2022 Sustainability Report: Empire State Realty Trust

SUSTAINABILITY REPORT 2022

INTRODUCTION

ESG OBJECTIVES AND STRATEGY

ENVIRONMENTAL

SOCIAL

GOVERNANCE

APPENDICES

1

Table of Contents

17 Environmental 19 Net Zero and Carbon Neutrality 22 Environmental Impact Goals and Targets 25 Environmental Performance 27 Sustainability Guidelines and Policies 34 High-Performance Healthy Buildings

60 Governance 61

2 Introduction 3 Letter from Chairman, President, and CEO and SVP, Director of Energy, Sustainability, and ESG 4 Empire State Realty Trust (ESRT) Overview 5 Environmental, Social, and Governance (ESG) Highlights, Awards, and Achievements 6 Reporting

Board and Management Oversight of ESG

62 Risk and Crisis Management 62 DEI Risk Management 63 Climate Change and Resilience 65 Board Composition and Refreshment 67 Ethics and Compliance 68 Disclosure Frameworks and Industry Alignment

36 Tech and Innovation 37 Tenant Engagement 39 ESRT Version 2.0

7 ESG Objectives and Strategy 8 ESRT ESG Strategies and Components

69 Appendices 70 About This Report 70 Technology and Innovation Partners 71 Global Reporting Initiative (GRI) Content Index 74 Sustainability Accounting Standards Board (SASB) Index 77 The Financial Stability Board Task Force on Climate-related Financial Disclosure (TCFD) Index

9 Integration 10 Leadership 12 ESRT Explores New Methods and Improved Technologies 13 Materiality and Stakeholder Engagement 15 Alignment with United Nations Sustainable Development Goals (UN SDGs) 16 Quantifiable Improvement

43 Social 44 Social Responsibility 45 Social Impact Goals 46 Employees 50 Diversity, Equity, and Inclusion (DEI) 53 Tenants

55 Community Engagement 58 Vendors and Suppliers 59 Human and Labor Rights

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

INTRODUCTION

ESG OBJECTIVES AND STRATEGY

ENVIRONMENTAL

SOCIAL

GOVERNANCE

APPENDICES

2

Introduction

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

INTRODUCTION

ESG OBJECTIVES AND STRATEGY

ENVIRONMENTAL

SOCIAL

GOVERNANCE

APPENDICES

3

It is a pleasure and a privilege for us to share our 2022 Sustainability Report and present another year of achievement, leadership, and commitment to our shareholders, tenants, team, and community. ESRT’s goals are to lease space, sell tickets to the Empire State Building Observatory, maintain our balance sheet, and achieve our sustainability goals…all to build value for investors. Our focus on the creation and preservation of value requires attention to our bottom line through logical, balanced leadership and execution in ESG to deliver on our goals over the near, medium, and long terms. ESRT continues to lead by example in environmental stewardship and healthy building performance. Everything we do is with focus on bottom line results. We define objectives, determine the economic outcomes, execute, and measure and verify. ESRT has always eschewed soft targets. We received target validation with the Science Based Targets Initiative (SBTi) that our emissions reduction target is aligned with SBTi’s most stringent 1.5°C trajectory. With our expansion into residential property in 2021 and 2022, we begin our work to improve sustainability and environmental performance in a new asset category with the same values and standards to report and disclose transparently. Each decision we confront expands our proven process to make decisions based on data and science and deliver measurable returns on investment (ROI). As of January 2022, we achieved carbon neutrality across our entire commercial portfolio, 1 an important step toward our ultimate target of net zero emissions at the Empire State Building by 2030 and across our commercial portfolio by 2035. In April 2022, we published the Empire Building Playbook: An Owner’s Guide to Low Carbon Retrofits (the Playbook) in partnership with the New York State Energy Research and Development Authority (NYSERDA) and supported by the Clinton Global Initiative. The Playbook provides a roadmap for building landlords to reduce the carbon emissions of high-rise buildings in alignment with Local Law 97 (LL97) and New York State’s Climate Leadership and Community Protection Act (CLCPA) through replication of the technical and economic approaches used at the Empire State Building. As the first commercial portfolio in the Americas to achieve and maintain the WELL Health- Safety Rating across 100% of our portfolio and one of the first to have our rating renewed twice, we are dedicated to the advancement of scientifically validated approaches to healthy

