Asset Plus Climate Statements

NZX RELEASE
31 July 2024

Asset Plus Climate Statements

Asset Plus Limited (NZX: APL) is pleased to provide a copy of its climate statements for the 12 months
ending 31 March 2024.

The climate statements reflect Asset Plus' first year of reporting under the Aotearoa New Zealand
Climate Standards issued by the External Reporting Board (XRB).

A copy of the climate statements is attached and are also available at
https://assetplusnz.co.nz/company-document/

-ENDS-

---

Asset Plus Limited
Climate Statements
For the period ending 31 March 2024

Contents
Introduction 4
Governance 6
Strategy
8
Risk management
2
0
Metrics and targets
22
32
Asset Plus Limited Climate StatementsAsset Plus Limited Climate Statements

5
Introduction
Welcome to this report
Asset Plus is an NZX listed property owner which is externally managed by Centuria
Funds Management (NZ) Limited (Centuria NZ) which is a part of the Centuria Capital
Group (Centuria ). Centuria NZ reports to the Asset Plus Board and provides shared
service functions. Centuria are also the largest shareholder in Asset Plus, with a 19.99%
stake in the company ensuring a vested interest in the performance of the company,
and alignment of interest between management and shareholders.
Asset Plus' key asset is the Munroe Lane property (Munroe Lane) which it recently
developed, with its other asset, 35 Graham Street, unconditionally sold and settling
on 29 November 2024. Munroe Lane was designed and built with a number of
sustainability initiatives as part of the development including:
•

5-star Gr
een Star design rating obtained for the development.
•
5-star Green Star As Built rating currently being applied for. This is estimated to be
approximately 60-65% more efficient than a non-Green Star rated building and is
estimated to reduce emissions;
•

tar
geting a 5-star NABERSNZ energy rating – expected to be issued shortly
following building operating for 12 months;
• all steel waste f rom site has been 100% recycled;
•

81.
7% of the total construction waste has been diverted f rom landfill against a
target 70.0%;
•

80% of th
e sheet piles (equating to 250 tonnes of material) have been reused f rom
gold mines in the South Island; and
•

all mat
erials excavated f rom site have been tested and cleared of contaminants
and repurposed as bulk fill materials for other sites within the area.
Asset Plus confirms that these climate statements comply with the Aotearoa
New Zealand Climate Standards.
Adoption provisions
In preparing these climate statements, Asset Plus has elected to use the following
adoption provisions:
•
1 and 2, which exempt Asset Plus f rom required disclosures on current and
anticipated financial impacts for Asset Plus
•
3, which exempts Asset Plus f rom required disclosures regarding the transition
planning aspects of its strategy
•
4, which exempts Asset Plus f rom disclosing scope 3 Greenhouse Gas (GHG)
emissions in respect of Asset Plus
•

6 an
d 7, which exempt Asset Plus f rom disclosing two years of comparative
information for metrics and an analysis of trends evident f rom this comparison.
When reviewing these Climate Statements, readers should consider the important
disclaimer on page 25. These Climate Statements are based on Asset Plus’ current
assessment of climate-related risks and opportunities, and contain forward-looking
statements which are subject to risks, uncertainties and assumptions. These forward-
looking statements should not be relied upon as an indication or guarantee of future
performance.
4
Asset Plus Limited Climate Statements IntroductionIntroduction Asset Plus Limited Climate Statements

