Our positive, high-impact changes in the retail sector, in tandem with sustainable recovery and long-term growth prospects, are central to L2D’s environmental and social sustainability and governance (ESG) factors.



We introduce IMPACT, our ESG value proposition. The factors of ESG are not new to our business, evidenced in our market leading initiatives and focus on achieving operational efficiencies. IMPACT allows us to package these factors under one umbrella offering to ensure efficient reporting.

IMPACT is also our commitment to quality, business growth and sustainability, while creating shared value for all our stakeholders. We are guided by principles of humanity and people engagement, as we understand that the sustainability and the impact of our business, today and into the future, benefits all stakeholders.


We have developed a purposeful culture to driving our ESG efforts and we have aligned our vision and purpose accordingly. We believe IMPACT reinforces our competitive advantage and continuously develop its capacity as a priority and a key value driver.

We do not want to just rebuild, we want to make an impact – Build Tomorrow Together. Our commitment to ESG underpins and enables our financial and operational performance, while safeguarding the relevancy of our portfolio by reducing exposure to commercial risk and asset obsolescence. This in turn continues to add shared value for our investors and all other stakeholders. With a sharp focus on the long-term sustainability of L2D we enhance our distinctive competitive edge.

Principles underpinning our approach to ESG

  • We believe that ESG factors are integral to assessing the quality of our assets and are thus a vital part of our investment process.
  • Our ESG analysis focuses on areas that we believe are essential to our business to sustain a competitive advantage, over the long term.
  • We understand that ESG factors are a component of investment decisions, and we consider the valuation, sustainability and fundamental risks inherent in the business

ESG focus areas

Specific environmental sustainability priorities focus areas

  • Assessing our climate and water-related risks and opportunities.
  • Achieving Green Star SA certifications to validate the overall environmental performance of our properties.
  • Continuous investment in long-term renewable energy solutions and water-efficiency projects.
  • Implementing environmentally sustainable policies.
  • Improving waste management efforts to reduce waste-to-landfill from buildings.
  • Raising environmental awareness with our stakeholders.
  • Understanding how our business impacts the climate and environment.

Connecting stakeholder needs to social impacts

  • Giving back to our communities.
  • Improving L2D working conditions.
  • Improving our B-BBEE compliance.
  • Promoting community engagement to manage expectations.
  • Promoting diversity, equality and inclusion within our working teams.
  • Promoting skills development and wellbeing.

Positive Impact through good governance & ethical leadership

  • Continued focus on governance practices and ethical conduct to mitigate risks.
  • Incorporating ESG practices into our business strategy to positively strengthen our balance sheet.
  • Managing ESG-related risks to mitigate against reputational harm.


Natural capital is critical to the day-to-day functioning of our business and forms part of our strategic thinking. We remain focused on implementing our bold commitments in order to minimise our impact on the environment while protecting and preserving our natural resources. This will ensure that we drive operational efficiencies for the long-term sustainability of the business.

Our shopping malls are ecosystems that provide trading and experiential environments for some of the world’s most iconic brands as well as brands in high demand. With this in mind, we understand the importance of partnering with our stakeholders to accelerate our positive impact on the climate and our natural environment through our Good Spaces building block.

We remain bold in driving our Net Zero commitments , which is evident at a number of our business operations. We continue to reduce carbon emissions, water usage and waste generation as we move towards achieving our Net Zero 2030 target.


Net-Zero Waste during 2022 to attain certification in 2023

L2D’s portfolio diverted 6 148 tonnes, including organic waste through composting facilities (2022: 2 889 tonnes). This was achieved through innovative technologies implemented at our properties, including waste composters, recycling hubs and recycling units.

L2D has implemented a ‘problematic' plastics policy across our portfolio to combat plastic pollution, this includes; low-quality plastic carrier bags, straws, balloons for celebrations or decorations, plastic cutlery in food and beverage outlets, and polystyrene packaging provided by food and beverage outlets that can be harmful to human health. A clause has been added to all new leases and an update added to the house rules relevant to each mall.

L2D is also the first landlord member of the SA Plastics pact.

Readiness achieved in Net-Zero Waste by 2023.

Significant improvement recorded in waste-diversion rate – from 75% to 82% at the end of 2022.

Net-Zero Water ready by 2025

L2D has saved 16 million litres (2021: 12 million litres) of water in the last year across the portfolio equating to 3% (2021: 2%) of the total portfolio consumption. This has been achieved through, the implementation of rainwater harvesting systems and dual plumbing, condensation water harvesting and advanced low-flow toilets, and through continued waterresilience planning. Additional water-efficiency initiatives are continuously investigated.

