Environmental, Social & Governance

Environmental

Name: Happy Cog
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As one of the largest real estate service providers in the U.S., we believe it is our responsibility to improve energy efficiency and reduce energy consumption to protect the environment through continuous improvement of building practices. We fulfill this in two ways: in our own operations, and by providing environmentally-focused solutions and offerings.

Our Own Operations

In our workplaces, we are studying how to minimize our carbon footprint when planning office renovations and intend to focus our attention in the near term on methods reducing our greenhouse gas emissions, increasing use of renewable energy, conserving water and reducing waste generation.

Newmark occupies over a dozen buildings that are Leadership in Energy and Environmental Design Certified (LEED) Certified and over 30 that are ENERGY STAR Certified. For example, our New York City Headquarters at 125 Park Ave. is in a building that has received U.S. Green Building Council LEED Gold certification and is also ENERGY STAR Certified.

Environmental Policy

We have a policy with respect to the responsible environmental management of our operations. We have created a baseline to understand and minimize the impact that our business has on the environment and are actively searching for ways to reduce our footprint. In order to achieve our environmental goals, we are pursuing traditional, as well as new and innovative, methods. More broadly, we seek to create a culture where environmental focus is a way of being rather than a secondary consideration.

GHG Emissions

We track our greenhouse gas (GHG) emissions data for scope 1 and 2. We calculate our emissions based on the GHG Protocol Corporate Standard. A summary of our 2022 and 2023 GHG emissions is available here.

Our Approach

We are focused on the environment and recognize the importance of treating our natural resources with the greatest respect, so that they are available to future generations. Building operations have a significant impact on the environment, and as technology continues to place greater demands on building systems for power and cooling, energy consumption is expected to continue to rise at an unsustainable rate. As one of the largest real estate service providers, we believe it is our responsibility to improve energy efficiency and reduce energy consumption to protect the environment through continuous improvement of building practices. We understand that sustainable buildings provide a better work environment, increase building efficiency, and reduce the environmental impact of building operations. We continue to work on these initiatives.

As a responsible business, we are acutely aware of climate change and other major issues affecting the environment. We also understand the impact commercial real estate can have on the health of the environment. That is why we encourage sustainable building practices and, in our Global Corporate Services business and Property Management assignments, recommend strategies to clients to maximize energy efficiency, recycle materials and limit waste. These goals apply to Newmark’s offices, as well as to the work we do for our clients, whether in selecting a location, building out space or managing an asset.

Environmentally-Focused Solutions and Offerings

Newmark’s property, facilities and energy/sustainability management teams work internally and with clients to reduce energy demand and carbon emissions. Newmark is increasingly collecting and measuring environmental data and this data is used to build client strategies around energy efficiency and renewable energy supply initiatives.

Energy and Sustainability Services

Since 2017, Newmark’s Energy and Sustainability Services team has led energy management initiatives for Newmark clients. The team utilizes a cloud-based Energy Intelligence Platform that empowers clients with access to their utility data, offers facility utility bill payment services and manages third-party procurement contracts, which it integrates with ENERGY STAR reporting.

Newmark supports clients with each of the following:

Greenhouse Gas Risk Management

Newmark partners with our clients to help identify and manage their greenhouse gas (“GHG”) emissions inventory. Examples of these services include:

GHG Inventory Management: Newmark has a cloud-based utility data management and GHG inventory tool that tracks GHG for both customer sites and Newmark’s occupied sites that utilize this service.
Decarbonization and Master Planning for NetZero: Newmark assists clients in meeting their corporate carbon reduction goals by helping to establish long-term energy conservation and decarbonization measures.

Physical Climate Risk Management

Newmark supports our clients by helping to identify and mitigate climate risks by leveraging:

Water Risk Assessments: Newmark utilizes the World Resources Institute Aqueduct Tool to identify site water risks including quantity and quality-based physical threats (such as water stress, water depletion and flood risks) and regulatory and reputational risks. Additionally, we have worked with several clients to develop water conservation initiatives and measures designed to minimize the impact of the site on the local environment.
Property Due Diligence: Newmark facilitates property due diligence, which includes an analysis of several climate risk factors, including Phase I environmental site assessments, property condition assessments, seismic analysis and water risks.

Green Building Investments

Newmark collaborates with our clients to help identify, develop and implement green building investments, including:

Retro/Continuous Commissioning and Building Management System Optimization: Newmark is implementing a building commissioning and management system optimization program that has realized sizeable energy savings.
Energy Efficiency and Decarbonization Upgrades: Newmark partners with clients to conceptualize, develop and implement energy efficiency and decarbonization measures that assist with utility expense management and meeting corporate carbon reduction goals.
Integration of Renewable Energy: Newmark educates clients on reducing their carbon footprint by integrating renewable energy into the existing site electric supply. This integration has been accomplished by physically delivering green power from a retail energy supplier, purchasing renewable energy credits and installing onsite renewable solar energy systems.

Green Building Certifications

LEED: Newmark assists clients with achieving and maintaining LEED Certification.

ENERGY STAR: Newmark assists clients with maintaining their ENERGY STAR Portfolio Manager data and, in some cases, achieving a building-level ENERGY STAR Certification. As of year-end 2022, Newmark had hundreds of client properties enrolled in the online ENERGY STAR Portfolio Manager program and has achieved Premiere Status in the Environmental Protection Agency’s ENERGY STAR Program Certification Nation.

Energy and Sustainability Services Reference Guide

To support our services, Newmark has also developed an Energy and Sustainability Services Reference Guide, which assists clients and property teams in reducing the environmental impact of property operations, maintenance and construction associated with real estate assets.

Download the guide here.

Workplace Strategies and Sustainable Business Practices

The GCS Workplace Strategy and Human Experience team works with clients to help them achieve their sustainability goals. For example, in 2022, the team was hired to build an ecosystem of purpose, people, process and productivity for a global pharmaceutical company. The project involved a series of interviews and workshops which led to actionable insights on how to incorporate sustainability into the overall workplace strategy to accelerate achieving the company’s ESG goals.