W. P. Carey, a net lease REIT specializing in corporate sale-leasebacks, build-to-suits and the acquisition of single-tenant net lease properties, announced establishing its first emissions reduction target for Scope 1 and 2 GHG emissions.
In 2024, the company established a goal to reduce absolute Scope 1 and 2 market-based emissions by 34% by 2028 from a 2023 base year. W.P. Carey amended its credit facility to incorporate a sustainability-linked feature.
As detailed in its 2024 Corporate Responsibility Report, the company achieved a 63% reduction in Scope 1 and 2 emissions through the purchase of unbundled, verifiable RECs covering 100% of its 2024 electricity use. Without RECs, W. P. Carey’s Scope 1 and 2 emissions decreased by 2%.
The company also pursued solar opportunities via CareySolar®, increasing total solar in the portfolio to approximately 30 megawatts (MW). To maintain this progress, the company plans to continue procuring unbundled RECs annually or retire RECs generated from CareySolar® projects within its portfolio while exploring additional reduction opportunities.
W. P. Carey also completed its inaugural double materiality assessment and continued to prioritize green leasing, increasing the percentage of leases with green lease provisions to more than 30% as of year-end 2024.
The company also increased tenant enrollment in electricity usage data reporting to more than 60% as a percentage of portfolio square footage and completed its first carbon-neutral construction project.
In 2024, W. P. Carey’s energy and GHG intensity both decreased, primarily driven by renewable energy certificate (REC)
purchases as well as new 2024 vacancies of properties with a higher energy efficiency profile. The company’s total energy use increased year-over-year, primarily as a result of greater natural gas consumption and despite a reduction in electricity use.
“Guided by our commitments to Investing for the Long Run and Doing Good While Doing Well, we’ve made significant strides in advancing our corporate responsibility goals — efforts that support our core business objectives and future growth. By keeping sustainability, social impact and strong governance at the forefront of our business, we’re able to align our actions with our values while continuing to focus on delivering long-term value for our stakeholders,” said CEO Jason Fox in a statement.