buildings and indoor environmental quality (IEQ) to boost tenant and employee well-being. We continue to pilot new and innovative IEQ technologies to position our assets to exceed global IEQ health and wellness standards. We drive inclusion and accountability with safety and respect for every ESRT community member. Our goals for diversity in our workplace and for our suppliers, recognition by the Bloomberg Gender-Equality Index, and commitment to the United Nations Global Compact and Women’s Empowerment Principles demonstrate that we can address concerns of today while at the same time maintain accountability for our bottom line. Our corporate and union colleague engagement has never been higher. Our business environment has not gotten easier. ESRT continues to perform, set new objectives, and achieve them, and do all of this with focus on our goals. We hope you enjoy your read of this report as much as we enjoy the challenge and accomplishment it represents.

Onward and upward.

Anthony E. Malkin Chairman, President, and CEO

Dana Robbins Schneider SVP, Director of Energy, Sustainability, and ESG

1 Commercial portfolio includes our office and retail assets, but not our multifamily assets.

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

INTRODUCTION

ESG OBJECTIVES AND STRATEGY

ENVIRONMENTAL

SOCIAL

GOVERNANCE

APPENDICES

4

ESRT Overview Empire State Realty Trust, Inc. (NYSE: ESRT) is a real estate investment trust (REIT) that owns and manages office, retail, and multifamily assets in Manhattan and the greater New York metropolitan area. ESRT owns the iconic Empire State Building — the World’s Most Famous Building — and the newly reimagined Empire State Building Observatory that was named the #1 attraction in the U.S. and #3 in the world in Tripadvisor’s 2022 Travelers’ Choice Awards: Best of the Best. As of December 31, 2022, ESRT’s portfolio is comprised of approximately 8.9 million rentable square feet of office space, 741,000 rentable square feet of retail space, and 721 residential units across three multifamily properties. ESRT’s sustainability strategy is founded on science-based initiatives to mitigate the environmental impacts of our buildings and the businesses and residents who occupy our office, retail, and multifamily properties. We promote IEQ to support tenant and employee health and well-being. Our efforts and our results enhance our properties’ competitive stance in the marketplace and protect and enhance stakeholder value. Every ESRT investment in our existing portfolio and new acquisitions is made after integrated consideration of how we can achieve measurable gains in energy efficiency, carbon emissions reduction, water efficiency, waste diversion, and healthy buildings. In execution of our strategy, we emphasize accountability and financial performance as well as attention to the health and well-being of ESRT’s employees, tenants, and the communities where we operate. ESRT is a global leader in energy efficiency and emissions reduction. In partnership with NYSERDA and the Clinton Global Initiative, we have authored The Empire Building Playbook: An Owner’s Guide to Decarbonization for existing commercial buildings to develop pathways to carbon reduction with proven returns on investment. We achieved carbon neutrality as of

