ESG ROADMAP

2020-2024
UPDATED JUNE 2021
Contents
Introduction. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
Environment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
1. CLIMATE RESILIENCE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8

2. PERFORMANCE EXCELLENCE AT EXISTING PROPERTIES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9

3. SUSTAINABLE TRANSPORTATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

4. BIODIVERSITY. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

5. SUSTAINABLE DESIGN & DEVELOPMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13

Social. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
6. THRIVING COMMUNITIES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

7. TENANT ENGAGEMENT. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15

8. EMPLOYEE RELATIONS & DEVELOPMENT. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16

9. EQUITY, DIVERSITY & INCLUSION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18

10. HEALTH & WELLNESS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19

Governance. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20
11. TRANSPARENCY. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20

12. RESPONSIBLE PROCUREMENT. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21

13. RISK MANAGEMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22

14. SUSTAINABLE FINANCE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23

15. CORPORATE GOVERNANCE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 2

 Our Sustainability
Introduction Vision
First Capital REIT (FCR) is a leading developer, owner and manager of mixed-use At First Capital, we aspire to uphold
real estate located in Canada’s most densely populated cities. Our mixed-use our position as an industry leader in
developments and retail offerings are designed to provide vibrant places that meet sustainability.

the needs of everyday urban life – bringing together people, public spaces, retail We strive for performance excellence
shops and services, public art, and access to public transportation. at our properties and new developments,
creating thriving, healthy, sustainable
Corporate Responsibility and Sustainability (“sustainability”) at FCR encompasses urban neighbourhoods.
all aspects of our environmental, social and governance (ESG) practices. Our values
We foster a vibrant corporate culture that
and our sustainability program guide our actions and supports FCR’s strategy of
ensures equal opportunity and well-being
creating thriving urban neighbourhoods to generate value for businesses, residents,
for all employees.
communities and our investors.
Through our actions, we will continue
Sustainability has always been integral to the responsible management of every aspect to create long-term value for all of our
of our business and the mitigation of various risks. FCR has a track record of pursuing stakeholders.
sustainability strategies and initiatives since 2010 and have been recognized through
numerous ESG rankings as a leader in Canada for our comprehensive reporting.

Find out more at fcr.ca/sustainability

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 3

 Creating thriving urban neighbourhoods

We are committed to having a

positive environmental impact
in our neighbourhoods by:

• Doing our part to minimize the threat that climate change

poses to our communities. We will strive for net-zero
emissions by 2050 and create communities that are resilient
and can withstand the adverse effects of climate change.

• Focusing on biodiversity to allow us to create places where

nature can thrive while adding a vibrancy and unique character
that can be enjoyed by the people who live, work and shop in
our neighbourhoods.

• Recognizing the importance of green space, outdoor amenities,

parks and playgrounds and privately owned public spaces in our
planning and development projects.

• Promoting healthy and sustainable transportation options such

as walking, cycling, electric vehicles and public transportation.

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 4

 Creating thriving urban neighbourhoods

We are committed to
making our neighbourhoods
socially responsible by:

• Acting as community builders, engaging with our communities,

and giving back in ways that reflect and promote the vibrancy
of each place.

· Through the FCR Thriving Neighbourhoods Foundation

with a focus on its 4 pillars of Food Insecurity/Poverty,
Mental Health, Social Justice and Youth.
· Providing a mix of goods and services that complement the
needs of the neighbourhood through careful planning and
tenant selection.
· Creating community hubs rich in social and cultural experiences.

• Striving to create communities that are equitable, diverse

and inclusive and that generate value for all stakeholders.

• Providing a great place to work that delivers a rewarding,

stimulating and fun experience for our employees, as well as
ample opportunity to contribute to our communities and culture.

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 5

 Creating thriving urban neighbourhoods

We are committed to thorough

and responsible governance of
our corporate practices by:
• Embedding ESG in the organization and aligning with
our mission of creating thriving urban neighbourhoods.

• Incorporating our ESG practices into our business

goals on the corporate and individual level and ensuring
Board oversight of our ESG strategy.

