Gables Corporate Citizenship Report 2022

About This Report

The Gables 2022 Corporate Citizenship Report shares vital environmental, social and governance (ESG) information, highlighting Gables’ unwavering dedication and focus toward integrating ESG principles and our core values into every aspect of our operations. This information is material to Gables’ stakeholders, including investors, residents, associates, partners and communities. The report encompasses data and information from the period spanning January 1 to December 31, 2022. Performance data include Gables owned and joint venture assets, unless otherwise noted.

GABLES VILLA ROSA, DALLAS, TX

Letter from CEO

Our annual Gables Corporate Citizenship Report is a wonderful reminder for me and all Gables associates of our many achievements toward meeting, and often exceeding, our environmental, social and governance (ESG) goals. As part of working every day to take care of our residents and communities, all Gables associates are committed to implementing our ESG goals. It is their efforts which drive our success, and I am thankful for all that they do for Gables and our residents. I am pleased to share our 2022 highlights and results with you in this report.

Gables is very proud to have achieved a 4 Star Rating from GRESB that reflects results from our operating communities for calendar year 2021. Gables has focused for many years on impactful ESG efforts, and we committed even more resources to this important work in 2021. In 2022, we continued this focus with additional endeavors supporting our 2030 environmental goals and DEI initiatives.

Our environmental initiatives are led by our Director of Sustainability, Juliette Apicella, with assistance from our Sustainability Advisory Council (SAC) and its active subcommittees. The SAC is comprised of a diverse group representing all Gables departments and levels of management. Our sustainability and environmental work focuses on meeting our 2030 environmental goals and executing on those efforts while engaging with our associates and residents.

As you will see later in this report, we are well on our way to achieving our 2030 energy and GHG emissions goals. In 2022, we completed six lighting retrofit projects. The savings from these projects augment past years’ projects and help us build cumulative reductions in energy usage. Our community teams continue to find ways to reduce energy usage by controlling common area temperatures and monitoring lighting usage, among other efforts. Using renewable energy credits (RECs), we are offsetting over 80% of our common area electric usage. We are working to complete solar panel retrofits at three communities while exploring additional opportunities to add solar energy. We evaluate all new developments for solar and other renewable energy opportunities.

GABLES BROOKHAVEN, BROOKHAVEN, GA

Our efforts to encourage recycling are showing positive results, with an increase of 7% over the last three years in the volume of materials recycled per apartment home. Our Atlanta communities participated in a cardboard recycling pilot last year which simplified the process for residents to dispose of cardboard, resulting in 85 pounds of cardboard recycled on average per apartment home last year. We will expand this program to other markets where possible in accordance with local waste management practices.

Reducing water usage remains a challenge for the portfolio. Usage increased in 2022 over prior years and is higher than our baseline. We will be increasing efforts over the next few years to install plumbing fixture retrofits and other system improvements along with encouraging conservation by our community teams and our residents.

Diversity, equity and inclusion (DEI) remains a key focus for Gables. We continued our initiatives to create a welcoming and inclusive workplace, attract and retain top talent, foster a culture of innovation, and maintain a positive community presence. We made progress in 2022 on increasing diversity in our workforce, from corporate officers to our community management teams. These efforts were supported by new programs for hiring, onboarding, communication and education. We made further strides in our supplier diversity efforts, including establishing principles and policies and defining trackable metrics. Finally, our DEI Council, Represented, established in 2021, continued its efforts to develop programs that support inclusivity and equity throughout the company.

Gables is committed to being a positive contributor to our local communities. In 2022, we were able to resume Gables Day events. In each of our markets, all associates gather for a day-long community service project. I especially value this Gables tradition, since it provides an opportunity to give back to the communities that we serve and provides wonderful opportunities for team-building and camaraderie for our associates.

For 2023 and future years, Gables will continue the many programs and policies we already have in place. We expect to complete the installation of EV charging stations at nearly all our communities by the end of 2023. We will be working on our roadmap for achieving our “Net Zero by 2050” commitment and spending time identifying ways to improve the resilience of our portfolio.

As we have said many times over the years, our intent is to be a good corporate citizen. We appreciate the support of our investors, residents and associates for all of Gables’ ESG activities and look forward to sharing positive results with you in future reports.

Susan M. Ansel President and Chief Executive Officer

GABLES COLUMBUS CENTER, CORAL GABLES, FL

Company Profile

Established in 1982, Gables Residential is a privately held, vertically integrated real estate company focused on multifamily and mixed-use community development, construction, ownership, acquisition, financing and management.

Our Mission: Taking Care of the Way You Live

At Gables, we have built our entire enterprise from four foundational principles:

Extraordinary quality and service for our residents

Unparalleled employment experiences for our associates

Utmost integrity and value for our investors and customers

Enduring contributions to our local communities

Our Portfolio

Gables operates in select, high employment-growth markets throughout the United States. Our investors include domestic and international institutional investors. As of year-end 2022, Gables managed approximately 26,000 apartment homes and 190,000 square feet of retail space.

At the end of 2022, our communities included:

Seattle

0.7%

*Percentages are based on Gross Real Estate Asset Value of stabilized properties plus properties under construction with unconsolidated JVs weighted at share, as of December 31, 2022.

Southern California

3.6%

Denver

Boston

10.5%

District of Columbia

12.3%

Atlanta

13.8% Dallas

11.5% Austin

10.7%

9.5% Houston

7.7%

North Florida

2.3%

South Florida

17.3%

Corporate Diversity*

All Associates — Generation

Gables Executive Group — Gender

All Associates — Gender

All Associates — Diversity

ESG Organizational Chart

Board of Directors

CEO/President

Environmental

Director of Sustainability Sustainability Advisory Council

Subcommittees

Sustainability Culture

Energy Management

Water Conservation

Materials Management

Renewable Energy

New Development

Social

DEI Council

Engagement & Communication

Human Resources

Hiring & Promotion Strategy

Leadership & Associate Development

Procurement Supplier Diversity

Governance

CFO/Compliance Officer Senior Operating Committee CEO

Internal Audit

Gables Residential Corporate Officers

2022 Highlights

ESG principles are integral to our company identity. Gables’ efforts toward upholding strong governance and advancing our ESG goals are reflected in the building certifications and industry recognition we receive. Our continued focus on advancing our ESG program enables Gables to drive performance, elevate communities and truly invest in Taking Care of the Way You Live.

Building Certifications

All new developments receive certification, and we seek operational certifications for our stabilized communities.

100% New Developments Certified since 2015

86% Communities Certified (new development and operational)

78% Communities with Operational Certifications

29% ENERGY STAR® Certified Communities

Awards & Recognition

Best Places to Work — Multifamily

/ Multifamily Leadership

Gables Residential

Training APEX (Formerly Top 100)

Award Winner

/ Training Magazine

Gables Residential

Pulse of the City News Award — Excellence in Customer Service

Gables Residential, Atlanta, GA

Silver Level MHN Excellence

Awards — Best Marketing Campaign

Gables Seaport, Boston, MA

Bronze Level MHN Excellence Awards — Best Amenities

Gables Vista, Denver, CO

High Rise of the Year Honors Awards

/ Houston Apartment Association

Crimson, Houston, TX

Circle of Excellence — Community of the Year

/ Florida Apartment Association

Conventional Mid-High Rise and Community Amenities of the Year

The Residences at Thesis, Coral Gables, FL

Best of Plano Awards — Apartments

Mission Gate, Plano, TX

Forty Under 40 Honoree

/ Houston Apartment Association

Rebecca Slater

GABLES VILLA ROSA, DALLAS, TX

Gables Achieves GRESB 4 Star Rating

“Gables is very pleased to have achieved a GRESB 4 Star Rating based on 2021 operations. In that year, we committed more time and resources than ever before to executing on our responsible environmental, social and governance (ESG) goals; this result reflects our focus on that commitment. All Gables associates contribute every day to maintaining this focus. I truly appreciate their dedication to making Gables a leader in our industry.”