Net-Zero Carbon ready by 2030

Smart-metering systems were rolled out across the portfolio, and comprehensive energy audits were conducted. Our total installed solar PV capacity equating to 2.8% in 2022 (2021: 2%).

The upgrade of equipment such as lifts, escalators, lighting, air-conditioning systems and other technical equipment across the portfolio to more energy-efficient options will continue.

Detailed investigations on HVAC equipment are underway to match the existing equipment lifespan with replacement equipment timing, with an opportunity to reduce energy consumption.

Ongoing investigations to identify opportunities in renewable energy wheeling are underway.

L2D is currently generating 3 980 MWh (2021: 2 966 MWh) of energy from the solar structures at Eastgate Shopping Centre, Promenade and Midlands Mall.


Supporting sustainable and inclusive economic growth within the communities in which we operate is imperative for our business. We are committed to actively serving, investing in, and supporting our communities while recognising the more significant stewardship role that our organisation must play.

L2D is part of a greater socioeconomic ecosystem, and we recognise that we are dependent on robust relationships with all our stakeholders. We appreciate the critical roles they play and remain committed to nurturing impactful, mutually beneficial relationships that combine to create sustainable value. Sustainability is central to everything L2D does and has become a point of pride for our people at all business levels. Our commitments in this regard are supported by a comprehensive implementation plan that outlines priorities, risks, opportunities, targets and action plans.

Our People

L2D Employee experience framework

Throughout our journey we encourage our people to live inspired, passionate, empowered and well-balanced lives. We lead our team in performance co-ownership, learning and continuous growth.

We ensure that we support our people in building their capabilities, while enabling them to lead from wherever they are. Our people practices are geared to supporting this culture in the organisation and towards achieving outcomes that are aligned to our overall strategy. We strive to keep our values of Passion, Accountability, Care and Excellence core to the way in which we work together.


We understand the importance of pre-empting and satisfying tenant needs to remain their landlord of choice as the provider of sustainable and relevant spaces.

Why we engage:

  • Attract and retain quality tenants.
  • Encourage lease renewals.
  • Improve the offerings in our spaces to remain relevant.
  • Tenant sustainability.


The public, especially in and around our shopping centres, comprises the shoppers who support our tenants. Shoppers are our most important customers, directly impacting the performance and quality of the tenants that rent space within our portfolio. Therefore, customer satisfaction is essential to ensure a sustainable rental income stream. Our goal remains to be regarded as retail destination of choice.

Why we engage:

  • Clean modern facilities.
  • Health and safety protocols.
  • Safe and convenient retail centres.
  • Security.
  • Tenant mix.
  • Tenant sustainability.
  • Relationship management to maintain our brand reputation.

Suppliers and Service Providers

We depend on a few key suppliers. These include utility providers such as Eskom and local municipalities. JHIR is our property manager, contracted to assist in managing the operations at our various properties. The interaction between this supplier and customers is significant and underpins the importance of having transparent communication channels.

Service providers are appointed in line with L2D’s Procurement Policy. Our property manager, JHIR, monitors the standard of performance, and issues are addressed at the monthly owners’ meetings, which L2D’s asset managers attend. JHIR is responsible for implementing the policy for procurement activities regarding the portfolio.

Our goal remains to be regarded as a preferred business partner.

Why we engage:

  • Our suppliers interface directly with our stakeholders (tenants and customers). It is imperative they conduct themselves in a manner that is consistent with our company values.
  • The promotion of good relationships with suppliers equals quality service on good terms.


We are committed to contributing to meaningful social change by developing sustainable relationships within the communities that surround our properties. We strive to be a responsible corporate citizen and aim to engage and support communities in which we operate in a responsible, sustainable, constructive, and empowering manner.

Our goal remains to be considered a responsible community participant and responsible corporate citizen.

Why we engage:

By creating mutually beneficial partnerships with our communities, we ensure our own sustainability and endeavour to meet our communities’ needs.

Industry Bodies

Industry bodies represent the industry in conversations with other stakeholders and advocate for its benefit. L2D is represented, through its people, as a member across various industry bodies while leading several committees including the Green Building Council of South Africa, the South African Property Owners Association, the South African Council of Shopping Centres, as well as the SA REIT Association and Women’s Property Network.

L2D’s good standing within the industry is indicated by the regular appointment of our people to decision-making structures within industry bodies.