7
Governance
Objective: To enable primary users to understand both the role Asset Plus’ governance
body plays in overseeing climate-related risks and climate-related opportunities, and
the role management plays in assessing and managing those climate-related risks and
opportunities.
Board oversight
The Board of Asset Plus (Board), which meets at least six times a year, is ultimately responsible for overseeing
climate-related risks and opportunities in respect of Asset Plus.
Ahead of each meeting, the Board receives a report on each of Asset Plus’ properties that communicates
material risks identified by management relating to those properties as well as providing commentary on the
management of material risks. In FY24, no specific climate-related risks were reported to the Board as no short
to medium term material risks were identified. Centuria NZ, as manager, is required to continue to monitor
climate-related risks and opportunities, and to include updates, where identified and considered to be material
by management, in all reporting to the Board.
The Board is supported by an Audit and Risk Committee (ARC), on which three directors sit. The ARC meets at
least three times a year to, amongst other things, review all material risks across Asset Plus (including any climate-
related risks identified), and consider the mitigation strategies for management of those risks.
As Asset Plus has previously announced, its current strategy reflects that, following settlement of the sale of 35
Graham Street in late November 2024, its remaining real estate asset is its Munroe Lane property. As a result, its
strategy focuses on leasing the balance of Munroe Lane, with a sale of Munroe Lane to be considered following
such leasing. Climate related risks and opportunities are therefore not currently a material consideration in
setting its strategy.
To ensure the Board has access to the appropriate skills and competencies to oversee climate-related risks and
opportunities, internal expertise (such as Centuria’s Sustainability Team) and external specialists (such as climate
consultants) are available as required.
Asset Plus has no employees as Centuria NZ is the manager. Therefore, there are no performance metrics
incorporated into remuneration policies. The management fees paid to Centuria NZ under the management
agreement between Asset Plus and Centuria NZ do not incorporate any performance metrics regarding climate
risks or opportunities.
The role of the manager
In FY24, Centuria NZ's management
team was involved in the identification
of the Centuria climate-related risks and
opportunities across three climate-related
scenarios.
This was done through a risk and opportunity workshop
(see page 12 for details) facilitated by Centuria’s Group
Manager of Sustainability, in conjunction with an
external specialist consultant. Members of Centuria NZ’s
Asset Plus management team were actively involved in
this process.
Centuria NZ’s Asset Plus management team meets with
the Board at least six times a year and additionally as
required.
Each month Centuria NZ’s Asset Plus Steering
Committee meets to discuss key issues and risks relating
to Asset Plus. The Asset Plus Steering Committee is
attended by employees of Centuria NZ responsible for
managing Asset Plus, including its dedicated Fund
Manager, the Centuria NZ Chief Operating Officer (who
is responsible for financial matters for Asset Plus) and
Centuria NZ’s General Counsel and Company Secretary
as well as other key staff f rom Centuria NZ who are
involved in the management of Asset Plus. Any climate
related risks and opportunities identified are discussed
at this Steering Committee.
In addition, the Centuria NZ SMT and the asset
management team meet monthly, providing another
routine forum to monitor asset specific climate-related
risks and opportunities.
Asset Plus Limited Board of
Directors
Audit and Risk Committee
Centuria NZ's management
team for Asset Plus
Centuria NZ CEO, Centuria NZ's
Asset Plus Fund Manager and
Centuria NZ COO
Centuria NZ's Asset Plus
Steering Committee
Meetings attended by key Centuria
staff involved with the management
of Asset Plus to discuss key matters
relating to Asset Plus, including
climate-related risks and opportunities
6
Asset Plus Limited Climate Statements GovernanceGovernance Asset Plus Limited Climate Statements

9
Strategy
Objective: To enable primary users to
understand how climate change is currently
impacting Asset Plus and how it may do so in
the future. This includes the scenario analysis
Asset Plus has undertaken, the climate-
related risks and opportunities identified, the
anticipated impacts and financial impacts of
these, and how Asset Plus will be positioned as
the global and domestic economy transitions
towards a low-emissions, climate-resilient
future.
Scenario planning
In FY24, Centuria NZ undertook work to identify Asset Plus’
climate-related risks and opportunities against three future
climate scenarios. The scenario planning approach, guided
by the International Financial Reporting Standards (IFRS)
and TCFD recommendations as shown below, entailed the
creation of three future climate scenarios. These scenarios
served as a foundation for identifying climate-related risks
and opportunities, assessing impacts on Asset Plus, and
shaping these disclosures.
Asset Plus acknowledges the uncertainty and limitations
involved in using future climate scenarios and their climate-
related impacts. The uncertainty may impact Asset Plus’
projections and risk and opportunity identification. Asset
Plus aims to update its scenarios when new, materially
significant content becomes available, such as the release of
the next iteration of the IPCC Assessment Report.
Asset Plus' scenario
analysis approach (guided
by the IFRS and TCFD
recommendations)
Asset Plus has adopted the
climate scenarios used by
Centuria and Centuria NZ as part
of the scenario analysis process.
1.
Ensure
governance
is in place.
2.
Assess
materiality of
climate-related
risks.
3.
Identify and
define range
of scenarios.
4.
Evaluate business
impacts.
5.
Indentify potential
responses.
6.
Document
and disclose.
What is scenario analysis?
A process for identifying and
assessing a potential range of
outcomes of future events under
conditions of uncertainty.
Our process between step 3 and 4 is:
1. Seek to assess how the world could possibly
change by 2050.
Assess how the world could potentially change by
2050 based on the three Asset Plus future climate
scenarios: Sustainability 1.5°C; Middle of the road
2-3°C; Regional rivalry >3°C.
2. What risks and opportunities might arise
between now and 2050?
Centuria’s business leaders and management
identified the risks and opportunities that might
arise between now and 2050 for the three climate
scenarios, including those which might appear
before 2030.
3. Determine Centuria’s climate-related risks and
opportunities
Approximately 450 climate-related risks and
opportunities identified in the risk and opportunity
workshop were synthesised into Centuria's climate-
related exposures. The climate-related exposures were
used to assess the potential business impact of the
relevant risks and opportunities for Asset Plus.
8
Asset Plus Limited Climate Statements StrategyStrategy Asset Plus Limited Climate Statements