Susan Ansel Gables President & CEO

Environmental Focus

Demonstrating Best Practices

Our focus on environmental risk management, resource conservation and energy optimization drive the development and management of highly efficient communities that support quality living environments for our residents. By emphasizing the wellbeing of the environment and our residents, we create exceptional communities that focus on Taking Care of the Way You Live.

Environmental Management System

Based on the Deming Cycle and aligned with ISO-14001, our Environmental Management System (EMS) provides the framework to make adaptive adjustments on the road to reaching our long-term goals.

In alignment with recommendations from the Task Force on Climate-related Financial Disclosures (TCFD), our environmental risk management approach considers climate-related physical, social and transition risks. This multifaceted approach provides a comprehensive understanding of our portfolio’s climaterelated risk exposure, enabling us to effectively navigate and prepare for what the future may hold.

APPROACH

biannual preparedness inspections at each community • budgetary focus on community-level resilience • drought-tolerant and native landscaping

Environmental Risk Management — Multifaceted Approach

APPROACH cutting-edge cybersecurity techniques • effective response plan for contagious disease outbreaks • clear lines of communication for associates and between residents and associates

APPROACH energy benchmarking and annual energy performance review • long-term competitive energy rate plans • third-party verified green building certifications

Sustainability & Resilience Policies

Gables’ suite of sustainability policies is a cornerstone of our success, ensuring we maintain focus on our environmental performance goals and portfolio-wide resilience. For each of the subjects listed below, Gables has a Standard Operating Procedure which ensures consistency in application across the company.

Policies

Sustainability

Biodiversity and Habitat

Building Materials

GHG Management Plan

Indoor Air Quality

Integrated Pest Control

New Development Sustainability Initiatives

Net Zero

Refrigerant Management

Sustainable Procurement

Waste Management

Water Management

Resilience

Climate Change Adaptation

Cybersecurity

Emergency Response Plan

Flu and Similar Contagious Diseases

General Safety

Hurricane/Tornado Preparedness

Inclement Weather

Maintenance Emergencies

Mass Communication

Resilience – Protecting Asset Value and Preventing Disruption to Business

Common Sustainability Features & Practices Across Our Portfolio

All Gables communities have on-site recycling programs. With clear energy- and cost-savings advantages, LED lighting retrofits continue to be prioritized throughout our portfolio, with a focus on parking garages, indoor and outdoor common areas, and amenity spaces.

For many landscaping areas in our communities, we focus on native plants that are accustomed to the soil, moisture and climatic conditions of the local region as a means to reduce our water demand and promote healthy habitat for native wildlife.

Many Gables communities take advantage of cool roofs — white or lightly colored roofs designed to reflect solar energy — to help moderate temperatures while using less energy. We prioritize healthy indoor spaces by utilizing green cleaning products that keep our indoor common areas and amenities clean without introducing harsh chemicals.

Taking Care of the Way You Live, Gables prioritizes developments in neighborhoods that are highly walkable and bikeable

GABLES VININGS VILLAGE, ATLANTA, GA

Portfolio-wide EV Charging

Since installing our first EV charger in 2015, Gables has supported vehicle electrification with the implementation of EV charging infrastructure. By the end of 2022, 59% of communities had EV charging stations. We anticipate that nearly 100% of the portfolio will have EV charging by the end of 2023. Installing EV charging stations supports adoption of electric vehicles by assuring residents they can take care of their charging needs from home.

Greater utilization of EV charging led to a 21% increase in annual GHG emissions savings

Education & Outreach

#EVERYDAYGREEN is our initiative to share Gables’ sustainability efforts and help residents and associates incorporate green living into their everyday lives. We employ various strategies to spread awareness, encourage conversation and inspire change:

gableswaterstreet

Display green-living strategies and Gables’ environmental goals on screensavers for all associate computers

Share tips and tricks with associates in our Sustainability Scoop email series

Use social media to share insights and showcase simple sustainability habits that residents can adopt

Host sustainability events that bring residents together and provide actionable insight on ways to live more sustainably

gablesuniversitystation

gablestanglewood

gableswaterstreet Go Green with Gables by participating in our Sustainability Event where you will enjoy fun interactive games, drinks, dinner and the best swag ever.

gablestanglewood We are loving all of our residents from afar! Friendly reminder how we stay GREEN

Here are some sustainability tips!

gablesuniversitystation Did you know? One ton of 100% recycled paper saves the equivalent of 4,100 kWh of energy, 7,000 gallons of water, 60 pounds of air emissions and three cubic yards of landfill space.

Embedding Sustainability in New Development

In 2022, Gables formalized an Updated Development Sustainable Best Practices Guide to create an enhanced standard for construction and development. By adhering to the guide, our teams engage in a collaborative process focused on developing communities that are highly efficient and resilient, while supporting our efforts to reach net zero and creating optimal living environments for residents.

Designed to provide a uniform structure while being regionally applicable, the guide helps to meet local resiliency needs and achieve our corporate environmental performance goals. The guide requires that all new developments receive Fitwel certification and at least one of six Gables-approved green building certifications.

In addition to meeting third-party certification requirements, new developments must adhere to a set of Sustainable Standards Best Practices. These best practices include required and optional items that come together to form our proprietary rating system.

Significant Requirements

Sort and divert 75% of construction waste

Conduct pre- and postconstruction energy modeling

Provide duct-blaster and blower-door testing for apartment homes and common areas

Incorporate 100% LED lighting

Utilize Watersense® labeled showerheads and toilets

Development Underway

Gables Union Market

Gables Union Market is located in the historically relevant Union Market District in Washington D.C. Developed on an urban infill space, our 12-story community with three and a half levels of underground parking will have 300 apartment homes and 23,000 square feet of ground floor retail. Our community leverages green design elements for stormwater management, such as the 13,000-square-foot green roof and the landscaped stone bio-retention feature in the outdoor space of the north courtyard. Rooftop amenity spaces are covered by a solar canopy as an energy-generating architectural feature. The community also features elegant work-from-home amenities such as offices and co-working space that overlook the plaza, which will host public events. Gables Union Market is pursuing LEED Gold certification and boasts a bold blend of traditional and modern styles to complement the neighborhood’s gritty charm. Leasing will commence mid-2023.

Gables Riverwalk

Gables Riverwalk will be a 44-story luxury high-rise community with 295 apartment homes on the New River waterfront in Fort Lauderdale, Florida. Development of our Riverwalk community centers around resilience, focusing on three key strategies: protection, adaptation and backup. For protection, the community will feature stormwater management systems, hurricanerated exterior hardware, and a waterproof vault to secure the electrical room and generator. Embracing adaptation, living spaces will be raised above the flood design elevation and mechanical systems will be housed on roof levels. Emergency backup power will provide critical needs in the case of a power outage. Complementing the community’s highly efficient building envelope, these resilience measures will help manage physical climate risk and minimize downtime and disruption to business operations.

Development Underway

Gables Queen Anne

Gables Queen Anne is being developed in the quaint hilltop neighborhood of Queen Anne in Seattle, Washington. Our project involved the demolition of an aging Safeway grocery store to support the development of a twice-as-large, 50,000-square-foot Safeway, atop which Gables is developing a 325-unit apartment community. Communication and community outreach have been integral to our development process. The local neighborhood was invited out to celebrate the erecting of the construction crane. The banner wrapped around the construction-site fencing displays pictures selected from the local elementary school’s drawing contest as well as the community-selected name for the crane – Calvin the Crane, in honor of Queen Anne’s beloved mail carrier who served in the position for 38 years before retiring in 2022. Taking a community-first approach, Gables aims to go beyond excellent service and to cement a legacy of strong community stewardship.

