CDL Hospitality Trusts - Sustainability Report 2022

Ethical and Transparent Business Zero cases of corruption, bribery and misconduct in FY 2022 Social and Environmental Compliance Zero cases of non-compliance with social, environmental laws in FY 2022 Data Privacy and Protection Zero data privacy and protection breaches in FY 2022 Responsible Investment As the world adapts to operating in a post pandemic environment, many businesses have begun including broader corporate objectives, including notions of profitwith-purpose. This is also evident from the rapidly increasing value of global assets under management that fall under ESG investing, or asset managers that have committed themselves to sustainable or net-zero portfolio investments. As we progress towards a more sustainable world, CDLHT will build ESG considerations into its investment decisions as part of our responsible investment approach. Our Approach As part of our investment due diligence process, we aim to assess the sustainability performance and risks of potential acquisitions by conducting ESG due diligence. This due diligence process allows us to identify potential ESG and carbon risks and opportunities for improving energy and carbon performance of a targeted asset. The risks assessed may include climate and environmental risks (such as energy efficiency, renewable energies, water utilisation, waste and pollution etc.), social risks (such as accessibility, health and well-being of stakeholders etc.) and governance risks (such as sustainability labelling, ESG strategy, etc.) of the asset. The carbon due diligence will identify the asset’s carbon footprint, energy consumption and GHG emissions. The responsible investment approach also extends to management of ESG-related practices in our existing managed assets. In the respective material topics, we detail how we build sustainable infrastructure into our hotels, such as EV charging stations, eco-digesters to reduce food waste, and water-saving showerheads. On an ongoing basis, CDLHT looks out for capital expenditure investment opportunities to further green our buildings, especially in improving operational and energy efficiency. Our Performance In FY 2022, we acquired Hotel Brooklyn which has achieved an EPC ‘B’ rating and ‘Very Good’ BREEAM certification rating. We are in the midst of asset enhancement works such as the installation of solar panels at Raffles Maldives Meradhoo and Angsana Velavaru, which are scheduled to be completed progressively in 2023 with a significant part of the commissioning by 1H 2023, as well as solar films that reduce the high level of sun rays, of which works are ongoing at The Lowry Hotel and across our Singapore portfolio. GOOD GOVERNANCE AND ETHICAL BUSINESS Fair, responsible, compliant, and transparent business conduct is key tobuilding trust and loyalty toall stakeholders. Our strong commitment to corporate governance, ethical business practices and compliance to all applicable regulations, ensures CDLHT’s long-term sustainability while safeguarding the interests of our stakeholders. Throughout FY 2022, the Managers have complied with the principles of corporate governance laid down by the Code of Corporate Governance 2018 (Code), and also complied, substantially with the provisions underlying the principles of the Code. In addition, the REIT Manager is a member of the Financial Industry Disputes Resolution Centre Ltd (FIDReC) and a member of REIT Association of Singapore (REITAS). 105 OVERVIEW AND FINANCIAL REVIEW MARKET REVIEW LEADERSHIP STRUCTURE PROPERTY PORTFOLIO SUSTAINABILITY & GOVERNANCE FINANCIAL STATEMENTS AND OTHER INFORMATION