• Providing an effective ethics reporting system.

• Delivering transparency through our best in class reporting

using globally recognized benchmarks and standards.

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 6

 Purpose of
this document This document was developed through a collaborative effort of FCR’s ESG Taskforce.
The following sections are organized into the three ESG pillars of Environment,
• Focus and align our ESG efforts Social and Governance. Within each pillar are the topics which we have deemed a
across the organization. priority at FCR via a variety of stakeholder engagement methods, including our
formalized materiality assessment as well as ongoing feedback from our stakeholders
• Identify ESG initiatives that have
direct alignment with our corporate and input from the Taskforce. For each priority topic, we have outlined our 5-year
strategy of creating thriving vision along with an action plan to get us there, including departmental accountability
neighbourhoods. and targets, where applicable.

• Articulate our ambitions/goals and We expect this will be a living document. Annual updates will enable us to refine
what we have and would like to achieve. our strategy and monitor and report on our progress.

• Strategically prioritize our activities Questions or comments please contact:

over a defined period to ensure success.
Melissa Jacobs
• Allocate responsibilities for executing Senior Director, Sustainability
activities: resourcing, oversight, [email protected]
implementation.

First Capital REIT ESG Roadmap DECEMBER 2020 7

Environment

1. CLIMATE RESILIENCE
We will understand the physical risks that climate change may pose to our assets and communities.
We will continue to invest in our assets to ensure their long-term resilience to a changing climate.

ACTION PLAN TARGETS & KPIS ACCOUNTABILITY TIMELINE

1.1 Assess Risk: Complete an assessment of physical climate risks & resilience for all properties and new developments.

Use third-party, science-driven climate risk data to complete an assessment of physical climate 100% of portfolio, including proposed Sustainability
risks for all existing properties, new acquisitions and proposed new developments. Establish developments, to have completed physical Operations Complete
frequency to reassess risks and prioritize. climate risk assessments Development

Develop a building resilience checklist to be completed by properties with high-risk, as identified 100% of high-risk properties have completed Sustainability
Complete
in the climate risk assessment. resilience checklists Operations

Incorporate climate risk assessment and management/mitigation measures in property condition 100% of future property condition assessments Sustainability
Complete
assessments for potential acquisitions. incorporate climate considerations Acquisitions/Investments

1.2 Reduce Risk: Reduce risk of harm associated with climate change and natural disasters in our existing properties and future developments.

Create resilience action plans at the property level, high-risk properties, based on results Sustainability
100% of high-risk properties have resilience plans Dec 2021
of risk assessments in 1.1. Operations

Sustainability
Develop resilient design and management standards for use in all new developments,
Development Dec 2021
to be incorporated in FCR Sustainable Development Framework, see 5.1 below.
Construction

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 8

Environment

2. PERFORMANCE EXCELLENCE AT EXISTING PROPERTIES

We will strive for performance excellence at our existing properties across carbon, energy, waste and water,
by investing in resource efficiency projects and setting long-term targets for carbon neutrality.

ACTION PLAN TARGETS & KPIS ACCOUNTABILITY TIMELINE

2.1 Carbon Neutrality: Reduce emissions in our existing buildings and develop a plan to achieve carbon neutrality by 2050 (emissions within operational control).

Achieve FCR 2021 carbon reduction target. 9% reduction in carbon intensity (2018 base year) Dec 2021

Develop emission and energy reduction targets for 2025 & 2030, with the goal of carbon Total absolute carbon emissions
Sustainability
neutrality by 2050. Create a plan to achieve those targets that includes operational efficiency, Total absolute energy use
Operations Mar 2022
retrofit initiatives, capital expenditures, renewable energy and carbon offset purchasing and Carbon intensity of portfolio
renewable energy generation. Energy intensity of portfolio

Identify opportunities for renewable energy. Complete at least one solar rooftop Dec 2024

2.2 Waste Reduction: Improve waste diversion and programming for tenants across all our properties.

Set a 3-year target for waste diversion and waste reduction across our portfolio for implementation Sustainability
50% average waste diversion by 2023 Complete
in 2021. Operations

2.3 Water Conservation: Upgrade existing buildings to use less water.

Conduct water audits at a representative sample of properties and develop a water efficiency plan Total water use
Sustainability Sept 2022
(e.g. retrofit common area fixtures, improvements to irrigation, retrofit fixtures in vacant units). Water intensity of portfolio
Operations
Construction
Submeter all property common area water use. 100% of portfolio with water submetering installed Dec 2024

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 9

Environment

3. SUSTAINABLE TRANSPORTATION
We will ensure that our properties provide a range of healthy, low carbon transportation options.