Advancing Sustainability

At Gables, we strive to be innovators and early adopters of technologies designed to strengthen environmental performance. Blending innovation with business strategy, Gables makes responsible advancements in our ESG program that empower our residents to embrace sustainability and elevate the resource efficiency of our communities. By staying at the forefront, Gables serves as a leader in sustainability within the multifamily housing industry.

Cardboard Recycling Pilot

Gables initiated a cardboard recycling pilot at seven Atlanta, Georgia, communities in 2022. The communities received cardboard-only bins and were given instructions to help maximize bin storage. The simplicity of the cardboard pilot aims to reduce waste contamination by keeping cardboard out of the landfill stream. Between the seven communities, 195,919 pounds of cardboard were collected in 2022 — equaling 85 pounds per apartment home and increasing 2022 total recycling at these Atlanta communities by 50%. Additionally, we are collecting cardboard at Gables Columbus Center in Coral Gables, Florida. This community collected 28,420 pounds of cardboard in 2022, an average of 142 pounds per apartment home. Together these eight communities recycle 112 tons of cardboard annually. This initiative delivers environmental and community benefits and supports our goal of reaching 10% waste diversion at the apartment home level by 2030.

Environmental Benefits

Reduces GHG emissions

Conserves resources

Reduces pollution and improves air quality

Community Benefits

Provides easy process to accommodate e-commerce growth

Declutters trash rooms

Receives positive resident feedback

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Nature-based Solutions

All new developments feature street trees and responsible landscaping strategies that provide numerous environmental and social benefits to residents and local neighborhoods. The trees support stormwater management, provide habitat to native species and help reduce the heat island effect. To focus on water efficiency, Gables requires that new developments utilize drought-tolerant and native landscaping and that operations follow a seasonal planting and mulching schedule to conserve water. Additionally, street trees help create a pedestrian-focused streetscape that encourages people to enjoy the outdoors and embrace a more active lifestyle.

Gables Central Park was the first multifamily community to participate in the Austin Energy Green Building Certification program. The community features a large shared on-site pond constructed as a bioswale that helps manage stormwater runoff and prevents downstream flooding. Beyond providing these ecosystem services and promoting biodiversity, this natural space is open to the public and is home to several preserved heritage trees, including Austin’s 2008 Tree of the Year. Along with a 0.8-mile urban walking trail, this picturesque park serves as a functional water feature and a community anchor.

Gables Pointe 14 is a community built on an urban infill site with a functional, decorative rainwater capture and filtration system. Starting with rainwater capture on the roof, the water filters through a series of ornamental bio-ponds before making its way to a retention vault, where it is slowly released into the stormwater system. Because the bio-ponds are visible elements of the community entrance, they were designed with an architectural flair to make them both useful and visually stunning.

Gables Arsenal Street has a lush rain garden that provides recreational benefits and ecosystem services. Referred to as the third courtyard, this vibrant greenspace offers residents an area for relaxation, outdoor grilling and dog-walking. Additionally, the rain garden helps manage the community’s storm water while also providing habitat for local pollinators such as bees, butterflies, birds, squirrels and rabbits. During a rain event, the garden supports stormwater retention and management by better enabling the water to infiltrate the soil, helping remove pollutants and replenish our water supply.

Gables Brookhaven and Gables Park Tower communities both have rainwater and condensate collection and retention systems to support on-site irrigation needs. This conserves potable water and reduces flow to the downstream sewer system. Gables Park Tower’s aboveground cistern is wrapped in a decorative metallic casing, whereas Gables Brookhaven’s 75,000-cubic-foot cistern is underground.

RAIN GARDEN GABLES ARSENAL STREET WATERTOWN, MA

RAINWATER CAPTURE AND FILTRATION SYSTEM GABLES POINTE 14 ARLINGTON, VA

Commitment to Net Zero

In 2021, Gables committed to ULI Greenprint’s Net Zero imperative to reach operational net zero carbon emissions across our portfolio by 2050. Gables built upon this commitment in 2022 by formally writing our Net Zero Policy, which outlines seven target areas to work toward for our net zero goal:

Carbon measurement

Energy efficiency & conservation

On-site renewables

Off-site renewables

New development strategies

Electrification

Associate & resident engagement

DC Area Community Solar Program

Where feasible, we want to empower our residents with energy choices. For our residents in the District of Columbia (DC), we offer access to a local utility’s community solar program. By subscribing to the program, our DC residents reap the benefits of clean renewable energy produced at a local solar project in Anacostia, DC. This allows them to support a cleaner energy grid and take advantage of guaranteed utility cost savings without having to incur the costs of installation and system ownership.

Expanding Renewable Energy

In 2022, Gables purchased sufficient US-based, green e-certified renewable energy credits (RECs) to offset 83% of our common-area electricity load, putting us well ahead of our 2030 goal to cover 50% of common-area electricity use with renewable energy by 2030.

While RECs will continue to play an important part of our net zero strategy, our focus is on renewable energy development to boost local impact and take greater control of our energy generation. We include renewable energy feasibility studies in all new developments, and we have three on-site solar system projects currently under development.

29 kW generated by solar and battery storage system

42,000 kWh/yr operational since 2019

104 kW projected to be provided by solar system

operational as of May 2023

426 kW projected to be provided by solar system

under development; expected for 2024 completion

691,000kWh/yr designed to supply power to EV charging stations, residents, and to the extent available, common area

456 kW projected to be provided by solar system

under development; expected for 2024 completion

152,000 kWh/yr designed to supply 20% of common area electricity demand

687,00 kWh/yr designed to supply power to EV charging stations, residents, and to the extent available, common area

The Ashley Gables Buckhead Gables Vinings Village

Gables Oak Creek

Gables Alta Murrieta

Environmental Performance

Gables prioritizes quality data coverage to evaluate progress, report with transparency and identify improvement opportunities. In 2022, Gables initiated a service that will provide whole-building data for nearly 100% of our communities in the coming year. In addition to expanding our eligibility for ENERGY STAR certification, this data will provide greater insight into individual communities’ energy and resource-use intensity, enabling the development of more programs and concepts to reduce consumption, conserve resources and improve environmental performance across our portfolio.

Goals & Targets

Gables is committed to the ongoing improvement of our portfolio’s environmental performance. In addition to our net zero and renewable energy goals, Gables has established 2030 goals and targets for emissions, energy usage, water consumption and recycling. Annually, we measure our performance towards our 2030 goals on a like-for-like basis, accounting for changes to the portfolio from sales and additions of new developments.

Emissions

Goal: Reduce portfolio-wide greenhouse gas emissions 20% by 2030 compared to a 2019 baseline.

In 2022, Gables portfolio’s performance outpaced the annual reductions of scope 1 and 2 emissions needed to meet our 2030 goal for operational emissions from owner-controlled operations. 37% of Gables communities have achieved our 2030 goal. This is attributed to improved energy performance and “greening of the grid” in eight out of ten Gables regions, which reduces our emissions associated with electricity procurement as the energy grid becomes less carbon intensive.

Energy

Goal: Reduce portfolio-wide energy usage 20% by 2030 compared to a 2019 baseline.

The like-for-like portfolio is on track to achieve our 2030 goal as a result of operational changes, small scale self-performed retrofits and capital investments in LED retrofits. 30% of Gables communities have achieved the 2030 energy reduction goal.

Water

Goal: Reduce portfolio-wide water consumption 10% by 2030 compared to a 2019 baseline. Water use increased compared to the baseline year. Gables recognizes the need to dedicate effort and resources toward reducing water consumption. 35% of communities have received performance improving upgrades, and we will evaluate how best to scale these initiatives to the whole portfolio over the next few years.