11
Sustainability
1.5°C | SSP1-RCP1.9
Middle of the road
2-3°C | SSP2-RCP4.5
Regional rivalry
>3°C | SSP3-RCP7.0
Society-driven changes result
in reduced consumption and
rapid decarbonisation, a greater
focus on wellbeing, improved
nature outcomes and higher
ESG expectations for companies
and governments. The worst
impacts of climate change are
avoided, although extreme
weather events are more
common compared to what we
experience today.
Continuation of current
socio-economic trends and
economic growth, along with
rapid
decarbonisation of the
economy. There is a clear
national policy context, a
price on carbon, and high ESG
expectations for corporates. As
temperatures rise, the severity
of climate change impacts from
weather events continue to
increase.
Breakdown in global
collaboration towards climate
change results in protectionism,
inequality and breakdowns in
global supply chains. Extreme
weather events become more
frequent and severe which,
along with a growing global
population, place intense
pressure on energy, food and
natural resources.
2100 temperature changeLess than 1.5°C2-3°CMore than 3°C
IPCC scenarioSSP1-RCP1.9SSP2-RCP4.5SSP3-RCP7.0
Peak emissions year202520302075
Net zero by20802100N/A
2100 population7-8 billion9-10 billion10-12 billion
2100 sea level rise0.5 metres0.6 metres0.7 metres
2050 net forest lossN/A1%4%
Global consumptionStrong decreaseNo change to current settings
Short term increase, long term
decrease
Global collaborationStrong increaseNo change to current settingsStrong decrease
Climate policyStrong increase in ambitionGradual increase in ambitionStrong decrease in ambition
2050 cost of carbon (USD)>$100/tonne$40/tonne<$20/tonne
Nature based carbon sequestrationSignificantModerateLimited
Technology change
High change including
advancements in negative
emissions technologies
Balanced and gradual change
including selective deployment of
negative emissions technology
Slow change with a focus on
resiliency
Asset Plus’ climate
scenarios
The three scenarios developed
are long-term scenarios with
a timef rame of 2050 and
include:
10
Asset Plus Limited Climate Statements StrategyStrategy Asset Plus Limited Climate Statements

