ESG Executive Summary
ESG EXECUTIVE SUMMARY
At HIP, we acquire hotels that require investment: we refurbish them, conceptualize them and find the best operators and brands to manage them. Our goal is to increase the value of the hotels, provide an exceptional experience for our customers and optimize their profitability. Our investment also focuses on energy efficiency to reduce the negative impact of our activity.
In this regard, we take a proactive role in environmental, social and governance matters, boosting the long-term value of our assets and meeting the demands and expectations of our stakeholders.
To date, we have achieved significant milestones that reflect our strong commitment and leadership in sustainability within the industry
Assets | 69 hotels |
Rooms | 22.000 keys |
Countries | Spain, Greece, Italy, and Portugal |
Certified Assets | 90% of assets certified BREEAM Very Good or Excellent |
Installed Power | 8,587 kWp installed capacity (431 kWh/key solar generation and 11% energy savings |
Renewable Electricity | 97% of renewable electricity consumed in 2024 |
CO2 Emissions | 12.4 kgCO2/m² CO2 emissions in 2023 (-12.4% vs 2022) |
Global Review Index | 86.1% in the Global Review Index |
ENVIRONMENTAL PERFORMANCE
Environmental certifications
We have certified our hotels with BREEAM, an international benchmark standard for sustainable construction. Currently, 90% of our hotel portfolio is BREEAM Very Good or BREEAM Excellent certified, with a market share of 51% in Spain, 50% in Greece and 27% in Italy.The market share of BREEAM Very Good or Excellent in the countries where we are present (Spain, Italy, Greece, Portugal) is 45%.
Self-generation
We invest in self-generation of energy in our assets through the installation of photovoltaic panels, leveraging the available space in our hotels and the abundant sunlight in our locations. Since 2021, we have implemented this type of installation in more than half of our hotels, reaching an installed capacity of 8,587 kWp. Thanks to our photovoltaic plants, we have generated 9.6 GWh per year (431 kWh/key, representing 11% of the energy consumption of the 37 hotels with solar installations
Energy efficiency and emission reduction
We promote energy efficiency in our hotels, thereby contributing to energy savings and reducing CO2 emissions. Since 2021, we have replaced air conditioning equipment in a third of our portfolio with high-efficiency heat pumps, improving energy efficiency and electrifying our equipment. In addition, we have implemented advanced energy management systems in more than 73% of our hotels, with digital and centralised metering of consumption. In terms of lighting, all our hotels are equipped with LED technology.
Thanks to these improvements, along with the use of renewable energies and the elimination of fossil fuels, we have managed to reduce our energy consumption by 7.2% in 2023 and our carbon footprint by 12.4% compared to 2022. This carbon footprint reduction extends to 61 % when compared to 2019.
Green power contracts
We establish renewable energy supply contracts, ensuring the availability of green energy at our assets. In 2021 none of our hotels had this supply and in 2024 almost all of our hotels consume renewable electricity, representing 97% of total electricity consumption. This initiative also fosters the reduction of CO2 and the contribution to global decarbonisation targets.
Water
At HIP we take responsibility for correct water management in our hotels. We implement consumption reduction mechanisms such as flow restrictors, aerators, single-lever mixer systems, dual flush toilets, drip irrigation and awareness campaigns within the facilities. Three out of four of our hotels have flow-reducing devices to optimize water consumption and, thanks to investment and operational improvement, we have reduced water consumption by 6.9% POR in the last year.
Responsible Management
Customer satisfaction
We take into account guest feedback and ratings of our hotels. To this end, the Global Review Index (GRI) is an industry standard that measures the online reputation of thousands of hotels based on the opinions of consumers on specialised websites, such as Booking or Tripadvisor, and breaks them down into relevant categories for hotel management (location, service, cleanliness or food, among others). In 2024, our hotels achieved an average 86.1% in the Global Review Index, excelling in categories such as service and location.
Workforce
We are aware that our team is our most valuable asset, and we strive to create a workplace that promotes professional development and personal satisfaction. HIP's team consists of 143 professionals distributed among the Asset Management, Real Estate, Investments, Legal & Compliance and Finance, Corporate Development & ESG teams. Their commitment is rooted in HIP's core values: commitment, passion, clarity and dynamism. Proof of this is that we have recently been recognised as a Great Place to Work
Ethics and compliance
Ethical behavior is a hallmark of HIP. In recent years, we have implemented and refined our system of governance policies and documentation to standardize procedures, comply with the legal framework, and ensure transparency in business management. We highlight our Code of Conduct, Anti-Corruption Policy, and Compliance and Anti-Bribery Policy. In addition, we have ISO 37001 on anti-bribery management systems. Cybersecurity also plays a key role in our process improvement, ensuring information protection while using advanced analytics to uncover key business insights, identify opportunities, and make better decisions. In addition to our ISO 27001 certification for information security, we hold ISO 25012 certification, which attests to the quality of our data.
ESG Governance Structure
We integrate ESG issues into the company's decision making from the board of directors, defining responsibilities for the application, supervision, and implementation of the ESG roadmap. Our ESG strategy is present in HIP's value chain: hotel acquisition, transformation and operations. Likewise, it is adopted at all levels and by various internal bodies, ensuring the monitoring and achievement of objectives.
In addition to the progress made in sustainability, we continue advancing in other areas, such as waste management. Climate risk analysis is also a strategic focus to create long-term value and integrate sustainability into our overall risk management. We have analysed 100% of our portfolio to identify the hotels most sensitive to physical and transitional risks, and we are currently developing specific mitigation plans, with a special focus on water stress, our most critical risk. We also continue to strengthen collaboration with our operators to implement social actions that positively impact guests, employees and the community. We are already working on adapting to the CSRD in order to have standardised public information comparable to the European market and we will soon participate in prestigious ESG ratings, such as GRESB, to certify our commitment to sustainability.
All that we have achieved, along with our future plans, brings us closer to becoming a benchmark in sustainable investment in holiday hotels in Southern Europe.