Waste

Goal: Increase the apartment-home-level recycling rate 10% by 2030 compared to a 2019 baseline.

By maintaining recycling levels from the previous year, Gables’ 2022 performance exceeded the pace required to meet our 2030 goal. 44% of communities are on track with their annual cumulative target, with 33% of communities having already surpassed the 10% threshold established in our 2030 goal. In 2022, we improved our ability to track and monitor waste data. With greater and more frequent access to waste diversion metrics, we will be able to make strategic adjustments as we continue to pursue our 2030 target.

Emissions

Energy

Renewable Energy

Goal: Utilize renewable energy for 50% of common-area electricity usage by 2030

Practices Driving Performance

Renewable Energy

Gables’ dedication to environmental stewardship is reflected in our ongoing efforts to identify opportunities for improvement and ensure responsible resource management.

First, Gables conducts technical building audits for energy, water and waste systems at all our communities to assess performance and develop resource- and cost-saving strategies. Audits are performed every few years. The percentages below show the portfolio coverage of communities with audits conducted over the last 3 years:

75% Energy Audits

82% Water Audits

80% Waste Audits

Next, Gables maintains an enhanced leak detection program that works in conjunction with sub-metered water systems to ensure that excessive water consumption is flagged for inspection. This supports efforts to keep water within our local system and minimize utility costs.

Finally, Gables works diligently to meet or exceed our new development standard for waste diversion. In 2022, Gables diverted 91% of the waste derived from active construction projects. This involved responsible management of over 1,100 tons of material— largely gypsum, drywall and sheetrock, wood, concrete and metal— from demolition and construction. This surpassed our internal standard of 75% waste diversion, highlighting our teams’ commitment to supporting the environment and communities we serve.

FOCUS FEATURE

Commitment to Improving Performance

Recent water conservation efforts at Gables Ponce in Coral Gables, Florida, demonstrate our team’s diligence toward assessing resource consumption to improve performance. We identified an increase in Gables Ponce’s water consumption by reviewing performance reports. Gables Ponce’s service team, led by Regional Service Manager Guillermo Soca and assisted by our Sustainability team, evaluated the historical meter data until determining that the increased usage was coming from the common areas tied to the main house meter. An extensive inspection conducted by Guillermo and the on-site team revealed that an indoor water feature located in the office lobby had a defective autofill valve. With the autofill valve replaced, the community’s total water consumption dropped by more than 30% by the end of 2022.

This discovery resulted in two significant improvements to our water management strategy. First, service teams across our portfolio have a new procedure to manage the use of autofill valves. Secondly, the Investment team adopted a standard for new developments that eliminated the use of water features that are not directly connected to the pool. The diligence of Guillermo and Gables Ponce’s service team in detecting and remedying a hard-to-find leak significantly reduced the community’s water consumption and had a widespread impact on management of water features across our portfolio.

Green Building Certifications

Gables has integrated the pursuit of green building certifications into standard practice. All new developments must meet the requirements to become a Fitwel-certified community as well as obtain certification from

one of six Gables-approved green building certification systems. Additionally, we pursue certification for stabilized communities to demonstrate our commitment to sustainability and best management practices.

Social Focus

Our Commitment to Diversity, Equity & Inclusion

Our ongoing commitment to our diversity, equity and inclusion (DEI) social goals applies a greater DEI lens to every facet of our company. This allows us to produce cohesive messaging that associates, residents and prospects can embrace as we work to meaningfully advance our DEI program. Adopting principles that support DEI is not just the right thing to do; it also benefits the company’s bottom line. By creating a welcoming and inclusive workplace, Gables can attract and retain top talent, foster a culture of innovation, and continue to build brand recognition in the community.

DEI at Our Core

Diversity, equity and inclusion are essential components of building a successful and thriving company.

Boosts creativity and innovation: A diverse team brings different perspectives, experiences and ideas to the table, which can lead to new and innovative solutions to challenges.

Enhances decision-making: A diverse company is more representative of the customer base, improving customer understanding and leading to improved decision making.

Increases employee engagement and retention: When employees feel valued and included, they are more likely to be engaged in their work and committed to our company.

Builds a positive reputation: Companies that prioritize diversity, equity and inclusion are viewed positively by their stakeholders, including customers, employees and investors.

Fosters a culture of fairness and equality: Embracing diversity, equity and inclusion creates a healthy and dynamic workplace culture where everyone is treated with respect, fairness and equality.

DEI principles permeate throughout our entire organization. Our approach weaves in the concept of accessibility to ensure our policies, practices and programs are usable and available for everyone.

Advancing Toward Our Social Goals

In 2022, we continued to focus on our goals:

Goal Goal Goal Goal

Increase diversity of Gables workforce and the leadership team to be more reflective of racial and ethnic diversity in the U.S. population

Increase the racial and ethnic diversity of our senior leadership team, corporate office teams and property management on-site teams to 30% by 2030.

1 2 3 4

Ensure on-site teams are reflective of the local community served while increasing racial and ethnic diversity in the community manager role from the current level of 30% to 40% by 2023.

Improve gender balance in each corporate department and in property management on-site office teams by 2030, including representation from those who are gender non-conforming.

Equity in programs, policies, systems and practices

Continue the restructuring of the external hiring process and internal promotion process to include a greater diverse slate requirement.

Supplier diversity

Continue the development and implementation of a scalable, trackable and measurable supplier diversity program that will expand and improve inclusive procurement efforts and spend with diverse suppliers and vendors.

Promote and nurture a culture of inclusion and belonging

Pursue our commitment to fund and implement a program focused on mental, physical and financial wellness that takes into consideration the unique needs of Gables’ diverse population.

Leverage associates’ diverse voices to elevate awareness and celebrate diversity and multiculturalism consistently and authentically, internally and within Gables communities.

2022 Achievements

Our progress in 2022 toward achieving greater workplace diversity and advancing our social goals and DEI initiatives reflects our efforts to achieve change.

Diversified Gables workforce.

Officer Diversity

O cer Diversity

2022

9.3% Diversity

Social Goal 2

Assessed and restructured our hiring and promotion strategy to prepare for a 2023 rollout of new processes; strengthened touchpoints with associates to make engagement more actionable.

Created an Onboarding Taskforce to ensure a welcoming and all-encompassing experience upon joining Gables.

Implemented Career Hub, a repository for all associates’ skills, competencies and experiences, to help develop a robust succession building process and empower associates to take control of their careers. Expanded partnerships with technology schools and other related trade schools.

Added DEI-focused questions to our associate surveys.

Implemented a new recruitment process.

Social Goal 3

Organized and evaluated our supplier ecosystem to establish an action plan to increase supplier diversity. Completed vendors/suppliers/ contractors company classifications. Calculated current diverse supplier spend totals.

Defined supplier diversity principles and policies.

Initiated buildout of the Supplier Diversity Portal on Gables.com

Social Goal 4

2022 marked the first full year of operations for Represented, our DEI Council. Comprised of associates and two executive sponsors, Represented serves as the voice for the people. The Council focuses on three areas: Outreach, Marketing and Talent. These focus areas are supported by subcommittees, often in tandem with the respective departments. Gables works diligently to ensure that all of our regions have representation within the Council. This helps develop an inclusive program and leads to well informed associates. The achievements below reflect the Council’s and Gables’ ongoing efforts to enhance inclusivity and belonging within our company culture:

Added to our collection of assets on Gables DEI Digital Library to support associates’ self-education. Expanded themes in Gables Honors, our thematic approach to celebrating DEI topics and recognizing diversity via Heritage Months and holidays.

Created a DEI-specific email channel for associates to share ideas and opinions. Launched a Speaker Series in partnership with Fit4Funds that included an inspiring lineup of professionals who educated and drove awareness on important topics such as mental health, challenges facing working mothers and caregivers, and health and wellness.