13
The IPCC is the peak global body for climate change
and has released Assessment Reports every 5-7
years for the last 20 years. These reports contain
significant research on climate change, based on the
consensus of hundreds of climate scientists. As part of
the Assessment Reports, the IPCC releases updated
future climate scenarios developed by scientific,
economic, technological and policy experts, which set
the global standard for climate scenarios. Currently
the scenarios are based on Shared Socioeconomic
Pathways (SSPs) and Representative Concentration
Pathways (RCPs), which provide socioeconomic
and emissions projections respectively. The IPCC's
baseline scenarios are Sustainability, Middle of the
road, Regional rivalry, Inequality and Fossil-fuelled
development. Asset Plus has adopted the IPCC
scenario names for its climate scenarios. Modelling
has not been undertaken for the scenarios.
The scenario analysis has built upon the AR6 IPCC
climate scenarios to enable further regional and
sectoral specificity. Additionally, scenario data
was selected f rom other sources, including the
International Energy Agency (IEA) and the Network
for Greening the Financial System (NGFS), in order
to complement the IPCC scenarios. These additional
sources have utilised the IPCC data and are aligned
with the IPCC RCP and SSP scenarios – providing
data on topics such as national gross domestic
product (GDP), energy efficiency and materials
decarbonisation. This approach has enabled scenarios
to be developed that provide information relevant
to Asset Plus’ operating environment, allowing
it to better identify the climate-related risks and
opportunities that Asset Plus may face in the future.
The climate scenario ‘Middle of the road’ is expected
to test Asset Plus’ exposure to the continuation of
existing trends (2-3°C), the ‘Sustainability’ scenario
is expected to test exposure to high climate-related
transition risk e.g. exposure to future potential
mandated carbon prices (1.5°C), and the ‘Regional
rivalry’ scenario is expected to test exposure to
increased levels of climate-related physical risk (>3
degrees).
The climate scenarios have been reviewed and
endorsed by the Board.
Risk and opportunity
identification
Once the climate scenarios were created, various
Centuria and Centuria NZ staff were engaged to
gain diverse perspectives and inputs through a risk
and opportunity workshop. The Scenario analysis for
climate statements is a standalone analysis which
was reviewed by management and then presented to
the Board for approval.
Prior to their attendance at the risk and opportunity
workshop, participants completed a materiality
survey. This survey required the participants to
consider and rate a range of ESG issues in terms
of their potential impacts on the resilience of the
business. The results provided insight into the ESG
issues considered most important by attendees
and generated a shortlist of 30 top ESG material
issues which were discussed at a high level for each
scenario during the workshop. This process aimed to
demonstrate how materiality may change over time
within each scenario, assisting with the identification
of climate-related risks and opportunities.
The risk and opportunity workshop was delivered to
Centuria’s group-wide senior and middle managers,
including the entire Centuria Senior Executive
Committee and members of Centuria NZ’s Senior
Management Team.
Participants were introduced to the concept of
climate-related Scenario analysis, gaining an
understanding of how this approach could enhance
resilience under a range of potential future climate
states. From there, they were shown videos describing
each of the three scenarios, including indicators of
change and a qualitative narrative for each one. The
Network for Greening the Financial System (NGFS)
and IPCC data were utilised across all scenarios to
provide direct comparisons, including temperature
increase, cost of carbon by 2050, peak emissions year,
GDP per capita, population change and inequality.

Armed with these insights, participants were then
asked to do a deep dive into the three scenarios,
considering how each one could impact Centuria's
market, products and capabilities, supply chain,
operations, reputation and brand during an
individual brainstorm. After each session, participants
worked together to combine individual risks and
opportunities by common theme and prioritised
them based on the likelihood of them emerging as a
material issue over the next 10 years.
Following the workshop, approximately 450
individual climate-related risks and opportunities
were synthesised into Centuria’s Climate-Related
Exposures (CREs). Centuria’s CREs were considered by
Centuria NZ for Asset Plus.
Those CREs were then used to assess the
potential business impact of the relevant risks and
opportunities for Asset Plus.
12
Asset Plus Limited Climate Statements StrategyStrategy Asset Plus Limited Climate Statements

15
Climate-related exposures (CREs)
Through Centuria’s risk and opportunity workshop, Centuria
NZ management identified relevant physical and transition
CREs. The CREs capture the current understanding of both
the risks and opportunities that Asset Plus may be exposed
to in the short (0-2 years), medium (3-10 years) and long term
(>10 years). The CREs for Asset Plus may evolve when future
IPCC Assessment Reports are released. These are:
CREDescription Category
Risk/opportunity:
Transitional
Changing regulatory
requirements
Addressing changing regulatory obligations
amid shifting climate policies and incentives.
Policy
Cost of carbon
How the introduction of a mandatory price on
carbon could affect Asset Plus' property and
operations.
Policy
Demand for
sustainable and
resilient assets
Ensuring that Asset Plus' property focuses on
and delivers environmental performance and
climate resilience in a world affected by climate
change.
Market
CREDescription Category
Reputation and
stakeholder
expectations
The changing expectations of tenants as the
economy transitions to address the impacts of
climate change.
Reputation
Risk/opportunity: Physical
Physical climate
change impacts
Physical climate change impacts on Asset Plus’
property, operations and markets, including
insurance.
Acute or
chronic
physical risk
14
Asset Plus Limited Climate Statements StrategyStrategy Asset Plus Limited Climate Statements

