ESG Policy
ESG Policy
It is the ethos of Sundance Bay to be an organization, beyond our core business objectives, to be responsible and ethical citizens of our global community. We strive to make a positive impact on all of our stakeholders: the communities where we invest, residents, clients, investors, employees, partners, vendors, and the environment. We are committed to operating economically, socially, and environmentally through sustainable best practices.
As a fiduciary and manager of third-party capital, we recognize that ESG principles and responsible investing practices not only have positive implications on society and the world, but we believe also translates to better business performance and long-term value for our investors.
Environmental
Energy and Water Management
Sundance Bay utilizes Conservice in its multifamily business, a utility management tool to collect and monitor accurate utility data, helping us further understand our environmental footprint. By actively monitoring usage, we can implement prescriptive analytics to identify opportunities for energy reduction, sustainability, efficiency, as well as cost efficiencies.
Specific to our multifamily properties, our renovation packages incorporate low-flow toilets and showers, energy-efficient fixtures, ENERGY STAR appliances, and LED lighting for exteriors and commons areas.
Where practical and feasible, Sundance Bay demonstrates adherence to sustainability and energy performance standards by seeking green building ratings and certifications. In select development/redevelopment projects, we design buildings to be environmentally responsible, and resource efficient.
Waste Management
Sundance Bay intends to implement efficient building-wide recycling programs at our multifamily properties.
Other
We are committed to reducing our impact on the environment. We will continue to leverage technology and other solutions to improve upon the ways we operate our properties without jeopardizing practicality and quality to our stakeholders.
Climate Risk
Climate risk, driven largely in the form of greenhouse gas emissions (source: Intergovernmental Panel on Climate Change IPCC), has significant disruptive effects on the economy and in particular, the real estate sector, in the long term. Sundance Bay recognizes the materiality of climate risk within our portfolio and incorporates climate risk in evaluating potential investment opportunities, as applicable, and in managing out current properties.
Social
Our organization holds in high regard our role and responsibility in fostering the values of a just society and promoting a fair and inclusive culture among internal and external stakeholders. Ultimately, our work impacts the communities where we invest and work – and we believe our business thrives by doing good.
Sundance Bay acquires, develops, owns, lends to, and operates assets in many markets that are underserved by institutional capital. Our investment strategy is focused on value creation, and at the property level, that often results in the enhancement of our communities. It is our mission to spearhead positive change across our markets and communities, aligned with our purpose and business objectives.
Since its founding, Sundance Bay has honored the tradition of giving back to communities in impactful, supportive, and innovative ways. The professionals at Sundance Bay, individually and collectively, are active supporters and board members of organizations that align with our values – both at home and internationally. Some of our charity partners which we support by offering our time, expertise, and financial support to are: Charity Vision, Kate’s Club, Tifie, Live Your Dream Foundation.
Inspired by the International Day of Charity as part of the UN’s 2030 Agenda on Sustainable Development, Sundance Bay launched the Sundance Bay Serves Program, an employee-led outreach initiative where team members give back to meaningful causes through paid volunteering days and dollar-for-dollar matching programs. In 2022, Sundance Bay began an employee charitable donation matching program to worthy causes up to $5,000 per employee, provided they are a 501(c)3 charitable organization. All team members are encouraged to find opportunities that are personally meaningful. Whether serving as a board member or an active volunteer, professionals are encouraged to identify (at least) one date to give back or organize a group to volunteer for a charitable organization of choice.
Up to 5% of Sundance Bay’s proceeds are donated annually to worthy charities, including Charity Vision, which supports curing blindness in developing countries through sustainable clinics with local doctors.
Sundance Bay is committed to growing and advocating for future industry leaders. Since inception, we have partnered with local universities, including The University of Utah, Brigham Young University, and Westminster College to place juniors and seniors into the Sundance Bay Career Development Program.
SB Career Development Program
Interns join an immersive, rotation program that provides an introduction to the real estate industry and training in various functions within the firm.
Additionally, our team members are active volunteers, professors/lecturers, and guest speakers at the following academic institutions: Brigham Young University, University of Utah, Columbia University, and Cornell University.
SB Women’s Fellowship
To support a sustainable pipeline of diverse talent in the commercial real estate industry, Sundance Bay launched the Sundance Bay Women’s Fellowship, which recruits, trains, and develops qualified female students and entry-level candidates.
Governance
Sundance Bay’s governance pillar encompasses corporate governance and business conduct. The governance structure is designed so that management is held accountable for the proper execution of the company’s business plans/goals and equitable treatment of our investors. Our corporate governance framework and policies are guided by OECD Principles of Corporate Governance, UN PRI, UN DESA, CFA Institute, and ILPA.
Sundance Bay maintains a code of ethics (including conflicts and whistleblower policies) to ensure that a high level of integrity and ethics is upheld.
We prioritize our fiduciary responsibility in aligning our interests with stakeholders through meaningful Sundance Bay principal investment, key person clauses, strict conflict of interest policies, legal and regulatory compliance, and engaging compliance oversight (Chief Compliance Officer) throughout our financial and marketing processes.
