Corporate Responsibility

Environment

Environment consists of our surroundings and our natural world. At Simpson, sustainability and environmental consciousness impact our construction practices and our ongoing operations. Specific areas of focus include energy consumption, greenhouse gas emissions, water consumption, waste management and hazardous material refuse such as refrigerants.

Below are specific examples of Simpson’s focus on the environment:

• Development focus on TOD (transportation-oriented development) and increased density in communities that support smart transportation including bike and car sharing.
• Safety programs and training on maintenance and/or proper operation of equipment and supplies including disposal.
• All communities have recycling programs in place.
• Replacement of fixtures and lights with energy efficient technology (LEDs).
• Electric charging stations installed at several communities to accommodate residents with electric vehicles.

Related policies include:

• Climate Risk and Resilience
• Energy Efficiency
• Maintenance Green Checklist
• Net Zero Commitment
• Waste Management and Recycling
• Water Conservation and Management

Social

Social consciousness for Simpson focuses on the interaction with employees, residents and other people in our communities. Simpson believes in employee development, community involvement, labor standards, anti-discrimination, diversity and health and safety. Our communities are demographically diverse and require ‘good neighbor’ behavior by all. View Simpson’s Sustainable Resident Guide.

Below are specific programs designed to maximize Simpson’s social impact:

• Annual Make a Difference Day where all employees have the opportunity to give a day of volunteering in their specific communities – sponsored by Simpson every October.
• Employee health initiatives including company-wide “Fitbit” challenges and progressive insurance coverage encouraging proactive health maintenance.
• Annual resident satisfaction surveys administered by a 3rd party. Survey results and resident comments are used to critique property operations and are often incorporated into annual property operating plan.
• Every community has Facebook, Instagram, X, and LinkedIn accounts with frequent blog posts with topics including health, wellness, and conservation.

Governance

Corporate governance is the right and responsibility of the management of a company for all the various stakeholders in that company. Simpson believes this governance expands to its joint venture partners, its lenders and its vendors and other business partners.

We believe Simpson leads by example in this arena:

• Quarterly meetings with primary Investor to review current operations, financial results and monitor progress towards achieving business plans.
• External audit performed by Ernst & Young with no management comments.
• Annual business plans and periodic strategic plans approved by Investors.
• Internal audit initiatives and activities at both the property and corporate level to ensure best practices.
• Third-party (PricewaterhouseCoopers) quarterly appraisal of properties and overall company valuation.

Related policies include:

• Responsible Development Guidelines
• Sustainable Committee Charter
• Vendor Policy