17
Business impact
Once the CREs had been identified, a Business Impact
Workshop was held with a range of managers and
employees f rom Centuria NZ in March 2024. The goal
- to test the CREs for their potential impact to the
business model and strategy for the various entities
managed by Centuria NZ, including Asset Plus.
Participants were split into groups to assess a variety
of real estate sectors, including the office sector. This
allowed management to identify key impacts on
the office sector, before undertaking further work to
consider impacts on Asset Plus’ property at Munroe
Lane. Impacts on Asset Plus property at 35 Graham
Street, Auckland were not considered as it has been
unconditionally sold with settlement to occur in
November 2024.
The group considered the office sector’s exposure
to the CREs based on the approach in ISO 31050
Risk Management - Guidelines for managing an
emerging risk to enhance resilience. For each exposure,
participants analysed:
•

wh
ether the CRE was primarily a risk or opportunity.;
• the current expected business impact f rom the CRE;
• the anticipated business impact f rom the CRE
and the time horizon during which the anticipated
impact would likely occur; and
•
the mitigation measures that could be applied to
reduce the anticipated impact of potential future
risks or enhance the anticipated impact f rom future
potential opportunities.
Time horizons - CREs
CREDescription
Short
(0-2 years)
Aligns with the immediate
strategic planning priorities
for Asset Plus’ assets including
leasing, capital expenditure and
debt management.
Medium
(3-10 years)
Aligns with typical lease terms,
asset hold periods, capital
expenditure and financial
modelling horizons.
Long
(greater than 10
years)
Aligns with major development
or capital expenditure life cycle
planning.
Results of the business impact workshop in respect of
Asset Plus are:
CRE
Physical/
transitionDescription
Opportunity/
risk Time horizon
Curent business
impactAnticipated business impactPotential future mitigation
Changing
regulatory
requirements
TransitionAddressing changing
regulatory obligations
amid shifting climate
policies and incentives.
Medium termNo current
material impact.
Increased cost to meet
compliance requirements, some
of which may be recoverable
f rom tenants. Sale and leasing
of space in the medium
term may be contingent on
meeting increased compliance
requirements which may
result in pressure on Asset Plus’
performance due to higher
capital costs.
Implement utility monitoring,
engage consultants, and allocate
capital for effective management.
Take a proactive approach to asset
compliance and enhance ESG
performance against local and
international trends.
Cost of carbonTransitionHow the introduction
of a mandatory price
on carbon could affect
Asset Plus’ property
and operations.
Medium – long termNo current
material impact.
In the medium to long term,
increasing operating costs
borne by tenants and reduced
demand for space may affect
the ability to lease Munroe Lane.
Demand for assets with high
energy efficiency over new
developments may be favoured
due to an increased cost of
carbon affecting the cost and
viability of new developments.
Continue to enhance energy
efficiency. Focus on continuing
to be powered by the equivalent
of 100% renewable energy for
building energy loads.
Demand for
sustainable and
resilient assets
TransitionEnsuring that Asset
Plus’ property focuses
on and delivers
environmental
performance and
climate resilience in
a world affected by
climate change.
Short – medium termNo current
material impact.
Increased tenant and investor
demand for sustainable and
resilient assets and decreased
demand for those with poorer
performance, leading to
increased vacancies and the
need for enhancements or
repurposing.
Maintain and enhance Munroe
Lane’s ESG performance, including
the target 5 Star NABERSNZ
energy rating. Continue engaging
with stakeholders regularly to
ensure that Munroe Lane reflects
existing and emerging demands.
Reputation and
stakeholder
expectations
TransitionThe changing
expectations of
tenants as the
economy transitions
to address the
impacts of climate
change.
Short – medium termNo current
material impact
Tenants and investors’
expectations for high ESG
performance continue to
increase. Failure to meet these
changing expectations could
lead to reputational impacts and
difficulty retaining tenants.
Engage with tenants and
investors to understand emerging
expectations. Further develop
manager expertise to ensure
that stakeholder expectations
are understood and addressed
sufficiently.
Physical climate
impacts
PhysicalPhysical climate
change impacts on
Asset Plus’ property,
operations and
markets, including
insurance.
Medium – long termNo current
material impact
Increasing f requency and
severity of extreme weather
events may affect asset values
and cost and availability of
insurance, while also impacting
tenant business continuity.
Conduct climate risk due diligence
and invest in enhancing physical
climate resilience where necessary
and practicable.
16
Asset Plus Limited Climate Statements StrategyStrategy Asset Plus Limited Climate Statements

