Environmental

Through data monitoring and strategic capital planning, we drive improved portfolio performance. Reducing utility costs – one of our largest operating expenses – has a significant impact on our sustainability practices. In turn, our tenants, health system partners, and shareholders benefit from cost savings and improved portfolio performance.

Healthcare Realty set meaningful long- and short-term goals that align with our ESG priorities. Our progress against these goals can be found in our annual Corporate Responsibility Report.

In 2022, Healthcare Realty merged with HTA, substantially increasing our portfolio of medical outpatient buildings. In 2023, our teams worked to implement our data quality standards and data collection strategy across the portfolio, improving our data coverage to 71%.

The following table highlights our environmental performance towards our newly established, ambitious energy, water, and GHG emissions goals.

Healthcare Realty strategically deploys capital investments to reduce utility usage and improve building efficiency. In 2023, Healthcare Realty invested $21.8 million in 437 efficiency projects up from $20.8 million in 2022.

Healthcare Realty continues to increase green buildings in our portfolio, targeting 11% portfolio coverage by 2025. In 2023, we obtained 57 green building certifications bringing our portfolio coverage to 8.3%. Obtaining these certifications ensures sustainability best practices are embedded at our properties.