KPI’s for the purpose of non-financial data in the annual report

Tenant satisfaction

Objective	Determine resident satisfaction
KPI owner	Amvest
Definition	Through an annual tenant survey the ARC Fund measures the property management quality and the customer satisfaction amongst its tenants. This concerns in particular the degree of satisfaction regarding the rented property, the surroundings and the service level. Important elements are the contact moments and availability of staff of the property manager, the service performance, the letting process (intake) and repair requests.
Scale / unity	Absolute score on a scale from 0 (minimum) to 10 (maximum)
Calculation	• The satisfaction score is calculated by Customeyes based on the answers provided by the participant in the survey • For each question a maximum number of points is possible to be achieved (scale 1-10) • The survey is a quantitative research and fully digital • Each respondent counts even heavily when calculating averages • The benchmark consisits of 7 investors
Target	To achieve a tenant satisfaction score of at least 7.5 (out of 10) and outperformance of IVBN tenant satisfaction benchmark.
Scope	A sample of all the tenants from the ARC Fund who participated the questionnaire relating to tenant satisfaction
Frequency	Once a year
Reporting process	• The tenants fills out a score on a total of five components • Customeyes measures the responses • Customeyes delivers a report (dashboard) with the average score per component, propertymanager and complex including the number of responses
Systems and sources	Survey tool
Audit process	The tenant satisfaction score is measured completely independently by Customeyes based on the adress list provided by Amvest. Adresses with no current tenants are not included. The same holds true for adresses for which the rental agreement has been signed less than 1 year prior to the start of the survey
Result 2022	The average score of three components measured in the the tenant satisfaction score for the ARC Fund was 7.2, which is above the benchmark (7.1), but below the target of 7.5. The scores for the three components were as follows: • Quality of homes: 7.8 • Quality of property manager: 6.3 • Quality of living environment: 7.5

GRESB score

Objective	Achieve a GRESB (Global Real Estate Sustainability Benchmark) score
KPI owner	Amvest
Definition	The GRESB score is an overall measure of ESG performance, represented as the number of stars
Scale / unity	Number of stars from 1 (minimum) to 5 (maximum)
Calculation	The GRESB score is calculated by the GRESB organization based on the answers provided by the participant in a survey. For each question a maximum number of points is possible to be achieved. The number of stars are awarded based on the relative score in comparison with the other participants.
Target	To achieve the maximum 5 stars, with a minimum score of 87
Scope	The complete ARC Fund
Frequency	Once a year
Reporting process	• The survey is filled in by the ARC Fund with the burden of proof and argumentation for the answers given • The GRESB organization checks the answers, the burden of proof and the argumentation and determines the score per question • The GRESB organization reports to the ARC Fund the score of the Fund, how it is structured and how it scores in relation to the peer group
Systems and sources	Survey tool
Audit process	The GRESB organization checks the answers, the burden of proof and the argumentation according to its (high) standards and can visit the Fund for a further check
Result 2022	GRESB score of 90 (2021: 87), this results in a 5-star status.

Energy use intensity (EUI)

Objective	Measure the energy consumption of the objects in the ARC Fund portfolio
KPI owner	Amvest
Definition	The total energy consumption in kWh per m² per year of all objects in the portfolio that have been in operation for the entire calendar year. The sum of the amount of electricity (in kWh), disctrict heating in GJ and gas (in m³) which is converted to kWh.
Scale / unity	kWh / m² / year
Calculation	Electricity: • The total energy consumption (KWh) per building is divided by the total Gross Floor Area in m² • Three connections are monitored for each building: supply from the grid operator, electricity generated by the solarpanels (if applicable) and electricity supplied to the grid (if applicable) • Net consumption = supply grid operator + (generated electricity PV panels - / - electricity supplied back to grid) Gas: • Gas consumption in m³ is converted into kWh (factor 1 m³ = 9.769 kWh) • District steam generated in a centralized location for residential heating requirements in GJ is converted into kWh (factor 1 GJ = 277.78 kWh)
Target	Decrease the like-for-like energy consumption compared to previous year
Scope	All buildings in the ARC Fund, that are included in the annual report of the specific year (only buildings with a 100% data coverage are included). The buildings that are not in use for a full calendar year fall outside the scope as this may distort the data due to seasonal effects. Furthermore, when energy consumption deviates more than 25% from previous year, the data is regarded as an outlier and removed from the final calaculation.
Frequency	Once a year
Reporting process	The energy consumption is measured based on the following data: The total energy consumption in kWh per m²per year of all objects in the portfolio that have been in operation for the entire calendar year. The sum of the amount of electricity (in kWh), district steam/heat (in GJ) and gas (in m³) which is converted to kWh. The total renewable energy which has been generated based on the output of the solar panels measured by Sungevity. This information is collected by the asset manager. The information is obtained from smart meters, readings on locations and determined standard year usage of the energy/gas supplier. The asset manager delivers the data to Cooltree. Cooltree puts the data in the standard calculation sheet which will process the data.
Systems and sources	ESG Data Template (managed by Cooltree, ARC Fund has access), Cushman & Wakefield as a provider of data and external portal (managed by Sungevity) for renewable energy
Audit process	Amvest will check all manual input to ensure sufficient evidence has been provided by the property managers. A sample will be checked for data provided through Cushman & Wakefield and Sungevity portal to ensure all data is accurate. The auditor will have access to the final calculation sheet.
Result 2022	Average Energy Use Intensity 2021: 112.0 kWh/m²/year The change percentage between 2020 and 2021 is a 11.8% decrease.