19
Financial impact
As outlined in the introduction of this report, Asset Plus has
elected to use Adoption Provision 1 f rom Aotearoa New Zealand
Climate Standard 2. Asset Plus intends to assess the current
financial impact of the relevant climate-related exposures over
the next 12 months.
Transition plan aspects of our
strategy
Business model and strategy
Asset Plus’ current business model and strategy focuses on
leasing the balance of its property at 6-8 Munroe Lane, Auckland
(Munroe Lane), with a sale of Munroe Lane to be considered
following such leasing. Asset Plus’ consideration of the climate-
related exposures and relevant business impacts is expected to
help position Asset Plus for a low-emissions, climate-resilient
future.
Internal capital deployment and funding
decision making
As part of the annual budget process for Asset Plus, Centuria NZ
considers whether capital needs to be budgeted for initiatives
related to climate-related risks and opportunities.
Capital expenditure implemented across Asset Plus for relevant
climate-related ESG initiatives is included in the metrics and
targets section of this report on page 23.
18
Asset Plus Limited Climate Statements StrategyStrategy Asset Plus Limited Climate Statements

21
When assessing risks, a qualitative approach is used,
which describes the likelihood of a risk occurring and
the magnitude of any potential consequences.
Using these assessment mechanisms, we follow the
same process to assess all risks:
•
Identify the risk.
• Determine the inherent risk rating (before
consideration of mitigating controls).
• Identify the controls and mitigation strategies.
•
R
ate the adequacy of these controls.
•
Determine the residual risk rating (after controls).
• Determine whether to transfer, avoid, implement
further controls (risk treatment) or accept the
residual risk.
•
Monitor and review all material risks.
As outlined on page 16, Asset Plus’ time horizons are
short (0-2 years), medium (3-10 years) and long-term
(greater than 10 years).
Role of the ARCC
As discussed in the Governance section, the
Asset Plus ARCC assists the Board in meeting its
responsibilities regarding risk management. The
ARCC is responsible for agreeing what risks are
material to Asset Plus and considers the mitigation
strategies for management of those risks. Following
consideration at ARCC meetings, Asset Plus’ risk
register is then considered at Board meetings.
Risk management
Physical risk assessments
This year, Centuria NZ introduced a revised approach to assessing physical climate-related risks, including for
Asset Plus. Assessments utilise climate data provided by ClimSystems through their Climate Insights platform
and modelling methods consistent with IPCC protocols. Asset Plus’ properties have been assessed for physical
exposure to climate change across the following categories using downscaled Global Climate Model (GCM) and
where available, Regional Climate Model (RCM) projections:

River flood

Extreme rainfall

Sea level rise

Water scarcity

Wildfire

Heat stress

Cold spell

Windstorm
Objective: To enable primary users to understand how Asset Plus’ climate-related risks
are identified, assessed, and managed and how those processes are integrated into
existing risk management processes.
Integration into risk management processes
The processes detailed above are applicable to all risks, including climate-related exposures with risks prioritised
depending on their materiality. Asset Plus utilises Centuria NZ’s processes for assessing the environment and
climate-related physical risks (as discussed above) for its physical assets.
Having recently identified Asset Plus CREs, Centuria NZ is working to integrate them into the Asset Plus’ ARC’s risk
review where material.
At this stage scope 3 emissions f rom Asset Plus’ value chain are excluded f rom Asset Plus’ reporting for the purpose
of its risk assessment, however it is actively working on its approach to address this ahead of the next climate
statements.
Describing each material risk identified and Asset Plus and Centuria NZ’s approach to
managing these risks through Asset Plus’ Material Risk register.
Listing the policies and procedures that deal with risk management matters.
Summarising the role and responsibilities of the risk management function.
Describing the risk governance relationship between the Board and Centuria NZ
management with respect to the Risk Management Framework.
Outlining the approach to seek to ensure all persons within Centuria NZ have awareness
of the Risk Management Framework and instilling an appropriate risk culture across
Centuria NZ.
The process applied to managing risks through our Management Framework includes:
Identifying, assessing and
managing climate-related
risks
Asset Plus recognises that effective risk
management can not only help it to avoid
undesirable outcomes but can also enable it to
achieve its strategic objectives and goals. Asset
Plus relies on Centuria NZ’s Risk Management
Framework. This Framework has been
implemented across the Centuria NZ business to
assist in identifying and managing material risks,
managing capital and ensuring risk informed
decision making. By adhering to this f ramework,
Centuria NZ seeks to ensure that material risks
can be understood, measured and reported to
the Board, and that Centuria NZ manages risk to
remain within the Board’s set parameters.
Centuria NZ has adopted the following risk
management process, which is consistent with
the AS/NZS ISO 31000 Risk Management –
Principles and guidelines:

Risk assessment
Establish the context
Risk identification
Risk analysis
Risk evaluation
Risk treatment
Monitoring and review
Communication and consultation
20
Asset Plus Limited Climate Statements Risk managementRisk management Asset Plus Limited Climate Statements

23
Metrics and targets
Objective: To enable primary users to understand how Asset Plus measures and
manages its climate-related risks and opportunities. Metrics and targets also provide a
basis upon which primary users can compare entities within a sector or industry.
Metrics
GHG emissions and reporting
boundary
In FY24, Asset Plus’ GHG emissions have been
measured and reported through the application
of the standards set under the Australian National
Greenhouse and Energy Reporting Act (2007) and the
definition of operational control:
The corporation has the authority to introduce
and implement any or all of the following for
the facility: operating policies, health and safety
policies, environmental policies. If two or more
persons satisfy the requirements, the person
with the greatest authority to introduce and
implement policies has operational control.
This is closely related to the GHG Protocol definition:
A company has operational control over
an operation if the former or one of its
subsidiaries has the full authority to introduce
and implement its operating policies at the
operation.
Asset Plus has adopted the approach taken by
Centuria NZ to allow consistent measurement across
the various entities managed by Centuria NZ.
Asset Plus calculates emissions by collecting energy
consumption data for scope 1 and 2 sources. The GHG
emission consolidation approach used is operational
control. Quantities are multiplied by the appropriate
emissions factors f rom the New Zealand Ministry of
Environment emissions factors.
In FY24, Asset Plus has used metered electricity data
when reporting scope 1 and 2 GHG emissions across
its properties and operations. There are expected to be
minimal uncertainties in quantifying GHG emissions
as actual data has been sourced.
Metrics to measure and manage
climate-related risks and
opportunities
Based on the climate-related exposures identified
during FY24, Asset Plus and Centuria NZ have
assessed and identified metrics that can be
quantified to measure and manage climate-related
risks and opportunities.
Quantifiable indicators for assessing transitional risk
and opportunity include gas or diesel equipment
(excluding backup generators) in assets Asset Plus
owns as well as tenant metering.
Gas and diesel
Assets that are owned by Asset Plus that have gas
or diesel equipment (excluding back-up generators)
are vulnerable to the transition risk ‘cost of carbon’.
By assessing whether the asset has gas or diesel
fuel powered equipment, we can seek to manage
potential vulnerability to this exposure.
Tenant metering
Tenant energy and water metering and submetering
is an industry-based metric relevant to Asset Plus
given the metering of tenant emissions will improve
the accuracy of future scope 3 emission reporting.
1. Introduction to Green Star (nzgbc.org.nz)
Climate-related metrics
Asset Plus uses the below metrics to measure and manage climate-related risks and opportunities.
MetricUnit of measurementFY24
Total Scope 1tCO2e5
Fuel combustion tCO2e0
Ref rigerantstCO2e5
Scope 2 (location based)tCO2e23
Total emissions (Scope 1 & 2)tCO2e28
Net lettable area (m2)m227,516
GHG emissions intensity (Scope 1 & 2)tCO2e/m20.0010
Data above reflects 6-8 Munroe Lane as 35 Graham Street is vacant with no power connection.
Description Response
Capital deployment towards climate-related risk and
opportunity initiatives ($ NZD)
$166,500
ESG initiatives related to capital deployment5-star Green Star Design rating, energy
monitoring through a third party provider.
Gas and diesel equipment onsite, including tenants (excluding
backup diesel generators)
Yes
Percentage of tenants that are separately metered or
submetered for grid electricity consumption
100%
Percentage of tenants that are separately metered or
submetered for water withdrawals
100%
Proportion of energy procured f rom an electricity retailer
certified as 100% renewable during FY24
93%
Green Building certifications 5-star Green Star Design rating obtained.
5-star Green Star As Built and 5-star NABERS
ratings applied for and expected to be issued
by August 2024
Transition risks
Munroe Lane is considered vulnerable to the
transition risks identified in the climate-related
exposures on pages 14 and 15, however there are no
current material business impacts associated with
the vulnerability. 35 Graham Street is not considered
vulnerable as it has been unconditionally sold.
Munroe Lane represents 60.98% of Asset Plus’ assets
as at 31 March 2024.
Physical risks
The physical risk assessment completed on Asset
Plus’ assets (as discussed on page 21) indicates
there are no current material impacts f rom physical
climate-related risks. Asset Plus will continue to
monitor physical risk exposure over the medium to
long term horizon.
22
Asset Plus Limited Climate Statements Metrics and targetsMetrics and targets Asset Plus Limited Climate Statements