ACTION PLAN TARGETS & KPIS ACCOUNTABILITY TIMELINE

3.1 Electric Vehicles: Continue to expand our network of EV charging stations at our properties.

Develop an FCR standard specification for EV hardware, software and design to ensure
Complete
consistency at existing properties and new developments. Sustainability
100% of portfolio with EV charging stations Operations
Install electric vehicle charging stations at all properties, where applicable (excludes properties Construction
Dec 2024
slated for disposition or redevelopment).

3.2 Cycling: Continue to improve cycling amenities at our properties.

Audit properties to uncover opportunities to add or improve cycling amenities and connectivity
Sustainability
to surrounding neighbourhood infrastructure (e.g. bike racks, secure storage, cycling route Complete
Operations
connectivity). Create an implementation plan for additional cycling amenities.

Proactively define property types where providing showers and changerooms will be most suitable/ % of properties with cycling amenities
Development June 2021
beneficial and incorporate in new developments to enhance cycling amenities, where applicable.

Sustainability
Develop a standard for e-bike/e-scooter charging stations and pilot at 2 properties per region. Sept 2022
Operations

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 10

Environment

3. SUSTAINABLE TRANSPORTATION
We will ensure that our properties provide a range of healthy, low carbon transportation options.

ACTION PLAN TARGETS & KPIS ACCOUNTABILITY TIMELINE

3.3 Walkability: Continue to improve the walkability of our portfolio over time.

Create a walkability best practice guideline to be considered in existing properties and new
developments to improve connectivity to surrounding neighbourhoods and ensure safe and June 2022
convenient pedestrian access to our properties. Sustainability
Operations
Development
Continue to track average Walk Score as a metric to measure progress on overall walkability
Increase in average Walk Score of our portfolio Ongoing
of our portfolio.

3.4 Public Transit: Continue to focus on transit-oriented neighbourhoods.

Continue to focus our acquisition and development efforts in transit-oriented neighbourhoods % of portfolio within a 5-minute walk to transit
Acquisitions Ongoing
and divest properties in neighbourhoods that are less transit-friendly. Average Transit Score of our portfolio

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 11

Environment

4. BIODIVERSITY
We will create attractively landscaped areas, that serve as valuable habitat for native species while improving walkability
and infusing unique character into our vibrant, super urban neighbourhoods.

ACTION PLAN TARGETS & KPIS ACCOUNTABILITY TIMELINE

4.1 Enhance Surrounding Ecosystems: Implement landscape and exterior management practices at our properties that enhance and protect surrounding ecosystems.

Develop and implement landscape management standards that specify native plants for all Sustainability
% of development planning applications using native
future plantings and prioritize pollinator species for landscaping at existing properties and in Operations Mar 2022
plants and pollinator species
new development projects (i.e. 2021 planning applications). Development

Continue participation in the Freshwater Roundtable to support the development of industry

Sustainability
best practice guidelines around salt use. Implement guideline requirements in winter maintenance June 2022
Operations
contracts.

Expand our rooftop beehive program to additional properties to aid with pollination of native Sustainability
Install 8 additional beehives June 2022
species in our communities. Operations

Explore opportunities to create biodiversity corridors in urban spaces (e.g. partnering with Sustainability
municipalities, non-profit and/or other building and landowners). Develop concept for potential Operations Dec 2023
pilot project and evaluate feasibility of a pilot. Development

4.2 Urban Farming: Urban Farming: Consider opportunities to utilize space (e.g. roofs) on our properties and developments for community urban farms.

