sustainable objectives including reducing greenhouse gas emissions, conserving water, increasing waste diversion, and executing energy efficiency and renewable energy projects.
Regency Centers Green Building Certification Program has aligned with the global sustainability goals and resulted in a significant impact. In the short term, the program has led to 15 assets that are LEED Certified covering over 1.4 million square feet. These certifications enhance Regency's reputation, which attracts environmentally conscious investors and increases demand for said properties. This program aligns with SDG 11 (Sustainable cities and communities) by promoting sustainable development and ensuring efficient use of materials. Through issuances of green bonds, Regency has also demonstrated how financial innovation can support progress for environmental issues which creates long term value for investors.
This program directly reduces greenhouse gas emissions and construction waste while conserving water. By integrating renewable energy and energy-efficient options, Regency is actively mitigating its own carbon footprint while helping advance SDG 13 (Climate Action). Regency's program highlights their effort in addressing global environmental challenges in the real estate industry.
Looking ahead, Regency aims to continue to expand the Green Building Program. Their goal is to increase the number of certified buildings and continue to refine the framework used to address the challenges that arise. Their commitment to the environmental, social & governance (ESG) goals ensures that they will continue to scale their impact on a company level while also ensuring continued future impact. Regency has positioned themselves as a leader in sustainable development for years to come.
In 2007, Regency made sustainability one of the cornerstones of its business strategy. This was far before sustainability had become as prevalent in the public eye as it is today. As a result, they have seen massive benefits from this strategic initiative. Their adoption of green building certifications from 3rd party organizations like LEED, as well as creating new sustainability initiatives like their Green Bonds have made Regency an incredibly attractive investment for investors with an eco-focus. These innovations have given Regency access to new markets of investors interested in environmentally minded projects, which has helped to increase demand for their projects and properties. Regency’s reputation since committing to sustainable development has risen exponentially in the eyes of its stakeholders, confirming that they have become a leader in green real estate development. Their focus on stakeholder value has greatly improved customer loyalty and trust from investors, both of which are integral in a competitive real estate market, especially now that environmental accountability is becoming increasingly important.
On Regency's operation front, sustainability has shown to be incredibly financially beneficial. The integration of renewable energy installments in their properties, particularly solar, has provided massive returns for Regency and its customers. In states like California, where both the local environment and local incentives greatly benefit the use of solar power, their sustainability investments have paid off tremendously. Through this, they have effectively reduced operating costs while also increasing the value of their assets at the same time. Their solar and other sustainability programs have added an estimated $100 million in value to company projects. By making sustainability one of the core components of its strategy, Regency has placed itself in a fantastic position to continue to find success well into the future, combining profitability and environmental stewardship has ensured that it will remain competitive in the market while still benefiting the environment and society.
Regency's sustainability initiatives are an excellent example of how to match corporate objectives with global objectives, especially Sustainable Cities and Communities (SDG) #11 of the UN. In addition to addressing the environmental impact of real estate, they are constructing spaces that better serve communities by emphasizing green building initiatives and eco-friendly design. Regency is able to lower emissions, promote renewable energy, and make sure their developments are durable and resilient over the long run thanks to programs like solar energy installations and green bonds.
Socially, by increasing awareness and encouraging the real estate sector to switch to more sustainable practices, these initiatives support SDG #13: Climate Action. Regency's dedication to obtaining certifications such as LEED guarantees that its efforts are genuine and significant, preventing greenwashing and encouraging public and investor trust. They are demonstrating how companies may grow while making significant contributions to global sustainability by giving priority to projects that lower pollution and increase energy efficiency.
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Mark Peternell, VP of Sustainability
Mark Peternell, VP of Sustainability
Regency Centers is a publicly traded REIT that owns, operates, and develops grocery-anchored retail centers across the country. Though the company has numerous innovations that support all stakeholders, the company most recently launched a new green building task force to reignite Regency's Green Building Certification Program and green building task force. The goal of this initiative is to continue to advocate for more formal certification structures, including those under Leadership in Energy & Environmental Design (LEED). Regency Centers claims this will ensure their construction projects align with their sustainability goals and industry best practices. To date, Regency Centers has developed 15 LEED-certified assets totaling 1.4 million square feet.