Frasers Property Thailand’s industrial arm shares its big sustainability dreams
Sustainable development has helped Frasers Property Industrial (Thailand) or FPIT achieve its green goals despite high operational costs.
FPIT which builds as well as rents modern factories and warehouses, is a subsidiary of Frasers Property Thailand, a leading provider of integrated real estate platform.
FPIT CEO Sopon Racharaksa explained that structures that are sustainably developed open the door to better negotiations with customers.
Sustainable development is a rising trend thanks to the government’s moves to promote the bio-circular-green economy model.
“Following the sustainable development model has helped us build factories and warehouses that meet customers’ needs from various aspects like reducing greenhouse gas emissions and improving quality of life,” he said.
For this year, the renting of FPIT’s factories and warehouses is 84% and expect between 83-85% in next year based on the global supply chain and foreign investors, he added.
He said FPIT set five sustainability goals according to Frasers Property Group back in 2020. They are:
- Becoming a net-zero carbon corporation by 2050
- Becoming climate-resilient and establishing adaptation-cum-mitigation plans by 2024
- Getting at least 80% of its industrial properties “green certified” by 2024
- Ensuring most assets have green, sustainable financing by 2024
- Ensuring all employees are trained on sustainability.
Sopon explained that FPIT is gearing towards having all its industrial properties certified with green standards. Solar rooftops, LED (light-emitting diode) lighting and water-saving utilities have been installed to improve energy efficiency at FPIT’s facilities and proceed towards its net-zero carbon roadmap.
The company is also providing amenities like public parks, jogging tracks or sports centres near factories and warehouses in a bid to improve people’s lives.
“Since buildings will be utilized for over 30 to 40 years, they should meet the needs of society,” Sopon said.
He added that the company is also planning to install electric vehicles charging station at FPIT’s logistics parks to support its factories and warehouse tenants.
Sopon said at least half of the properties under FPIT have met green standards such as Leadership in Energy and Environmental Design (LEED), Excellence in Design for Greater Efficiencies (EDGE) and the Thai Rating of Energy and Environmental Sustainability (TREES).
He added that the company already took initiative to create an enabling social responsible environment and to comply with green buildings standards at the global level. It aims to achieve two standards: International Renewable Energy Certificate (I-REC) and WELL Building Standard.
FPIT is working towards environmental impact mitigation in order to achieve sustainable goals such as installing solar roof with electricity production capacity of 3.54 megawatts – it will invest more to increase another 5 megawatts next year - changing 3,251 old light bulbs into LEDs, organising energy-saving activities to reduce more than 3,000 tonnes of carbon dioxide emission.
In addition, FPIT has improving properties to meet green standards, in which more than 500,000 square metres of property areas have already met standards, while more than 220,000 square metres are waiting for certification and enhancing logistics parks to meet sustainable development and facilitate customers' operation.
With all sustainability initiatives FPIT put in place in 2022, bringing on FPIT’s six achievements:
- The Industrial Development of the Year - Thailand Award 2022 from the Real Estate Asia Award
- Best Industrial Development from Property Guru Thailand Awards
- Special Recognition in Sustainable Design and Construction from Property Guru Thailand Awards
- Thailand Sustainable Warehouse Development Company of the Year Award 2022 from Frost & Sullivan
- Certified as the first entrepreneur with properties that meet the latest version of LEED standard (4.1) in the Southeast Asia region.
- Frasers Property Thailand Industrial Freehold & Leasehold Real Estate Investment Trust (FTREIT) received an A rating under the Global Real Estate Sustainability Benchmark Southeast Asia Diversified Business category
“FPIT aims to continue maintaining its leadership in sustainable development,” Sopon said, citing the many certifications the company has already received.
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