Sustainability
Explore options for urban farming and review portfolio and developments for feasibility. Project chosen for implementation Operations Dec 2022
Development

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 12

Environment

5. SUSTAINABLE DESIGN & DEVELOPMENT

We will ensure that all our new developments are future-fit and designed to protect asset values over the
long-term and ensure competitive tenant operating costs.

ACTION PLAN TARGETS & KPIS ACCOUNTABILITY TIMELINE

Create Framework: Create a Sustainable Development Framework to define our performance requirements for development projects
5.1
(e.g. environmental and health & wellness performance metrics and certifications.) and be applicable and scalable across a variety of projects and regions.

Establish a Sustainable Development Working Group to lead the creation of a framework,

Final framework delivered Sustainability Dec 2021
and work with consultants to deliver framework.
Development
Construction
Pilot framework with one new development project Dec 2022

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 13

Social

6. THRIVING NEIGHBOURHOODS
We will act as community builders, which means leading by example, forming strong relationships and giving back in ways that reflect and
promote the vibrancy of each community.

ACTION PLAN TARGETS & KPIS ACCOUNTABILITY TIMELINE

6.1 Community Engagement: Direct the efforts of FCR’s charitable platform to initiatives that help neighbourhoods thrive by making an impact at the local level.

$ donated to community causes

Officially launch the FCR Thriving Neighbourhoods Foundation and implement initiatives FCR Foundation
$ raised and donated by employees Complete
with the objective to support those most in need. Committee
$ matched by FCR

80% of employees use their paid volunteer day annually

Continue community engagement initiatives that fall outside of FCR Foundation; develop 1 new art installation per year Brand & Culture
Ongoing
process for tracking and reporting. $ donated to tenant & partner community engagement Operations
initiatives

6.2 Socio-Economic Prosperity: Create mutually beneficial partnerships within our communities to develop skills, create jobs and support local businesses.

Identify the gaps or needs within our communities and develop pilot programs to address
those needs. More exploration required, ideas may include: community farming initiatives; Operations
# of new partnerships / initiatives Sept 2022
using spare and vacant spaces for pop-up shops, job fairs, and clinics for local charities and Marketing
small businesses, or for local artists (e.g. temporary art gallery).

6.3 Community Engagement and Social Value for New Developments: Engage with our communities and include strategies to create social value through our new developments.

Continue our process for community engagement on mixed-use development projects

by seeking opportunities for further engagement. Strive to become the preferred developer Development Ongoing
for community members.

Sustainability
Conduct a social value feasibility study to determine fit and opportunity for a pilot project. Dec 2022
Development

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 14

Social

7. TENANT ENGAGEMENT
We will build strong, trusting and collaborative relationships with our tenants through engaging programming and superior customer service.

ACTION PLAN TARGETS & KPIS ACCOUNTABILITY TIMELINE

7.1 Tenant Engagement in Sustainability: Work closely with our tenants to collaboratively drive down carbon emissions in our properties and improve resource efficiency.

Sustainability
Develop a Green Lease to be used as standard in all new leases. Green Lease Leader recognition Complete
Legal

Develop and implement a Tenant Sustainability Guide. Sustainability Complete

Sustainability
Incorporate communication of FCR’s sustainability values, goals, and actions into existing
Operations Dec 2021
tenant communications/events.
Leasing

Pilot an FCR tenant sustainability network with sustainability leads from national tenants.
8 tenant reps join the network
Incorporate process to understand our tenants’ sustainability goals, needs, and challenges Sustainability Mar 2022
First network meeting conducted
and involve them in developing and monitoring mutual action plans.

Develop process to collect tenant property utility data for analysis and regulatory reporting. % improvement in data coverage Sustainability June 2023

7.2 Tenant Satisfaction: Implement a tenant feedback survey program to benchmark satisfaction and identify opportunities to improve our practices.

Conduct a tenant feedback survey and develop a multi-year action plan to address the
% of tenant responses Operations Dec 2021
feedback gathered from the survey. Repeat the survey every 3 years.