Launched a DEI section on the company’s intranet to communicate, educate and provide resources to associates on all things DEI.

“As an inaugural Gables DEI Council member, I can say without a doubt that this experience continues to be one of the most fulfilling in my 20+ year career. Given the diversity of our associates, it is an honor for me to share my thoughts and experiences, along with listening to their own. It is my belief that the incremental, consistent initiatives achieved by this Council will continue to promote an overall cultural shift. Our mandate is much more than tracking goals and talking points…it’s to help ensure the goals are a fabric of our organizational DNA.”

Lee Horner Director of Construction

“As a culture champion, I believe in developing and cultivating a healthy workplace or “Taking Care of the Way You Work.” Because of this, my decision to apply for the DEI Council was a natural choice. The philosophy behind DEI directly aligns with my core values. I without question wanted to champion this initiative with our organization and be at the forefront of how it emerges. While the Council was only established in late 2021, since its inception, we have received meaningful feedback that has already resulted in major changes. I am so thankful to work for a company that places significance on culture. I look forward to continuing to support this effort.”

Stephanie Carter General Manager

Taking Care of Associates

Our associates make all the difference in upholding our mission of Taking Care of the Way You Live. As the cornerstone of our success, associates receive robust benefits and ample opportunity to connect with peers, engage in professional development and contribute toward our company culture. These experiences enhance the inclusivity of Gables’ workplace and influence associates both professionally and personally.

Health & Wellbeing

Our associates receive an extensive benefits package to support their physical, mental and financial wellbeing.

Physical Health

Comprehensive healthcare coverage

24/7 access to telehealth physicians

Open access to community fitness centers

Fit4Funds wellness program for a healthy and active lifestyle

Employer-matched 401(k) plan

Life insurance

Short- and long-term disability benefits

24/7 access to employee assistance program

MentalHealth

Sick and personal days

Vacation time that increases with every five years of employment

Six-week paid sabbatical after ten years of service, and every five years thereafter

The Fit4Funds digital platform provides a comprehensive suite of tools and resources to support associates’ continued development of their mental and physical health. Associates who participate in Fit4Funds programs earn incentives through our rewards and recognition program, Ovations.

In 2022, our Fit4Funds Challenge, Take Steps to Learn, offered associates the opportunity to take walks and virtually explore distinct cultures with the aim of uncovering biases and building greater acceptance. With notable points incentives for the greatest distances walked, our Fit4Funds program promotes associates’ complete wellbeing.

The Sunshine Fund

Gables’ associates are there for one another. When an associate experiences hardship — whether it be from health complications, the loss of a loved one, devastation from a natural disaster or other struggles — our associate-sponsored Sunshine Fund is there to help alleviate the financial burden. This epitomizes how Gables cultivates a caring company culture.

Associate Recognition

Ovations

Ovations, our online rewards program, enables supervisors and fellow associates to recognize associates for standout performance. Associates earn points by being recognized as well as through participation in various Gables programs. Points can be exchanged for valuable gifts, such as paid time off, merchandise or sponsored travel experiences.

We recognize associates for excellence in:

In 2022, the Ovations page was visited 14,807 times

Ovations Day Celebrations

Every Gables region hosts two Ovations Day celebrations per year. These lively in-person events returned in 2022, granting associates opportunities to strengthen social ties, receive memorable recognition and revel in one another’s achievements.

Authentic Authors

Our Authentic Authors initiative is an empowering storytelling program that enables associates to share how their personal or cultural background shaped their lives. This provides associates with a welcoming environment to delve into their lives, experiences and heritage in a creative way. Stories are only shared internally, and they provide our associates with opportunities to read and learn about their fellow associates’ unique perspectives and cultural identities.

In Celebration o

Setting the Course of My Ship by Discovering the Leader in Me

“…It matters not how strait the gate, How charged with punishments the scroll, I am the master of my fate: I am the captain of my soul.”

-William Ernest Henley

The Ship That Life Built

Higher education was not a common part of regular conversations in my underrepresented community as a kid. With limited exposure in this area, "I did not know what I did not know," and as I would later learn, education/knowledge is vital to a thriving community. Additionally, circumstances required my family to relocate often, also a common theme. We were regularly uprooted, and stability seemed a bit foreign. However, moving to various places allowed me to see glimpses of cultures and communities, which created a deep curiosity. Ultimately, the curiosity set me on a journey to reposition my situation through the desire for education/knowledge, leadership development, establishing relationships and resources to positively impact any community I would call home.

Determined to satisfy the curiosity, everything was self-taught, and the journey was challenging with many ups and downs.  Needing to cover more ground, I was introduced to the concept of mentorship; however, in my community, mentorship access was also rare. One day it dawned on me, my need reflected my community’s need–mentorship, through knowledge and generous leadership.

The Crucial Leader

Training & Development

Our associates are offered opportunities and resources to elevate their knowledge base and advance their professional status. Gables ensures that associates receive proper mentorship, continuing education opportunities and training for career development.

Success Coaches

In addition to a strong onboarding training program, associates can work with Success Coaches to help guide and develop their professional skill set. All associates have access to robust training resources to help further develop their professional skills, and newer associates can elect to pair with senior associates for peer-to-peer guidance.

Support with Continuing Education

Several continuing education opportunities open to associates after a year of employment. Associates become eligible for a $1,000 reimbursement for tuition applied to third-party courses related to the associate’s role. Additionally, associates and their children can apply for the Gables Forever Great Scholarship Program, a grant program offering financial assistance toward undergraduate or vocational degree programs.

Career Development

In-house training is available to all associates seeking to improve within their current role. Additionally, Gables offers invitation-only participation in our Leadership Program and Gables Leadership Institute (GLI). The Leadership Program aims to bolster associates’ managerial and strategic thinking skills via a five-month series of in-person training. GLI is an applicationonly opportunity for seasoned associates who are interested in developing into future leaders of the company.

Associate Engagement Surveys

Associate surveys reflect the care and attentiveness we put toward engaging with our associates. Working with an employee experience platform, Gables conducts semi-annual associate satisfaction surveys to gain associates’ perspective on our company and identify opportunities for improvement.

Net Promoter Scores

Associate

Satisfaction -100 100 0

Enhancing the Resident Lifestyle

Gables focuses on establishing an exciting and memorable resident journey experience. Alongside our dedicated property management teams, our communities boast stellar amenities, high-quality apartments and a welcoming community atmosphere that provide our residents a place to call home.

Stellar Community Features

Bike repair and storage stations

Gables supports healthy and active lifestyles. These are well utilized community features, and in many regions, they are an absolute must for fitness and transportation options.

Outdoor kitchens

Equipped with grills, refrigerators, bars and table seating, our outdoor kitchens encourage residents to enjoy the outdoors and socialize with others.

Furry Friends

We promote pet-friendly communities and organize pet-themed events and contests. Location-specific features can include dog parks, dog spas and other pet-friendly programming.

Fitness centers

Our fitness centers feature a range of free weights, machines and cardio equipment. Many Gables communities provide yoga studios. Our fitness centers also include the latest in fitness equipment and other green amenities like water-bottle refill stations, helping residents reduce waste and stay hydrated.

GABLES SPEER BLVD, DENVER, CO

GABLES SEAPORT, BOSTON, MA

Exceptional Living Environments

From the communal space to inside the apartment homes, Gables utilizes materials, products and design that enhance indoor air quality and overall resident wellbeing.