Our Goal remains to be regarded as a good corporate citizen and an active contributor in the property sector.

Why we engage:

  • To ensure compliance with all laws and regulations.
  • To manage risk.


At L2D, we embed an ethical culture across our operations as well as our financial reporting. Our corporate governance practices aim to build legitimacy through ethical leadership, reputation management and the adoption of an inclusive approach to business.

  • Liberty Two Degrees Limited is listed on the JSE
  • We have converted to a Corporate REIT to better align to our stakeholders’ preferences
  • We are committed to reporting transparently, reflecting the true nature of our operations
  • Our consistently applied prudent capital management strategy, supported by quality assets, delivers value
  • We continue to seek out opportunities in the market for the short, medium and long-term, with the aim of unlocking shareholder value.


Within the Company’s ethical environment, effective corporate governance practices create and preserve value for all stakeholders while guarding against value erosion. L2D’s governance structures and processes create value for all its stakeholders by:

  • Adopting an inclusive approach to business.
  • Allocating capital and resources to activities that create value.
  • Allocating responsibility and accountability.
  • Balancing return opportunities with the cost of risk.
  • Building legitimacy through ethical leadership.
  • Enhancing the Company’s understanding of risk and opportunities.
  • Ensuring corporate success and business growth.
  • Ensuring the Company is managed in the best interests of all.
  • Incentivising executives and our people to achieve objectives that are in the interests of the shareholders and the Company.
  • Instilling and maintaining confidence, as a result of which the Company can raise capital and debt funding at a lower cost, efficiently and effectively.
  • Minimising wastage, fraud, risk and mismanagement.
  • Positively impacting the share price.
  • Protecting the L2D brand through responsible behaviour.
  • Setting the tone for how business is conducted.


The Board is L2D’s corporate governance custodian, leading the Company to embed an ethical culture and ensure effective control, solid performance, and legitimacy.

The Board believes that good corporate governance:

  • Ensures corporate success and business growth.
  • Incentivises executives and our people to achieve objectives that are in the interests of the shareholders and the Company.
  • Instils and maintains investors’ confidence, as a result of which the Company can raise capital at a lower cost, efficiently and effectively.
  • Minimises wastage, corruption, risk, and mismanagement.
  • Positively impacts the share price.
  • Supports the brand.


The Board understands that good corporate citizenship is a measure of the Company’s social responsibility and

its adherence to legal, environmental, ethical, and other responsibilities to its stakeholders. In today’s world, corporate citizenship is becoming increasingly important to investors, customers, our people, and society as a whole.

To this end, the Board recognises its rights, obligations and responsibilities towards society, stakeholders, and the environment. The Social, Ethics and Environmental Committee assists the Board in evaluating and monitoring measures and targets agreed upon with the leadership in all areas.

Furthermore, L2D’s legitimacy resides in the quality of its assets, with a strong heritage and a track record of being property pioneers, particularly in the retail sector. This is evidenced by the Company’s ability to remain relevant to its customers and is known as a sector benchmark in innovative property asset management capabilities.


The Company’s leadership is fully committed to the application of, and compliance with, the highest ethical standards. The Board firmly believes in leading by example and ensuring that the tone is set at the most senior level of the leadership structure. L2D’s code of ethics, as set out in its people policies, is strictly adhered to in the development and implementation of all business and growth strategies.

The Company’s leadership makes all decisions with due consideration to the code. To maintain the highest levels of integrity, honesty and transparency, the Company’s people are all required to familiarise themselves with and adhere to the code. In addition, our people are required to comply with the various policies that support the code.

Furthermore, underpinning the code are the Company’s values, which are integrated into the performance management process and shape how L2D behaves and conducts business. The Company has a zero-tolerance policy on any issues relating to unethical conduct. Therefore, the Company does not, at any level, condone or tolerate any form of fraud, corruption, unlawfulness, or other conduct that is irregular. During the year a new anti-bribery and corruption policy was adopted.

Amelia Beattie
"We introduce IMPACT, our ESG value proposition."

Message from Amelia Beattie

Chief Executive

As Liberty Two Degrees, we have been proactive about disclosure, particularly in relation to environmental, social and governance (ESG) indicators since listing. The real estate industry is ever evolving and even in times of uncertainty it brings new opportunities that propel us forward in our familiar territory of quality.

Through IMPACT, we redefine ESG as a role of our company in society. We acknowledge the value of addressing ESG concerns that are material to our business practices and in our endeavour to maintain operational excellence.