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 15

Social

8. EMPLOYEE RELATIONS & DEVELOPMENT

We will be recognized as a great place to work that delivers a rewarding, stimulating and fun experience for our employees.

ACTION PLAN TARGETS & KPIS ACCOUNTABILITY TIMELINE

8.1 Be a Great Place to Work: FCR strives to be a rewarding place to work and an outstanding place to grow one’s career.

Employee engagement score of 80%

Conduct an employee engagement survey every 18-24 months. People & Culture Ongoing
Employee participation rate of 90%

Strive to be in the Top 100 Employers ranking annually

Complete annual submissions for Top Employer Surveys. People & Culture Ongoing
Net Promoter Score of 80%

Provide extensive opportunity to contribute to culture through Social clubs, Team events/Volunteering. People & Culture Ongoing

Launch a formal flexible work program. People & Culture Complete

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 16

Social

8. EMPLOYEE RELATIONS & DEVELOPMENT

We will be recognized as a great place to work that delivers a rewarding, stimulating and fun experience for our employees.

ACTION PLAN TARGETS & KPIS ACCOUNTABILITY TIMELINE

8.2 Training & Development: Ongoing education and learning fosters a skilled workforce at FCR.

Offer skills training to employees (e.g. Microsoft Office programs online training for all staff, 80% of employees receive skills training
People & Culture Ongoing
people manager training). 100% of People Managers receive specialized training

Encourage employees to develop and advance in their careers through our employee tuition % of employees who use the education reimbursement
People & Culture Ongoing
reimbursement plan. $ of education reimbursement

100% of employees receiving in-house ESG training

# of employees attending external ESG-focused training
Employee training and engagement in ESG (both in-house and through our membership
and events Sustainability Ongoing
associations such as CaGBC).
# of employees with individual memberships in ESG fo-
cused organizations

Create opportunities for employees to learn from peers within the organization. Launch The Explainer podcast Complete

People & Culture

Launch FCR University
Dec 2021
# of employees participating in FCR University offerings

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 17

Social

9. EQUITY, DIVERSITY & INCLUSION

We will encourage and embrace diverse populations both within our workforce and our communities.

ACTION PLAN TARGETS & KPIS ACCOUNTABILITY TIMELINE

Diverse Workforce: Implement an Equity, Diversity & Inclusion strategy that follows the entire employee life cycle from best in class recruiting practices, awareness and training
9.1
for staff and leaders to eliminate unconscious bias and metrics to measure the development of diverse talent at FCR, ensuring all have equal opportunity to advance their careers.

Establish an Equity, Diversity & Inclusion Council to oversee the program development and delivery. Establish ED&I Council mandate and set goals Complete
People & Culture
Pulse check with employees to see how we’re doing Complete

Review the company’s policies, forms, and practices for unconscious bias. Audit of department documents People & Culture Complete

% of employees complete training

Include mandatory Diversity in the Workplace training for all employees, as well as role specific
% of leaders complete training People & Culture Complete
training for leaders, etc.

Review data to determine whether a gender pay gap exists within the company, if a gap exists,
People & Culture Dec 2021
develop a plan to address it.

Housing Affordability & Housing Options: We strive to provide a balance of high-rise housing ownership, purpose-built rental and affordable housing
9.2
to meet the needs of our current and future residents. We aspire to meet the needs of a variety of family sizes and plan for children in new vertical communities.

Maintain a balance of Condo and Rental Projects in our portfolio. % of total number of residential units that are rental Development Ongoing

Investigate what peers are doing to determine feasibility of increased affordable housing
(review examples of merging social good and economic feasibility, beneficial partnerships) Deliver feasibility study Development Dec 2022
and assess feasibility for FCR projects.

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 18

Social

10. HEALTH & WELLNESS

We will foster a culture of health & wellness for our employees and within our communities.

ACTION PLAN TARGETS & KPIS ACCOUNTABILITY TIMELINE

10.1 Employee Health & Wellness: Develop a robust Health & Wellness program to encourage physical and mental wellbeing among our employees.

