In 2022, Peach Property Group developed a decarbonization path. Starting from our 2021 baseline year with a CO₂ intensity (Scope 1 & 2) of around 34 kg CO2e/m²a, we aim to reduce the CO₂ intensity to less than 30 kg CO₂ e/m²a by 2030 and to achieve a portfolio with a CO₂ intensity of less than 10 kg CO₂ e/m²a by 2050. Currently, with a CO₂ intensity of 24.9 kg CO₂e/m2 for 2024, Peach Property Group is already well below its 2030 target.

With gas being by far the most important source of heat energy in our portfolio, the sharp increase in the cost of fossil fuels has reaffirmed the importance of modern and efficient heating systems.

To help us achieve our decarbonization goals, we have developed and implemented a carbon emissions reduction strategy, including carbon emissions reduction measures supported by continuous improvement of our data sets and data granularity. The renovation of existing heating systems and improved building insulation are just a couple of reduction measures we are focusing on.

Replacing or renovating heating systems, converting to modern condensing technology, transitioning to district heating, and replacing CO₂-intensive energy sources with renewable energy sources remain a key pillars of our decarbonization strategy.

For each modernization project, we conduct a comprehensive assessment to determine the technical and economic feasibility of incorporating renewable energy sources. In 2025, we invested approximately 7.4 million EUR in improving the energy efficiency of our portfolio. Of this amount, 1.76 million EUR went toward modernizing heating systems, 2.41 million EUR toward roof renovations, and 3.22 million EUR toward other measures such as facade, window, and riser pipe renovations.

Together with Wattline, a provider of smart master meters, we are continuing to expand our metering infrastructure to track electricity, gas, and district heating consumption in real time. This increases the accuracy of utility bill calculations and optimizes internal processes. In our strategic portfolio, approximately 75% of the units are already equipped with smart meters; the retrofitting of the remaining units is ongoing.

Another important step in our digital transformation is the first-ever calculation of our carbon footprint using an AI-based solution. This solution automatically reads energy bills and converts the information into a structured dataset. This improves data quality and transparency while simultaneously reducing manual effort and the associated costs.

Once fully implemented, the system will significantly speed up data collection and strengthen our ability to monitor environmental metrics and strategically manage sustainability measures. By modernizing our processes, we are laying the foundation for a future-proof, data-driven sustainability management system.

In order to further reduce greenhouse gas emissions, we continuously measure and analyze important environ­mental KPIs from our rental units. The data is collected and evaluated in accordance with the GRI-Standards as well as EPRA sBPR. The entire set of environment-related KPIs can be found in our Sustainability Report 2024.