January 2022 and plan to achieve our ultimate target of net zero emissions by 2030 at the Empire State Building and by 2035 for 100% of our commercial portfolio. We are a 2022 ENERGY STAR Partner of the Year, and 92% of our NYC portfolio and 80% of our entire portfolio is certified by ENERGY STAR, the national industry standard for energy efficiency. The Global Real Estate Sustainability Benchmark (GRESB) awarded us with a Five Star Rating and an “A” for our ESG disclosure and reporting. ESRT identifies and communicates progress toward our goals in a transparent manner consistent with GRI, SASB, and TCFD governance frameworks. SBTi has validated ESRT’s emission reduction targets consistent with a 1.5°C climate scenario, the most ambitious goal of the Paris Agreement. Our commitment to the advancement of verified scientific approaches to healthy buildings and IEQ has earned us the distinction of Fitwel Champion. ESRT partnered with the International WELL Building Institute and the Mayo Clinic and became the first commercial portfolio in the Americas to achieve the WELL Health-Safety Rating across 100% of our commercial portfolio in September 2020 and among the first to be recertified twice. We are an early adopter of the new WELL Equity Rating and have committed to WELL at Scale. We are a model for the successful implementation of comprehensive, innovative, and effective ESG policies, stakeholder engagement, and transparent reporting. Our expertise and commitment in these areas enable us to facilitate sustainable and healthy buildings within our portfolio and to share best practices to drive positive change.

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

INTRODUCTION

ESG OBJECTIVES AND STRATEGY

ENVIRONMENTAL

SOCIAL

GOVERNANCE

APPENDICES

5

ESG Highlights, Awards, and Achievements

NET ZERO BY 2030 FOR EMPIRE STATE BUILDING AND 2035 PORTFOLIO-WIDE

CARBON NEUTRAL AS OF 2022

INTRODUCED THE EMPIRE BUILDING PLAYBOOK Owner’s Guide to Decarbonization

Validated emission reduction targets consistent with 1.5°C climate scenario

100% of portfolio is WELL Health Safety rated First in Americas

Awarded Global Listed Sector Leader, Regional Sector Leader, Regional Listed Sector Leader in the Americas

Awarded Fitwel Champion 89% of NYC Portfolio

Better Climate Challenge Partner

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

INTRODUCTION

ESG OBJECTIVES AND STRATEGY

ENVIRONMENTAL

SOCIAL

GOVERNANCE

APPENDICES

6

Reporting ESRT reports in alignment with the UN Sustainable Development Goals (SDGs), The Global Reporting Initiative (GRI), Sustainability Accounting Standards Board (SASB) standards, and the Taskforce on Climate-Related Financial Disclosures (TCFD).

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ESG OBJECTIVES AND STRATEGY

INTRODUCTION

ENVIRONMENTAL

SOCIAL

GOVERNANCE

APPENDICES

7

ESG Objectives and Strategy

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ESG OBJECTIVES AND STRATEGY

INTRODUCTION

ENVIRONMENTAL

SOCIAL

GOVERNANCE

APPENDICES

8

ESRT ESG Strategies and Components

CERTIFICATIONS We have pioneered practices in energy efficiency retrofits in the existing built environment. Based on our calculations, we anticipate no fines through 2029 for office properties under New York City’s LL97. Certifications for our sustainability work include a GRESB Five Star rating, ENERGY STAR Partner of the Year, WELL Health-Safety Rating, and Fitwel Champion. We were selected to receive a $5 million grant in the first funding round of the Empire Building Challenge and a $50 million state initiative spearheaded by NYSERDA to reduce greenhouse gas.

DISCLOSURE ESRT publicly discloses comprehensive details across all aspects of our ESG efforts. This includes transparent communications with our shareholders, tenants, and the public. Our ESG efforts are detailed throughout our investor materials and published online. We report our environmental data according to the World Resources Institute’s (WRI) Greenhouse Gas Protocols and leverage rigorous certifications to measure our performance against national and global industry standards and benchmarks.

ESG POLICIES Our Board of Directors, in coordination with ESRT senior management, oversees the creation of internal and external ESG policies and codes of conduct so that employees, tenants, vendors, investors, and other stakeholders understand how ESG aligns with business practices and implementation and relates to risks and opportunities. Industry frameworks guide our strategy, goals, and evaluation procedures. We carefully develop and continuously refine our policies and standards to guide action and ensure performance and progress against our targeted goals.