Limiting indoor pollutants

Sealed ductwork and vents during construction and renovation

Use of low-VOC paints, sealants and flooring adhesives

Pulling fresh air inside through operable windows, bathroom fans and mechanical systems

Use of MERV 4 filters in mechanical systems

Utilizing green cleaning supplies

Advancing rollout of Smoke Free for You and Me program to transition 100% of our portfolio to smoke-free communities

Creating optimal living

Large, energy-efficient windows to draw in natural light and maintain desired temperature

Acoustics solutions to minimize noise pollution and protect privacy

9% Transitioning to Smoke Free

Gables Smoke Free

Community Summary

91% Completely Smoke Free

GABLES PARK 17, DALLAS, TX

A Spirited Community

Gables creates communities that fill residents with a proud sense of belonging. Through community events and other social activities, we provide opportunities that make belonging to our communities a lifestyle choice.

Resident Satisfaction

0

Gables conducts ongoing resident satisfaction surveys to evaluate our performance and identify opportunities for improvement. These surveys provide insight into how residents feel about our customer service, community amenities and their overall living experience.

-100 100

Net Promoter Scores

A metric on a -100—100 scale that reveals residents’ willingness to recommend their Gables community to a friend or colleague.

CAPTIVATE! Loyalty Program

Resident Satisfaction

0

56.5 Overall net promoter score

-100 100

To further promote the importance of community, Gables offers residents loyalty points via CAPTIVATE! Residents receive points for participation in community events and resident satisfaction surveys, amongst other things. As an expression of gratitude for their involvement, residents can exchange their points for rewards or home improvement vouchers.

63% of eligible residents participated in the CAPTIVATE! loyalty program in 2022.

Enhancing Communities

Gables takes pride in being a strong ambassador of community development. We work hard to maintain partnerships that align with our values and to utilize our human capital resources to give back to our local communities while representing the multifamily industry.

Gables Day Across the Company

Gables Day is an all-day team activity focused on community service. Our associates across the country take a day to enhance the community at-large by giving back via an all-day project.

Denver

October 13th at City Park

Partnered with Denver’s Parks & Recreation Department to help winterize the park through landscape and site maintenance.

Southern California

October 19th at Safe House in Riverside County

Provided support by helping to repair and paint the 25-unit property.

Austin

October 14th at Pease Park

Improved the park through landscape management, trail maintenance and installation of native plants.

Houston

October 11th at Independence Heights Park

Refurbished the community center and surrounding area.

Dallas

November 18th at Bachman Lake Recreational Center

Partnered with the City of Dallas, Friends of Bachman Lake and Greenspace Dallas to perform a cleanup of the park, lake and recreation areas.

Boston

October 13th at East Boston High School

Beautified the school’s exterior by removing weeds and cleaning the surrounding area.

Washington D.C.

November 3rd at Rock Creek Conservancy

Contributed to the ongoing restoration work of the conservancy by beautifying the Carter Barron Amphitheater.

Atlanta

November 2nd at Piedmont Park

Partnered with Piedmont Park Conservancy to enhance the park by gardening, managing landscape and cleaning.

South Florida

November 18th at Achievement

Centers for Children & Families in Delray Beach

Participated in a variety of projects to help improve and beautify the center’s campus.

Community Partnerships

Gables enhances our impact through meaningful community partnerships that help strengthen our mission and advance our goals.

Guardian Angels Medical Service Dogs

Since 2016, Gables has supported Guardian Angels Medical Service Dogs, Inc., a national nonprofit organization that rescues, raises and trains medical service dogs to be paired with veterans and others afflicted by disabilities. Our Paws to Care Program connects residents to this significant cause, and we make it easy for them to show support by enabling donations through our CAPTIVATE! loyalty program.

In 2022, Gables raised

$4,005 from

277 donors

for Guardian Angels Medical Service Dogs

Urban Alliance

Urban Alliance aims to connect underprivileged high school students to equitable and inclusive careers. Gables’ partnership with Urban Alliance enables us to bolster and diversify our talent pipeline while providing deserving youth with experience in the property management industry. Gables sponsored one paid intern per year in 2021 and 2022, each of whom worked with our leasing team. In 2023, we anticipate expanding our scope to include multiple interns across leasing and maintenance.

Shelters to Shutters

Recognizing the impact that strong community ties have on alleviating social hardship, Gables proudly supports Shelters to Shutters. This Virginia-based nonprofit helps individuals lift themselves out of situational homelessness by providing them with employment, housing and career training opportunities. As an active partner, Gables currently has two Shelters to Shutters associates — both of whom have passed their one-year work anniversary — working out of our Atlanta region.

NOVA, GABLES SPONSORED SERVICE DOG

Industry Leadership

For Gables, being an industry leader involves sharing best practices and contributing to the success of the wider multifamily industry. Numerous members of our leadership team participate in industry-related boards and speak at industry conferences.

Susan Ansel

President & CEO

NMHC Board of Directors — Past Chairwoman & Executive Committee Member

The Real Estate Council, Dallas, TX — Member

Urban Land Institute — Member

Harvard Joint Center for Housing Studies, Policy Advisory Board — Member

Gigi Giannoni

Senior VP, Customer Experience & Marketing

NMHC, OpTech — CoChair

NMHC — Speaker & Member of Marketing Executive Committee

MFE, Women of Influence — Member

Apartment Innovation & Marketing (AIM) Conference — Speaker

Real Estate Technology Conference — Speaker

Dawn Severt

Executive VP & CFO

NMHC, Executive Committee — Member

NMHC, Investment Committee — Chair

Harvard Joint Center for Housing Studies, Policy Advisory Board — Member

Matthew Bearden

Senior VP, Construction

NMHC Design and Construction Committee — Chairman

NMHC National Meeting, Main Panel — Speaker

Southeast Multifamily Forum, March 31, 2022 — Panelist

BUILT National — Board Member

Built National Multifamily Summit 2022 — Panelist

James Hamrick

VP, Technology

NMHC Enterprise Technology and Business Intelligence Committee — Chair

NMHC Webinar, The state of multifamily technology — Host & Speaker

NMHC OPTECH Town Hall, Managing your data — Moderator & Speaker

GeorgiaCIO — Member

Will Gosnell

VP, Internal Audit & Compliance

NAA National Affordable Housing Committee — Member

Institute of Internal Auditors — Member of Atlanta

IIA Chapter Board of Governors; Chief Audit Executive Roundtable

Governance Focus

Governance Risk Management

At Gables, we are continually reviewing and improving our risk management strategies to provide industry-leading protection for residents, associates and partners.

Governance Policies

Strict adherence to our governance policies ensures that we operate ethically and uphold a high degree of accountability. All associates have access to our policies, and should they have questions, there are established procedures to source answers.

While not exhaustive, the following list represents policies all Gables associates follow:

Bribery and Corruption

Data Protection and Privacy

Information Technology Security

Fiduciary Duty

Fraud

Open Communication Policy

Political Contributions

Shareholder Rights

Vendor Compliance

Whistleblower Protection

GABLES POST OAK, HOUSTON, TX

Cybersecurity

We made significant strides in 2022 to further strengthen our cybersecurity program:

Hired a Director of Cybersecurity.

Updated our Incident Response Plan.

Conducted internal and external penetration tests to evaluate the integrity and vulnerability of our systems.

Implemented a new enhanced security software platform to continue to protect Gables’ computers and devices, regardless of location.

Strengthened our layers of security as we moved infrastructure from data centers to cloudbased systems.

Updated our privacy policies to remain in compliance with anticipated 2023 regulatory requirements.

Gables also provides associates with access to a robust cybersecurity awareness program to support team-wide efforts toward upholding best practices. The program exposes associates to quarterly phishing campaigns, sporadic test emails, and weekly tips and tricks on identifying and managing cybersecurity threats.

CRIMSON, HOUSTON, TX

The Sustainability Advisory Council

Established in 2017, the Sustainability Advisory Council (SAC) continues to be the driving force for implementing and communicating environmental initiatives. SAC consists of six subcommittees that support the council’s objective of integrating environmental strategies and best practices into the fabric of our organization.

