Aegon Asset Management’s First ESG-Centric Deal Complete
A 1981 Orlando apartment community looks to reduce its carbon footprint by more than 50%.
Aegon Asset Management has completed an equity investment for Canopy Villa Apartments, the first asset within its $600 million ESG-centric equity venture with Taurus Investment Holdings.
Taurus aims to acquire value-add multifamily assets and considerably reduce the energy consumption and carbon output of those buildings.
Aegon AM and Taurus Investment Holdings will manage the investment, while Taurus’ subsidiary RENU Communities will apply its retrofit program to transition Canopy Villa Apartments to a low-carbon, energy efficient building.
Canopy Villa Apartments is a 1981 vintage, 296-unit apartment complex located in Orlando, Fla.
Commercial, Residential Property Emissions Culprits
Part of ESG-focused efforts aim to reduce greenhouse gas emissions. Studies show that commercial and residential properties in the US are a major culprit, contributing slightly over 30% of these emissions annually.
Taurus RENU’s goal with its investments and energy improvements are to significantly reduce both energy use and operational carbon emissions, primarily through energy efficiency upgrades, onsite renewables production and electrification of all services.
“The program offers multiple potential benefits for both tenants and the property owner including a lower energy profile and onsite energy production via solar panels, as well as energy storage where possible,” the company said.
Additionally, it said, “zero combustion of hydrocarbons onsite translates to better air quality for occupants and the surrounding community.”
Chris Gray, PhD., chief technology officer of RENU Communities, said that given Canopy’s 1981 vintage, “there is a significant opportunity to enhance the property [and it will try] to reduce its carbon footprint by more than 50%, greatly improving property operations and the quality of life for residents.”