^{* In 2021 a new measurement method for the KPI is used. In this new method, the amount of consumed energy is divided by the actual square meters of a building covered by the consumption data, instead of by the square meters of the total building. Due to this change the Energy Use Intensity figure has increased compared to the figure reported in the 2020 annual report. For comparison reasons the annual figures used for calculating the change percentage between 2020 and 2021 are both based the new measurement method.}

Renewable energy

Objective	Reduce carbon emissions by increasing the produced renawable energy produced by placing solar panels
KPI owner	Amvest
Definition	The reduction of carbon emissions and climate change is addressed by increasing the production of renawble energy by placing solar panels.
Scale / unity	# solar panels in the portfolio
Calculation	• The number of solar panels/homes is registered via the Sungevity dashboard, this information is added to ESG Data Template of Cool Tree
Target	The ARC Fund expects to increase the number of solar panels in comparison to previous year.
Scope	All homes within the fund.
Frequency	Once a year
Reporting process	• From the date of placing of the new solar panels electricity which is generated by the panels is measured on the basis of smart meters (automatically read, implemented by Sungevity) • Every 6 weeks an overview is drafted of all homes/solar panels that are in operation. • Furtermore the data (number of solar panels/energy generated by the solar panels) in the Sungevity dashboard is part of the ESG Data Template of Cool Tree
Systems and sources	Tool (dashboard) Sungevity
Audit process	• The data for the # solar panels/homes and the data for the generation of energy is checked by Sungevity and by Cooltree • The conversion factors are checked on the website of www.co2emissiefactoren.nl
Result 2022	In 2021 the ARC Fund has 19,059 solar panels.

Improve insight in energy consumption (coverage rate)

Objective	Improve the insight within the portfolio of energy usage (improving the coverage rate of energy consumption)
KPI owner	Amvest
Definition	The total coverage rate of energy/water/gas in all ARCF properties.
Scale / unity	Percentage
Calculation	The coverage rate is determined by data per m² , if one of the elements (energy/water/gas) is missing there will de a deduction of the coverage percentage.
Target	Improve upon last year (long term target 100%)
Scope	All buildings in the ARC Fund
Frequency	Once a year
Reporting process	All energy/water/gas meter readings will be made available to Amvest through eView (smart meters) and the property managers (providing proof) after which it will be calculated against all such meters in the portfolio. Meter readings behind the front door are approached using usage rates on postal code level (standaard jaar verbruiken)
Systems and sources	Manual data from property managers, Eview, CWING, SJV's
Audit process	When all data becomes available, KPMG will be able to take sample selection to ensure data is correct en verified
Result 2022	The coverage rate for the ARC Fund is 93.8%, which is higher than previous year (84.7%). Therefore target is met.