Establish “Wellness Workdays” program to promote mental, physical and financial wellness for # of programs offered
People & Culture Complete
all employees. % of employees attending programs

Launch a fitness challenge to encourage physical wellbeing among our employees. # of employees participating in the challenge People & Culture Complete

Conduct a Health & Wellness needs assessment to evaluate offerings to date and identify and
H&W satisfaction score People & Culture Mar 2022
understand the needs further needs of our employees, develop an action plan to address those needs.

Continue offering Wellness subsidy and encourage employee use of the subsidy. % of employees who use the wellness subsidy People & Culture Ongoing

10.2 Health & Wellness at our Properties: Develop a program to promote health & wellness at our properties for tenants, customers, and our communities.

Develop a program to promote tenant, customer and/or community health and wellness through
Sustainability
our real estate assets and services. Conduct a needs assessment, goal setting, action/ piloting, and Dec 2022
Operations
monitoring.

Operations
Achieve WELL Health & Safety Rating for FCR enclosed malls and office buildings. WELL Health-Safety Rating achieved at 35 properties June 2021
Sustainability

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 19

Governance

11. TRANSPARENCY
We will provide our stakeholders with best in class ESG reporting using globally recognized benchmarks and standards.

ACTION PLAN TARGETS & KPIS ACCOUNTABILITY TIMELINE

11.1 Optimize & Enhance Reporting: Further develop our capacity to achieve excellence in data collection and best in class ESG reporting, while streamlining our approach.

Develop a multi-year plan to align our disclosures with the Task Force on Climate-related Sustainability
Financial Disclosures (TCFD) recommendations, striving to be ahead of any mandatory Legal Complete
requirements. Finance

Conduct a materiality assessment update to engage stakeholders and to ensure that our
Sustainability Dec 2021
reporting and initiatives continue to align with their priorities.

Conduct gap analysis of ESG benchmarks for additional areas of improvement and review Improvement in ESG scores over time
additional standards such as SASB and the SDGs. Expand or enhance our reporting to align Sustainability Mar 2022
with these if deemed appropriate.

Sustainability
Development
Explore opportunity to measure and report on social value indicators in line with section 6.3. Dec 2022
People & Culture
Finance

Sustainability
Explore opportunities to move towards integrated reporting, in which corporate financial
Legal Dec 2022
and sustainability information are connected and integrated into one report.
Finance

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 20

Governance

12. RESPONSIBLE PROCUREMENT

We will help transform the market by extending our influence and impact through our supply chain.

ACTION PLAN TARGETS & KPIS ACCOUNTABILITY TIMELINE

12.1 ESG in Procurement: We will embed ESG considerations into our procurement practices.

Identify where our largest spends are and define how partners can help us achieve
June 2021
our ESG goals (prioritize construction, secondary operations).

Develop ESG scorecard for vendors that are our top spend in Construction, this can then
# of contractors aligned with the FCR scorecard Dec 2021
become input into screening criteria. Bus Process & Risk Mgt
Sustainability
Develop and implement screening criteria for our Contractors (criteria- environmental Construction
#of contractors screened Dec 2021
performance, labour practices or human rights performance, diversity & inclusion).

Incorporate ESG standards aligned with screening criteria into our standard operating
and construction contracts (amend our CCDC contracts) and implement wording in our Dec 2021
terms and conditions.

Bus Process & Risk Mgt

Review our bid process to ensure we encourage the participation of local and minority-
% contracts awarded to local/minority owned businesses Construction Sept 2021
owned businesses.
Operations

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 21

Governance

13. RISK MANAGEMENT

We will proactively identify and effectively mitigate risk throughout all areas of our business.

ACTION PLAN TARGETS & KPIS ACCOUNTABILITY TIMELINE

13.1 Data Privacy & Cyber Security: Further enhance our data privacy and cyber security practices to ensure we continue mitigate emerging risks.

