Case Studies

U.S.A. Residential Community

Skymont invested in a residential project in Los Angeles, California. which has incorporated sustainability in the heart of the development process by preserving the natural environment through years of planning, studies, and giveback.

Our Partnered Developer

Grandway Residential, an institutional-quality full-cycle residential developer deeply rooted in the Southern California communities, and founded on a two-generation legacy of providing high quality home building services covering land acquisition, planning and entitlement, design and engineering, financing, marketing and sales

Challenges

Minimizing the impact on the existing environment and views of the local community of San Dimas while developing a sophisticated 65-home hillside community, the largest gated community in the San Gabriel Valley region of Los Angeles County coming to market over the next decade

Actions and Achievements
  • Careful and sensitive landscape planning over many years, which expertly blended the established hillside landscape with the new, minimizing the impact to the land, with many of the existing trees protected either in-place or relocated within the community

Fencing surrounding the entire Project to restrict entry and disturbance
  • Donated 160 acres of land to Southwest Resource Management Association, the  local land conservancy as permanent open space and habitat conservation area, which are abundant with natural trails
  • Donated nine acres of land and US$180,000 to support the local trail construction works of Sycamore Canyon Trail and the Poison Oak Trail for public recreational use

Horsethief Canyon Park – the start point of the Sycamore Canyon Trail and the Poison Oak Trail
  • Eight consecutive year support of biological studies to preserve and promote biodiversity of the Project
  • 2020 awardee for “Outstanding Stormwater BMP Implementation Project” by California Stormwater Quality Association;  the storm drain system helps significantly reduce hazardous flooding and runoff risks both for the Project site and its downstream residents, via implementation of Best Management Practices (“BMP”):  
  • On-site rainfall retention through micro-retention basins
  • Effective erosion and sediment control
  • Real-time aerial imagery to identify potential pollutant sources

Flood retention basins

Sustainability Guidelines

Introduction

Skymont Capital (Skymont) is an international investment manager that invests on behalf of its client-investors in private real estate and real estate related assets and businesses. Skymont is a fiduciary for its clients and regards its primary responsibility to maximize investment returns for its client-investors subject to the confines of its management agreements with clients. Skymont believes that sustainability factors should be considered as they have the potential to impact value to its investments to varying degrees across asset classes, markets, jurisdictions, and time. Skymont commits to integrating sustainability initiatives in the context of fulfilling its fiduciary responsibilities.

Purpose

This Sustainability Guideline is designed to:

(I)Define Skymont’s perspective toward sustainability

(II)Provide Skymont’s employees with guidelines regarding the implementation of the sustainability principle when evaluating and managing investments and partnerships

(III)Communicate with clients, vendors and other stakeholders how Skymont shall integrate sustainability considerations into its investment management, partnership formation and vendor selection processes, and which sustainability factors Skymont may weigh over the processes while remaining focused on maximizing long term investment performances

Skymont believes incorporating sustainability considerations into various aspects of our investment management process will help us better fulfill our fiduciary responsibility to our investors, creating and preserving lasting value.

Investment

Skymont applies ESG integration to its investment decision making. When assessing a potential investment, sustainability is an important dimension of its due diligence process. For each deal under scrutiny, Skymont’s sustainability considerations behind it include but are not limited to natural resources preservation, clean energy adoption, local community empowerment, health and wellbeing enhancement, etc. Skymont targets to deliver sustainable returns and minimize ESG risk exposure, while trying to create positive environmental and societal impacts. Since the outbreak of Covid-19, Skymont has actively adopted various digitalization tools to digitize its sourcing and due diligence efforts (e.g.,virtual site inspections, meetings), which has increased work efficiency while reducing expenses and carbon footprint.

Operation and Reporting

Operation and reporting comprise two important pillars of Skymont’s portfolio management:

By partnering with the best-in-class operators and creating specialized operating platforms that best understand the respective market and sector, Skymont has been facilitating best practices in the operation of its investments, creating value and driving performance therein.

Skymont has maintained a rigorous fund stewardship and a transparent reporting process supported by institutional fund infrastructure, promising peace of mind to our investors that they continuously have timely access to an accurate view of our investment performance.

Partners, Vendors and Tenants

Skymont believes in the power of working together to achieve synergy, and has integrated sustainability considerations into the assessment and choice of its potential partners, vendors and tenants, and regularly communicates on and promotes the sustainability principle with its existing partners, vendors and tenants to encourage alignment in practice. Most of Skymont’s existing partners and vendors have explicit sustainability policies in place, and are sustainability practice leaders in their respective fields, often recognized by preeminent ESG awards.

For both existing and potential partners, vendors and tenants, Skymont adopts an approach of fairness and integrity in the interest of fostering long term relationships.

Company Culture and Employee Training

Skymont believes its employees are vital to the implementation of its corporate strategy and to ensuring sustainable business success. Therefore, Skymont continuously engages and empowers its employees by maintaining a lean decision structure that fosters employee involvement and creativity, and encouraging lifelong learning and brainstorming with innovative minds both inside and outside the traditional real estate world. Skymont believes this will keep itself uniquely competitive in formulating strategies and decisions that shall capitalize on the long-term trends. Meanwhile, Skymont also supports ESG learning for its employees to ensure that ESG integration starts from the doorsteps of our office.

Looking Ahead

Moving forward, Skymont looks forward to furthering its commitment to the sustainability principle by systematically integrating more ESG dimensions into its investment management and operational processes.

Skymont will take a holistic approach in its investment selection process that shall seek sustainable returns, minimize ESG risk exposure that can create positive environmental and societal impacts to the surrounding world. Meanwhile, Skymont will continue to improve its operating performance and reporting transparency.