Renewable Energy focuses on meeting our company goals for renewable energy use by identifying opportunities and overseeing actions that advance our renewable energy portfolio, including on-site system development, offsite energy strategy and REC purchases.

Sustainability Culture focuses on developing communication strategies and programs that help boost associate awareness of environmental initiatives and their importance.

Subcommittees

Energy Management focuses on ways to reduce energy usage at our communities through property-level and portfolio-level initiatives.

New Developments

focuses on establishing cohesion and consistency across community design and construction operations by developing and facilitating the use of sustainability best practices.

Materials Management focuses on ways to help waste management and recycling programs be more effective.

Water Conservation focuses on helping communities reduce water consumption.

SDGs in Action

The U.N. Sustainable Development Goals were created in 2015 to help guide global efforts toward ending poverty and developing a more sustainable world by 2030. Gables is proud to have adopted eight of the 17 SDGs that most align with our business operations.

SDG Description Category Action Progress

Ensure healthy lives and promote well-being for all at all ages.

Health Provides best-in-class associate health and wellness benefits plans and programs

Health Manages indoor environmental quality at communities through indoor air quality management practices, smoke fee policies, building material selections and green cleaning policies

Health Promotes active lifestyles for residents by incorporating amenities, fitness center, swimming pools, and active design elements in communities

Health Report “Walk and Bike Scores” on Gables.com and in our annual corporate citizenship report

Certification Participates with eight certified Fitwel communities, and all new developments pursue Fitwel Design certification

Complete and Ongoing

Complete and Ongoing

Complete and Ongoing

Complete and Ongoing

Complete and Ongoing

Achieve gender equality and empower all women and girls.

Diversity, Gender, Equality Assess job profiles to ensure recruitment of a diverse field of candidates for all openings

Diversity, Gender, Equality Analyze compensation levels (by gender and race) for each position in each region

Diversity, Gender, Equality All associates to undergo training on unconscious bias

Diversity, Gender, Equality Partner with outside consultant to expand awareness of diversity, equity and inclusion

Complete and Ongoing

Complete and Ongoing

Complete and Ongoing

Complete and Ongoing

Ensure availability and sustainable management of water and sanitation for all.

Water Set 2030 water goal, with actionable plans to increase water-use efficiency through retrofits. Goal: Reduce water use by 10% by 2030, compared to 2019 levels.

Water Set guidelines for plumbing fixture flow rates in new developments

Reporting Generate 100% water data coverage across the portfolio for analysis

Complete

Complete

Complete

Ensure access to affordable, reliable, sustainable and modern energy for all.

Energy Set 2030 energy and GHG emissions goal. Goal: Reduce common area energy use and GHG emissions by 20% by 2030, compared to 2019 levels.

Renewable Energy Set 2030 renewable energy goal. Goal: Increase renewable energy use by 50% by 2030, compared to 2019 levels.

Renewable Energy Set policy to conduct renewable energy feasibility study for all new developments

Renewable Energy Study feasibility of solar energy implementation in stabilized communities

Certifications Prioritize ENERGY STAR certifications: Gables certified 16 communities with ENERGY STAR in 2022

Complete

Complete

Complete

Ongoing

Complete and Ongoing

Build resistant infrastructure, promote inclusive and sustainable industrialization and foster innovation.

Certifications

Resilient Building Design

Establish goal of 100% of new developments earning green building certifications

Evaluate resilience during the design and construction process

Complete

In Process

SDG Description Category Action Progress

Build resistant infrastructure, promote inclusive and sustainable industrialization and foster innovation.

Risk Monitoring Monitor climate risk and resiliency through portfolio-wide assessments to manage risk

Energy and Water Pilot new clean and sustainable technologies and services to support resource-use efficiency

Education Stay involved in industry organizations and support research to foster innovation

Complete and Ongoing

Ongoing

Ongoing

Make cities and human settlements inclusive, safe, resilient, and sustainable.

Housing Affordability Study rent-to-income ratios to evaluate housing affordability

Risk Monitoring Invest in safety measures at all communities to ensure access to safe housing

Alternative Transportation Locate communities convenient to public transit and emphasize walkability, bikeability

Sustainable Development Focus development in urban areas, enhancing sustainable urbanization

Alternative Transportation Increase electric vehicle charging infrastructure throughout the portfolio.

Community Involvement Encourage Gables associates to volunteer annually to support local nonprofits and community

Complete and Ongoing

Ongoing

Ongoing

Ongoing

Ongoing

Ongoing

Ensure sustainable consumption and production patterns.

Policy Set sustainable procurement guidelines for offices and CapEx projects

Complete

Reporting Publish an annual corporate citizenship report Complete and Ongoing

Waste Set 2030 waste goal. Goal: Increase recycling in apartment homes by 10% by 2030, compared to 2019 levels.

Waste Generate 100% waste data coverage across the portfolio for analysis

Waste Add new material collection types (glass) to recycling programs

Waste Plan use of construction materials to use fewer materials, minimize waste

Waste Maintain a construction waste diversion program for new developments

Education Educate associates on reducing energy, water and waste in communities and offices

Education Promote recycling to residents through social media, other communications

Education Educate residents on how to live more sustainably through social media, lease language, events

Complete

Complete and Ongoing

Ongoing

Ongoing

Complete

Ongoing

Ongoing

Ongoing

Protect, restore and promote sustainable use of terrestrial ecosystems, sustainably manage forests, combat desertification, and halt and reverse land degradation and halt biodiversity loss.

Biodiversity Protect biodiversity and habitats during construction and major renovation projects

Biodiversity Include pollinator plants in all new landscape installations (for both new, existing communities)

Biodiversity Work with local nonprofits to relocate beehives when found in inappropriate locations

Ongoing

Ongoing

Ongoing

Sustainability Partnerships

Partnerships with these industry-leading organizations help advance our ESG program and strengthen our ability to achieve corporate goals.

SOUTHFACE INSTITUTE

Southface promotes sustainable homes, workplaces and communities through education, research, advocacy and technical assistance. Gables is a member of the institute and uses its EarthCraft certification program when designing and building new developments in the southeastern U.S.

GRESB is the leading assessment for ESG performance of real estate assets and provides standardized data to investors. Gables completes the assessment annually.

BETTER BUILDINGS ALLIANCE

The U.S. Department of Energy (DOE) brings together commercial building leaders with DOE technical experts to identify information gaps and develop and share innovative and cost-effective solutions to advance energy efficiency.

U.S. GREEN BUILDING COUNCIL® (USGBC)

The USGBC created LEED (Leadership in Energy and Environmental Design), the leading certification program for green buildings and communities worldwide. Gables is a USGBC member and uses the LEED rating system in new development design and construction.

INSTITUTE OF REAL ESTATE MANAGEMENT (IREM)

The IREM Certified Sustainable Property program allows properties to gain recognition when not covered by other programs and to extend sustainability across portfolios. IREM certifies office properties, multifamily communities, distribution warehouses and shopping centers.

GRESB®

UN SUSTAINABLE DEVELOPMENT GOALS

The United Nations Sustainable Development Goals were developed as a blueprint for sustainable development, economic growth, social inclusion, environmental protection and health for all nations and all humankind. Adopted by all UN member nations in 2015, the goals are utilized by companies worldwide to assess their ESG progress.

ENERGY STAR

Developed by the U.S. Environmental Protection Agency (EPA), ENERGY STAR Portfolio Manager is the leading tool for tracking building performance. Gables benchmarks energy use, GHG emissions, water use and waste of all communities using ENERGY STAR Portfolio Manager® and certifies communities with the ENERGY STAR label.

