Environmental

Through data collection and strategic capital planning, we drive improved portfolio performance, reducing utility costs – one of our largest operating expenses – which has a significant impact on our sustainability practices. In turn, our tenants, health system partners, and shareholders benefit from cost savings and improved portfolio performance.

Environmental Goals

Healthcare Realty established meaningful long- and short-term goals that align with our sustainability priorities. Our progress against these goals can be found in our annual Corporate Responsibility Report.

15% reduction in energy use by 2032 over a 2022 baseline

30% reduction in Scope 1 and 2 emissions by 2032 over a 2022 baseline

20% reduction in water use by 2032 over a 2022 baseline

Obtain green building certifications, including LEED, ENERGY STAR, IREM CSP for at least 11% of the portfolio by 2025.

Environmental Performance Highlights

The following tables highlight our year-over-year performance and progress on our established GHG emissions, energy, and water goals. In 2024, we made substantial year-over-year progress over our 2023 usage.

Environmental Performance ⁽¹⁾

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(1) Data includes properties over which Healthcare Realty held operational control during the reporting year. Utility usage and emissions are calculated on a whole-building basis. Estimates are used where actual data is not available. Additional information about our methodology can be found on page 54 of our 2025 Corporate Responsibility Report.

(2) Scope 1 and Scope 2 emissions include direct and indirect sources at properties within our operational boundary and Healthcare Realty’s vehicle fleet. Scope 3 emissions include direct and indirect sources at properties outside our operational boundary and controlled waste usage.

Sustainable Capital Investments

Healthcare Realty strategically deploys capital investments to reduce utility usage and improve building efficiency. In 2024, Healthcare Realty invested $15.5 million in 451 efficiency projects supporting our energy and water management.

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Green Building Certifications

Healthcare Realty continues to increase green buildings in our portfolio, targeting 11% portfolio coverage by 2025. In 2024, we obtained 72 green building certifications, bringing our portfolio coverage to 10.9%. Obtaining these certifications ensures that sustainability best practices are embedded at our properties.