25
Climate-related opportunities
Munroe Lane is aligned with the climate-related
opportunities identified in the climate-related
exposures on pages 14 and 15. 35 Graham St is under
contract for sale with settlement in November 2024
and its alignment with climate-related opportunities
has not been considered. .
Internal emissions price
The Emissions Trading Scheme requires applicable
emitters to surrender one ‘emissions unit’, known
as a New Zealand emissions unit (NZU), to the
Government for each tonne of carbon they emit.
Asset Plus is not a participant in New Zealand's
Emissions Trading Scheme and is not obliged to
surrender NZUs in relation to its emissions.
At this stage, an internal price of carbon has not
been finalised for Asset Plus. As Asset Plus and
Centuria NZ continue to assess the measuring and
reporting of scope 3 emissions, Asset Plus intends to
develop an internal price of carbon to help ensure it
is appropriately considering the transitional risk of
carbon liability on all future scope 1 – 3 emissions. An
update on this work will be provided in next year’s
climate statements.
Management remuneration
As mentioned on page 6, there are no direct
employees for Asset Plus, therefore there is no
management remuneration linked to climate-
related risks and opportunities. The management
fees paid to Centuria NZ under the management
agreement between Asset Plus and Centuria NZ do
not incorporate any performance metrics regarding
climate risks or opportunities.
Targets
Asset Plus does not have any targets in place to
manage climate-related risks and opportunities.
Munroe Lane has achieved a range of sustainability
outcomes that lead to a reduction in greenhouse gas
emissions including:
• 5-star Green Star design rating;
• no gas for the base building or tenant services;
• no diesel for the base building or tenant services
other than in back up generators and fire sprinkler
systems; and
• 100% renewable energy provided for all base
building services, f rom August 2024.
1
These climate statements in respect of Asset Plus Limited are
signed on behalf of Asset Plus Limited by:
Bruce Cotterill, Chairman
Carol Campbell, Director
Date: 30 July 2024
1. While Asset Plus receives electricity from the national grid, Asset Plus has entered into an electricity supply agreement for Munroe Lane with a supplier who matches
Asset Plus' consumption on an annualised basis to power from hydro, wind or solar sources.
24
Asset Plus Limited Climate Statements Metrics and targetsMetrics and targets Asset Plus Limited Climate Statements
Disclaimer
This report is issued by Asset Plus, summarising Asset Plus' assessment of future climate-related risks and opportunities
which could affect its business and customers, and its resulting strategy. Asset Plus has taken all due care in preparing
this report, including its scenarios and assumptions. The information in this report has been obtained from and based on
sources believed by Asset Plus to be reliable.
This Report contains statements that are, or may be deemed to be, forward looking statements, including climate-related
goals, targets, pathways, ambitions, guidance, forecasts, estimates, prospects, related risks and opportunities, as well as
Asset Plus’ current planning to address related risks. Forward looking statements can generally be identified by the use
of forward looking words such as “anticipate”, “estimates”, “will”, “should”, “could”, “may”, “expects”, “plans”, “forecast”,
“target” or similar expressions. The nature of forward looking statements require Asset Plus to make assumptions that are
subject to inherent risks and uncertainties, many of which are beyond its control and give rise to the possibility that its
predictions, expectations or conclusions will not prove to be accurate, that its assumptions may not be correct, and that
its objectives, targets, and strategies to mitigate and adapt to climate-related risks and opportunities will not be achieved.
These forward looking statements are provided as a general guide only and should not be relied upon as an indication or
guarantee of future performance. No independent third party has reviewed the reasonableness of any such statements or
assumptions.
To the maximum extent permitted by law, Asset Plus and Centuria NZ make no representation or warranty, express or
implied, as to the accuracy, completeness, timeliness or reliability of the contents of this report. Further, to the maximum
extent permitted by law, Asset Plus and Centuria NZ do not accept any liability (including, without limitation, any liability
arising from fault or negligence) for any loss whatsoever arising from the use of this report or its contents or otherwise
arising in connection with it.

assetplusnz.co.nz