Carbon emission

Objective	Measure carbon emissions from the ARC Fund
KPI owner	Amvest
Definition	The total CO₂emissions in kg or tonnes of the buildings of the ARC Fund
Scale / unity	# kg CO₂ / m² / year
Calculation	Electricity: • The amount of electricity in kWh per building is made clear via ESG Data Template of Cool Tree (see KPI Energy Use Intensity) • The buildings for which 100% green electricity is purchased are taken from the total consumption in kWh • The total amount of kWh of ‘gray’ electricity is converted to kg of CO₂ in accordance with the emission factors of www.co2emissiefactoren.nl. 1 kWh = 0.5560 kg of CO₂ Gas: • The amount of gas in m³ per building is made clear via ESG Data Template of Cool Tree (see KPI Energy Use Intensity) • The buildings for which 100% green gas is purchased are taken from the total consumption in m³ • The total amount of m3 natural gas is converted to kg CO2 in accordance with the emission factors of www.co2emissiefactoren.nl. 1 m³ natural gas = 1.88 kg CO₂ • District steam generated in a centralized location for residential heating requirements in GJ is converted into 35,97 CO₂
Target	Carbon emmision of 19.9kg CO2/m2 /year over 2021 or below.
Scope	All buildings in the ARC Fund, that are included in the annual report of the specific year (only buildings with a 100% data coverage are included, see coverage rate). The buildings that are not in use for a full calendar year fall outside the scope as this may distort the data due to seasonal effects.
Frequency	Once a year
Reporting process	• The energy consumption is compiled based on the data as described in the KPI Energy Use Intensity • Subsequently, the tenants are asked which energy contracts have been concluded for gas and electricity • The total CO₂ emissions are determined based on energy consumption and contract types
Systems and sources	The systems used for the energy usage form the source
Audit process	• The data for the consumption is already checked by Cooltree and added in ESG Data Template of Cool Tree • The conversion factors are checked on the website of www.co2emissiefactoren.nl
Result 2022	Average Carbon Emmission Intensity 2021: 17.5 kg CO₂/m²/year, which is below target. The change percentage between 2020 and 2021 is a 23.9% decrease.

Energy performance certificates

Objective	Thrive to limit the higher energy performance certificates
KPI owner	Amvest
Definition	Percentage of energy performance certificates of B and A or higher based on relative bookvalue of the ARC Fund per calender year
Scale / unity	Absolute percentage
Calculation	The energy labels of all existing properties of the ARC Fund, corrected for property size
Target	90.2% A and B energy performance certificates
Scope	All operational properties at the end of the year within the ARC Fund
Frequency	Once a year
Reporting process	New complexes: When a new building has been completed the technical manager contacts the contractor to request an energy performance certificate. The contractor hires a company to measure the building and determine the energy performance certificate, this is preferably done in Vabi format. When the energy performance certificate is determined the report is entered in the datawarehouse by the asset controller. Existing complexes: When an energy performance certificate is expired or the building has been improved a new energy performance certificate is requested by the technical manager. The technical manager hires a company to measure the building and determine the energy performance certificate, this is preferably done in Vabi format. The energy performance certificate is than entered in the datawarehouse by the asset controller. Every quarter asset controller asks for an update of NIBAG regarding the current energy performance certificates and this is added to the datawarehouse.
Systems and sources	Datawarehouse NIBAG
Audit process	Financial process of Amvest
Result 2022	The percentage of homes with a A and B energy performance certificate for 2022 amounted to 91.0%, which is on target.

GPR certificate score

Objective	Achieve a postive GPR certificate score for new buildings
KPI owner	Amvest
Definition	Average score of the received GPR certificates
Scale / unity	Score number from 1 (minimum) to 10 (maximum)
Calculation	The GPR score is calculated by a GPR certified organization based on the building specific qualities. For each item a maximum number of points is possible to be achieved. The final score is based on standardized calculation rules (for example EPC-Calculation).
Target	Average GPR score of 7.0
Scope	All realised properties wherefore a GPR certificate is available within the financial year.” naar “All new build properties where a GPR certificate is available within the financial year.
Frequency	Once a year
Reporting process	The financial staff of the fund determines the average GRI Certificat for all properties based on GPR certificates provided by asset maanger and reports about it in the annual report.
Systems and sources	Amvest data systems
Audit process	Financial process of Amvest
Result 2022	The average score of the GPR certificates over 2022 is 7.0, which is on target.

