Manulife US REIT - Sustainability Report 2018

Sustainability Focus Area Business Case Environmental and Societal Benefits Sustainable Properties • Reduce operating costs by encouraging eco- efficiency and using fewer resources • Meet increasing tenant demand for sustainable and health and wellness oriented real estate products and services • Less pressure on natural resources such as natural gas and water • Lower GHG emissions • Healthier workspaces and more satisfied tenants Stakeholder Engagement Investment Community • Respond to the needs of the financial community through meetings, seminars and thought- leadership programmes • Communicate our business strategy to increase confidence in MUST Tenant Community • Foster stronger relations with the tenants through various activities Local Community • Understand local community’s needs and how MUST can optimise community involvement • Share information and educate financial community • Improve financial stability • Effective communication • Higher tenant satisfaction Human Capital • Recruit self-motivated, dynamic talents who bring sound ideas and good decision-making process to steer MUST in the right direction • Gain and retain individuals whose ideologies and values align with those of MUST in order to provide the quality of service that is expected • Provide first-rate job opportunities for the local talent market • Provide skilled jobs which contribute to the local socio-economic setting Ethical Corporate Behavior • Mitigate financial, operational and reputational risks associated with non-compliance • Give stakeholders comfort that MUST is well- governed and well-managed • Engage in advancing public policy discussion that promotes environmental and social improvements MUST operates in an ESG aware world, where business activities cannot be isolated from their external impacts. For example, office buildings are known to emit substantial GHG emissions through the use of energy, such as electricity, a fact that both ourselves and our tenants are aware of. By addressing sustainability or ESG, we not only minimise environmental and social impacts and maximise environmental and social benefits, we also reduce costs, capture demand for sustainable products, meet stakeholders’ expectations and minimise risks. We addressed this issue by increasing the eco- efficiency of our assets and have the double benefit of reducing our impact on the environment, as well as reducing building costs whilst improving building quality. The identification and development of the business case in order to create the sustainability benefits are summarised below: MANULIFE US REIT 61 SUSTAINABILITYAPPROACH