Bus Process & Risk Mgt

Enhance our annual cyber security and data privacy training, mandatory for all employees. 100% of employees complete the annual training IT Complete
People & Culture

Assess data privacy standards per cyber security audit results. Complete

Review and update our data privacy and cyber risk assessment process; incorporate the
% of cyber issues identified and resolved
hiring of a Cyber Security company that will manage monitoring, trending, reporting and Complete
Cyber policy implemented
escalation/resolution of incidents.
Bus Process & Risk Mgt
Develop data privacy training, mandatory for all employees. 100% of employees complete the annual training IT June 2021

Work to define operational measures with the Cyber Security company for monitoring # of operational measures implemented to identify and
June 2021
and mitigation. resolve data breaches and cyber attacks

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 22

Governance

13. RISK MANAGEMENT

We will proactively identify and effectively mitigate risk throughout all areas of our business.

ACTION PLAN TARGETS & KPIS ACCOUNTABILITY TIMELINE

13.2 Climate-Related Risk: We understand and can proactively address both physical and transitional climate-related risks.

Physical climate change risks will be identified, assessed, and managed as per section 1.1. See 1.1 See 1.1 See 1.1

Operations
Incorporate climate change events into emergency response and business continuity plans. Dec 2021
Bus Process & Risk Mgt

Sustainability
Identify, assess and manage potential transition risks to all areas of the business (e.g. the
Operations
transition to a lower-carbon economy may include extensive policy, legal, technological
Finance Mar 2022
and market changes), and develop business strategies to address these risks. Disclose risks
Bus Process & Risk Mgt
in alignment with TCFD recommendations as per section 11.1.
Legal

13.3 Pandemic Planning: We are equipped to effectively address risk resulting from future pandemics.

Complete an assessment of our response to the COVID-19 pandemic and incorporate lessons Bus Process & Risk Mgt
learned into our business continuity and pandemic plans (including enhanced health & safety People & Culture June 2021
protocols for employees, tenants and customers and support for small business tenants). Operations

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 23

Governance

14. SUSTAINABLE FINANCE

We will understand the emerging trends of sustainable finance in commercial real estate and pursue opportunities that will contribute to the
advancement of sustainability initiatives at FCR.

ACTION PLAN TARGETS & KPIS ACCOUNTABILITY TIMELINE

14.1 Increase comprehension of sustainable finance: Improve our internal knowledge and begin exploring potential opportunities.

Finance
Build internal knowledge of sustainable finance as it relates to commercial real estate. Complete
Sustainability

Finance
Publish a Green Financing Framework Accountability Complete
Sustainability

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 24

Governance

15. CORPORATE GOVERNANCE

We strive to be a governance leader by making it a priority to continuously adopt new and improved governance practices, including ESG
oversight and execution, and follow recommendations as governance standards evolve.

ACTION PLAN TARGETS & KPIS ACCOUNTABILITY TIMELINE

Board and Executive Diversity: Encourage a diverse Board and Management Team, resulting in enhanced decision-making abilities, lead to improved oversight and promote better overall
15.1
corporate governance by utilizing differences in skills, experience and background, gender, ethnicity, age, geographical and industry experience, length of service, and other distinguishing qualities.

Issue a voluntary survey to the Board and senior management to determine the number
and proportion of individuals that self-identify as belonging to one or more of the designated Issue survey and publish results Legal Complete
minority groups.

Review the structure and diversity of the Board annually and set diversity, including gender diversity, Corporate Governance
Ongoing
aspirations regarding the Board’s optimum composition as part of the recruitment process. Committee

15.2 ESG Governance: Establish an ESG Governance structure that includes the Board of Trustees and ensures successful integration and implementation of the ESG Roadmap across the company.

Implement annual ESG training for the Board. Legal Complete

Assign a Board Trustee as responsible for ESG strategy oversight. Legal Complete

Include ESG in Board Competency matrix. Legal Complete

Ensure mechanisms to embed ESG Roadmap in business planning and monitor progress for
corrective action (e.g. define Executive responsibilities and accountability for Roadmap
ESG Taskforce June 2021
progress, KPIs included in performance management and accountability of relevant business
units, annual reporting on KPIs and targets).

First Capital REIT ESG Roadmap | UPDATED DECEMBER 2020 25