Generated economic value

Objective	Create a stable dividend yield for the funds investors
KPI owner	Amvest
Definition	The realised dividend yield of the ARC Fund per calender year
Scale / unity	Absolute percentage
Calculation	The dividend of a calendar year that is reserved for payment to the investors of the Fund as percentage of the NAV (net asset value) of the fund per 1/1
Target	Stable dividend yield of >3.0%
Scope	The dividend yield of the ARC Fund per year-end.
Frequency	Once a year
Reporting process	The financial staff of the fund calculates the yearly dividend yield and reports about it in the annual report
Systems and sources	Amvest financial systems
Audit process	Financial process of Amvest
Result 2022	The dividend yield for 2022 amounted to 2.7%, which is below target.

Vacancy rate

Objective	Maintain a minimal stable vacancy rate
KPI owner	Amvest
Definition	The realised vacancy rate of the ARC Fund per calender year
Scale / unity	Absolute percentage
Calculation	The average vacancy rate of all existing properties of the ARC Fund, corrected for property size (excluding properties built in 2021/2022)
Target	<2.5%
Scope	All existing properties of the ARC Fund, corrected for property size (excluding properties built in 2021/2022)
Frequency	Once a year
Reporting process	The financial staff of the fund calculates the vacancy rate for all properties and reports about it in the annual report
Systems and sources	Amvest financial systems
Audit process	Financial process of Amvest
Result 2022	The vacancy rate for 2022 amounted to 2.2%, which is better than the target.

Investing in mid-priced rental segment

Objective	Maintaining a minimum portfolio allocation in the mid-priced segment (mid-priced formulated in ARCF Portfolio Plan 2021)
KPI owner	Amvest
Definition	The end-year portfolio allocation of the ARC Fund in the mid-priced segment
Scale / unity	Absolute percentage
Calculation	The percentage of homes (both single-family and multi-family) in absolute numbers of the ARCF allocated in the mid-priced segment compared to the ARCF portfolio
Target	Minimum of 80%
Scope	The allocation in mid-prized houses (both single-family and multi-family) of the ARC Fund per year-end.
Frequency	Once a year
Reporting process	The financial staff of the fund calculates the portfolio allocation of the fund and reports about it in the annual report
Systems and sources	Amvest financial systems
Audit process	Financial process of Amvest
Result 2022	The percentage of homes in mid-prized segment for 2022 amounted to 80%, which is on target.

Mid-priced rental segment

Focus area	Mid-priced
Central Circle - Amsterdam	763.5	1,550
Central Circle - Big Four (excl. Amsterdam)	763.5	1,350
Central Circle - Regional Cities	763.5	1,300
Central Circle - Remainder	763.5	1,250
Regional Economic Centres	763.5	1,150
Remaining Regions	763.5	1,050

Limited rental increase

Objective	Ensuring that no property has an average increase in rent exceeding the advised rental increase of the IVBN(The Dutch association of institutional real estate investors).
KPI owner	Amvest
Definition	The rental increase of the ARC Fund per property
Scale / unity	Absolute percentage
Calculation	The highest percentage of rental increase in a property, and compare it to the advised rental increase from the IVBN
Target	Equal to or below IVBN recommendation
Scope	The rent increase of properties (both single-family and multi-family) of the ARC Fund during the year.
Frequency	Once a year
Reporting process	The financial staff of the fund has an overview of the rental increase per property
Systems and sources	Amvest financial systems
Audit process	Financial process of Amvest
Result 2022	The highest rental increase in the ARC portfolio is 3.3%, which is inline with IVBN recommendation of 3.3%.

Renovation road map

Objective	Draw up a renovation roadmap for all properties
KPI owner	Amvest
Definition	The renovation roadmap provides guidance for sustainable tranfomation of the portfolio towards energy neutral
Scale / unity	# KWh netto energy consumption
Calculation	This Roadmap links up with the Carbon Risk Real Estate Monitor (CRREM). The CRREM decarbonisation pathways align with the Paris climate goals of limiting global temperature rise to 2°C, with the ambition towards 1.5°C.
Target	A roadmap in which all objects of the fund are incorporated and on the basis of which a sustainability trajectory can be calculated
Scope	All buildings in the ARC Fund
Frequency	Once a year
Reporting process	The roadmap is drawn up using information provided by Amvest
Systems and sources	Dashboard roadmap tool
Audit process	At the moment no audit process is in place other than the check which properties are closed to or over the CCREM line.
Result 2022	Insight has been created and assets with highest need for improvement are investigated.