2023 BXP Sustainability & Impact Report


Letter to Our Stakeholders

Sustainability remains an important focus area for BXP, our clients, shareholders, employees, and the communities we serve. Through challenging economic conditions, we have demonstrated the resilience of our strategy and commitment to excellence in our operations. We are proud of our 2023 performance and widespread recognition as a leader in sustainability.

We believe the initiatives and results outlined in this report contribute to our commercial success and a range of positive economic, social, and environmental outcomes while protecting asset value and our distinction as a premier workplace developer, owner, and manager. Our long-term investment in high-quality real estate assets and implementation of our sustainability program has prepared BXP to navigate an evolving landscape of sustainability objectives, transitionary changes, regulations, and disclosure requirements.

In 2023 we advanced our sustainability & impact efforts by:

  • remaining on track to achieve carbon-neutral operations for Scopes 1 and 2 greenhouse gas (GHG) emissions by 2025,
  • managing transition risks and building performance standard compliance, retro-commissioning 9 million square feet of our portfolio to optimize performance,
  • continuing to focus on energy and water efficiency as space utilization increased year-over-year, achieving a 41% reduction in energy use intensity and a 48% reduction in water use intensity below a 2008 base year,
  • executing a power purchase agreement for an additional 21 MW of new solar generation capacity as an additional renewable energy source in our overall strategy to reduce carbon emissions,
  • increasing actively managed property area certified under the U.S. Green Building Council Leadership in Energy and Environmental Design (LEED) rating system to 28.9 million square feet, of which 92% is certified at the highest Gold and Platinum levels,
  • issuing $750.0 million in aggregate principal amount of unsecured senior notes in our sixth “green bond” offering and committing to allocate the net proceeds of $741.3 million to “eligible green projects” that support our sustainability goals, and
  • increasing our efforts to advance and support built environment climate technology through engagement and investment in a second fund with Energy Impact Partners.

Our sustainability & impact leadership was recognized by numerous industry groups and received the distinction of:

  • ranking among the top real estate companies in the GRESB assessment, earning an eighth consecutive 5-Star rating, and 12th consecutive GRESB “Green Star” designation,
  • being named an ENERGY STAR Partner of the Year – Sustained Excellence Award Winner,
  • being named to the Dow Jones Sustainability Index (DJSI) North America as one of seven real estate companies that qualified and the only office REIT in the index, scoring in the 94th percentile of the real estate companies assessed for inclusion,
  • maintaining an MSCI ESG Rating of “AA,” a CDP Climate Change score of “B,” and increasing our CDP Supplier Engagement Rating to a “B-,”
  • continuing our tenure as a Green Lease Leader at the highest Platinum Level by the Institute for Market Transformation and the U.S. Department of Energy for our strong commitment to high performance and sustainability in buildings, implementing social priorities and policies, and exhibiting best practices in leasing,
  • being named a seven-time Best in Building Health winner by the Center for Active Design, and
  • being recognized for having one of the Best ESG Programs by Commercial Property Executive.

Our track record demonstrates that the development and ownership of commercial real estate can be catalysts for environmental innovation that simultaneously bolsters
our financial success and supports our evolution into an even more intentional and resilient enterprise. We take great pride in our recognized leadership status within the realm of sustainable practices and societal impact. As we look to the future, we remain dedicated to managing our operations in ways that generate beneficial outcomes – economically, socially, and environmentally – for our clients, shareholders, employees, and the wider community.

Owen D. Thomas, Chairmand & CEO         Douglas T. Linde, President

To read the full 2023 BXP Sustainability & Impact Report, download the attached document.