Established in 2018, the board is composed of three (3) strategic advisors, who advise on strategic and growth decisions and ensure the long-term success of Sundance Bay. Members of the board come from diverse professional backgrounds with extensive experience, depth of knowledge, judgment and vision needed to provide insight and guidance on Sundance’s policies and practices.
The Advisory Board reviews the internal organizational structure of the company providing guidance & insight on ways to improve its economic efficiency, sustainable growth, and financial stability. The Advisory Board meets 2-4x per year and supports key decisions across a broad range of issues and competencies.
The various Sundance Bay pooled investment vehicles have established respective Limited Partners Advisory Committees (“LPAC”), consisting of select limited partners, to independently and objectively consult in major decisions relevant to management of the pooled investment vehicles, including conflicts of interest and competing demands.
We also have a fiduciary duty and obligation to our investors to provide disclosure of the relevant investment entity’s financial and operating results, major capital events, business plan objectives, and risk factors. These are disseminated through the quarterly reports, periodic investor communications as well as posted on Sundance Bay’s investor portal. Our pooled investment vehicle financials are audited annually by KPMG, a third-party PCAOB-registered accounting firm.
Sundance Bay’s high yield debt business employs a responsible contractor policy that provides for fair labor practices, competitive bidding, among other items.
The firm’s Chief Compliance Officer is responsible for overseeing and monitoring the firm’s compliance program and privacy policies, and is supported by ACA Compliance Group, a third-party compliance consulting firm. Sundance Bay conducts annual compliance training for all employees.
Sundance Bay’s cybersecurity compliance requirements are strictly enforced to users with access to our network, including employees, contractors, consultants, to safeguard the security of our data and technology infrastructure. We have formed a dedicated IT Committee, consisting of senior members of the firm, to oversee the organization’s cyber hygiene and devise/update defense strategies. Sundance Bay partners with a third-party cybersecurity firm to assist us with monitoring and strengthening our cybersecurity program.
Climate risk, driven largely in the form of greenhouse gas emissions (source: Intergovernmental Panel on Climate Change IPCC), will have significant disruptive effects on the economy and in particular, the real estate sector, in the long term. Sundance Bay recognized the materiality of climate risk within our portfolio, and incorporates climate risk in evaluating potential investment opportunities, as applicable, and in managing our current properties.
Culture as a Part of Sundance Bay’s Values
At Sundance Bay, we believe a diverse and inclusive culture leads to better business outcomes and contributes to a society that empowers people to be their best, authentic selves. We strive to create an inclusive culture that values different approaches and perspectives with a unified, shared commitment to excellence and integrity.
Our team members are held accountable for treating one another with dignity and respect, and for upholding an inclusive and equitable culture for our employees, tenants, co-investors, vendors, advisory board members, and other stakeholders impacted by Sundance Bay.
Much of the policies at Sundance Bay are influenced and guided by the direction, objectives, and approaches outlined in the UN Women Strategic Plan 2018-2021. To support a sustainable pipeline of diverse talent, we demonstrate our commitment at a practical level through the Sundance Bay’s Women’s Fellowship – our recruiting and mentoring initiative to attract and develop future female leaders in the real estate industry.
Additionally, the professionals at Sundance Bay are active speakers and attendees of workshops and panels, support and partner with organizations, and regularly contribute to benchmarking surveys – all of which are dedicated to fostering equal opportunities and resources for all.
Sundance Bay is an equal opportunity employer; we continue to invest in our ongoing efforts to hire diverse talent and provide all our employees with an equal opportunity for career development. Our HR management implements training programs on topics, including micro inequities and implicit and unconscious biases, and inclusive hiring practices.
Vendor Demographics
Sundance Bay considers all third-party service providers in accordance with its own ESG policy and goals. For instance, Sundance Bay reviews diversity of its vendors and has made an effort to pursue engagements with vendors that have diverse teams.
Workforce Demographics
Our team of diverse, talented, and committed professionals drives our mission. Our 79-person workforce is made up of 32% women and 37% people of color. At the executive management level, 38% is women and/or minority professionals, compared to 15% in the real estate industry (source: NAREIM-Ferguson Partners D&I Survey 2021).
54% of All Employees are Female and/or BIPOC
38% of Executive Management is Female and/or BIPOC
White: 63%
African-American: 15%
Hispanic/Latio: 4%
AAPI: 4%
Two Races or More: 1%
Other: 13%
Total Persons of Color: 37%
(As of April 1, 2021)
Sundance Bay is an equal opportunity employer; we continue to invest in our ongoing efforts to hire diverse talent and provide women and people of color an equal opportunity for career development. Our HR management implements training programs on topics, including micro-inequities and implicit and unconscious biases, and inclusive hiring practices.
Councils and Committees
Sundance Bay’s ESG Committee is a cross-functional management committee made of senior executives dedicated to developing, monitoring, and improving the ESG practices at the firm. The ESG Committee meets monthly to evaluate the measures put in place and procure partnerships with aligned values and standards, including sustainability consultants, benchmarking/reporting organizations. This committee will also aims to support an inclusive environment, ensure accountability, access diversity within corporate governance, and look to further improve firm practices for all internal and external stakeholders based on these ideals.