ULI GREENPRINT CENTER FOR BUILDING PERFORMANCE

ULI Greenprint is a worldwide alliance of leading real estate owners, investors and strategic partners committed to reducing GHG emissions by 50% by 2030 and 100% by 2050. In 2019, Gables joined Clarion Partners, our fund manager, in reporting our annual sustainability metrics to ULI Greenprint, along with 8,900+ commercial real estate assets.

VERDANI PARTNERS

Verdani Partners is a leading full-service ESG consulting firm with a core focus on accelerating sustainability in the built environment. Gables uses Verdani’s communication services to support the content writing and design production for our annual Corporate Citizenship Report.

FITWEL

As a leading certification system, Fitwel is committed to building health for all®. Gables became a Fitwel Champion in 2020. Fitwel Champions are companies that own, occupy or manage commercial and residential communities and have committed to using Fitwel at a portfolio scale.

Reporting & Disclosure

GABLES RESIDENCES, DENVER, CO

Data & Reporting Methodology

Ensuring comprehensive and reliable data is crucial for advancing towards our objectives and evaluating the effectiveness of potential efficiency projects. Our reporting procedures involve collecting asset-level data on energy, greenhouse gas emissions, water and waste. Data is managed in ENERGY STAR Portfolio Manager and uploaded to Measurabl’s Data Management System. Gables has 100% data coverage for water, waste and common-area energy, and is collecting whole-building data for the majority of the portfolio’s square footage. After being verified by a third-party assurance provider, this data is used for our GRESB submission and annual Corporate Citizenship Report.

Gables partners with multiple organizations to facilitate data collection:

Energy and water utility data are collected by Yardi Energy Solutions. Waste data is collected by CASS Information Systems, Inc. and Recycle Track Systems.

In addition to the quality control measures performed by our vendors, Gables has an extensive data verification process that further reinforces the reliability of our data.

Environmental Data Assurance

2023 marked the fourth consecutive year that Gables sought independent verification of the previous year’s data on energy, greenhouse gas emissions, water and waste. This verification process was conducted by ISOS Group, Inc., a professional services firm specializing in sustainability reporting, particularly under the Global Resources Initiative (GRI), CDP and GRESB frameworks.

ISOS Group holds the distinction of being a Global Reporting Initiative Certified Training Partner for the United States and a CDP Silver Education and Training Partner in the United States, further emphasizing their expertise in sustainability reporting and proficiency as a provider of external assurance services. Their team of experts possesses the technical knowledge and competency required to perform assurance services in alignment with the AA1000 assurance standard, which meets the criteria for verifying environmental data.

For the detailed assurance statement, we invite you to visit our website at www.gables.com/everyday-green/

About TCFD & TCFD Index

The TCFD was established by the Financial Stability Board in 2015 to provide more effective financial disclosures pertaining to climate-related matters. By providing insight to better inform stakeholders on the concentration of carbon-related assets in the financial sector, the TCFD aims to bolster understanding of the financial sector’s exposure to climate-related risks and improve decision-making around investment, credit and insurance underwriting.

The TCFD’s recommendations on climate-related financial disclosures are based on four core elements of corporate operations: governance, strategy, risk management, and metrics and targets. This report details the suggested specific disclosures for each of these four elements.

SECTION DISCLOSURE GABLES' RESPONSE

1a. Governance Describe the board's oversight of climaterelated risks and opportunities.

Gables' Board of Directors holds responsibility for overseeing climate-related risks and opportunities. They are provided with updates and reports from senior leadership regarding the domains of risk and opportunity, encompassing both climaterelated transition and physical risks. Refer to Environmental Management System (pages 16–17).

1b. Governance Describe management's role in assessing and managing climate-related risks and opportunities.

In 2020, Gables instituted a risk management strategy that aligns with the recommendations of the TCFD. The Sustainability Advisory Council (SAC) at Gables is presented with updates on energy consumption, greenhouse gas emissions, green building certifications and building energy ratings to assess and appraise the advancement made towards our set goals and targets. Refer to Environmental Management System (pages 16-17) and The Sustainability Advisory Council (pages 76–77).

2a. Strategy Describe the climate-related risks and opportunities the organization has identified over the short, medium and long term.

Gables’ risk management strategy priorities the identification and management of climate-related risks across our portfolio. The Sustainability Advisory Council plays a leading role in this effort, while the Board of Directors provides oversight. Gables has commissioned a consultant to conduct a comprehensive evaluation of the identified climate-related risks in our portfolio, which has been utilized to inform our continued appraisal of policies and procedures. Refer to Environmental Management System (pages 16–17).

2b. Strategy Describe the impact of climaterelated risks and opportunities on the organization's business, strategy and financial planning.

2c. Strategy Describe the resilience of the organization's strategy, taking into consideration different climate-related scenarios, including a 2°C or lower scenario.

Gables leverages our environmental management system and standard operating procedures to plan, evaluate and execute strategies that manage climate-related transition and physical risk. Refer to Advancing Sustainability and Environmental Performance (pages 30–45).

Gables has established long-term targets to reduce energy consumption, lower greenhouse gas emissions and expand renewable energy generation. In 2021, Gables commited to ULI Greenprint's Net Zero imperative, and we built upon that with our 2022 Net Zero Policy. To mitigate environmental impact and promote resilience, Gables has embraced a comprehensive set of Sustainability & Resilience Policies. Refer to Sustainability & Resilience Policies (page 18) and Commitment to Net Zero (page 34).

SECTION DISCLOSURE

3a. Risk Management Describe the organization's process for identifying and assessing climaterelated risks.

3b. Risk Management Describe the organization's process for managing climate-related risks.

3c. Risk Management Describe how processes for identifying, assessing and managing climaterelated risks are integrated into the organization's overall risk management.

4a. Metrics & Targets Disclose the metrics used by the organization to assess climate-related risks and opportunities in line with its strategy and risk management process.

4b. Metrics & Targets Disclose Scope 1, Scope 2, and, if appropriate, Scope 3 greenhouse gas emissions, and the related risks.

4c. Metrics & Targets Describe the targets used by the organization to manage climate-related risks and opportunities and performance against targets.

GABLES' RESPONSE

Refer to responses for 1b, as well as 2a-c.

Refer to response for 2b.

Refer to responses for 1b, as well as 2a-c.

Gables leverages a range of performance metrics- GHG emissions, green building certifications, building energy ratings and assessments of physical climate risks- to evaluate climaterelated risks and opportunities.

Refer to Environmental Performance (pages 36–41).

Refer to Environmental Performance (pages 36–41).

About GRI & GRI Index

The Global Reporting Initiative (GRI) is an international nonprofit organization that provides universally recognized standards for reporting on an organization’s environmental, social and governance impact. GRI offers reporting principles, standard disclosures and an implementation manual to facilitate the preparation of sustainability reports. Developed through collaborative input from multiple stakeholders, GRI has become the world’s most widely adopted standard for sustainability reporting. Thousands of organizations, including the top 250 corporations globally, report annually. This widespread adoption enables governments, businesses and individuals to make decisions based on consistent reporting of environmental, social, economic and governance information.

GRESB Reporting

Gables has participated in the GRESB Real Estate Assessment since 2012. Our most recent sustainability performance is reflected in the 2022 GRESB Assessment scores for our stabilized and development portfolios. Clarion Gables Multifamily Trust (CGMT) improved the stabilized portfolio index score by seven points to 83 and its GRESB rating was elevated to four stars, ranking 9th out of 30. CGMT ranks 4th out of 8 for U.S. Non-Listed Residential operators with a development index score of 88.

At Gables, we are committed to progressing toward our ESG goals and are continually focused on performance improvement.

Gables GRESB Standing Investment Score by Year

Gables GRESB Development Score by Year

Gables Corporate Offices