GOALS & ACCOMPLISHMENTS In 2022, ESRT conducted an in-depth goals and targets exercise to ensure that our goals were ambitious and supported by independently verified data. We focused on six categories for our portfolio: greenhouse gas (GHG) emissions, energy, water, waste, IEQ, and green building certifications. To develop and establish these goals, we used 2018 as a baseline year to ensure that our goals met or exceeded our existing commitments, such as NYC Carbon Challenge, U.S. Department of Energy’s Better Climate Challenge, and Empire Building Challenge. We also aligned our targets with industry standards and frameworks, including the UN SDGs, where possible.

ESRT ESG STRATEGIES AND COMPONENTS

TENANT ENGAGEMENT ESRT is an asset to our tenants through space choice and a landlord- tenant partnership that produces positive sustainable and economic results. Our hands-on engagement is a differentiator and service to our tenants. We proactively support our tenants to measure, report, and achieve their sustainability targets through ESG data, actionable recommendations for energy reduction, ROI-based design and construction, and an active partnership in their sustainability journey. In addition, we engage with our tenants via quarterly town halls and education sessions focused on sustainability.

DATA-DRIVEN PERFORMANCE ESRT measures, manages, and evaluates performance against our goals. We use data management platforms, technologies, and third-party verification to provide advanced analytics and insights that inform and improve our performance. We partner with a leading energy analysis firm to review energy supply, demand, budgets, and pricing to plan accordingly for energy supply and current and future renewable sources.

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ESG OBJECTIVES AND STRATEGY

INTRODUCTION

ENVIRONMENTAL

SOCIAL

GOVERNANCE

APPENDICES

9

Integration Sustainability is integrated into who we are and what we do in every aspect of our business. Our groundbreaking work sets the standard for our industry and delivers long-term value for our shareholders, tenants, colleagues, and the communities where we live and work. Our sustainability professionals participate in our capital expenditure planning and execution, property management, design, and leasing.

CARBON NEUTRAL BUILDINGS Through our design standards, operational practices, and targeted decarbonization roadmap, ESRT provides an industry- leading standard for decarbonizing the built environment in New York City. ESRT achieved carbon neutrality in 2022 through a combination of (i) reduction of operational emissions through building energy efficiency work, (ii) purchase of wind renewable energy credits (RECs) for 100% of the commercial portfolio’s electrical usage, and (iii) offset of 100% of fossil fuel usage with preservation of biodiverse forests. This is just one step in our commitment to our operational net zero target of 80% emissions reduction at the Empire State Building (ESB) by 2030 and the entire commercial portfolio by 2035. As we reduce emissions through our ESRT 2.0 work, we plan to offset our fossil fuel emissions through accredited sources until we reach our reductions goals.

RESTORATION AND REUSE ESRT retrofits and operates its buildings with environmental impact and resource conservation as a priority to ensure that we operate our buildings efficiently to reduce energy, water consumption, and waste production. ESRT consistently considers embodied carbon in our decarbonization analyses with a focus on modernization of existing buildings to advanced

HEALTHY BUILDINGS ESRT creates

INDOOR ENVIRONMENTAL QUALITY Since 2010, ESRT has deployed a leading IEQ program that includes bipolar ionization, MERV 13 filtration, air quality monitoring, CO 2 sensors, and low/

DIVERSITY, EQUITY, AND INCLUSION Through training and development programs, codes of conduct, and transparent practices and policies, ESRT promotes DEI efforts within our company, at our properties, and across our supply chain. ESRT was named a member of the Bloomberg Gender-Equality Index for the second year in a row and became a signatory of the UN Women Empowerment Principles in 2022.

spaces that support the health and well- being of our tenants and employees. We partner with tenants throughout the design process to include key design elements to enhance occupant productivity and well-being.

no volatile organic compound (VOC) materials.

performance levels. This approach also delivers the strongest ROI.

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ESG OBJECTIVES AND STRATEGY

INTRODUCTION

ENVIRONMENTAL

SOCIAL

GOVERNANCE

APPENDICES

10

Leadership ESRT prioritizes thought leadership and explores new tactics and technologies in the real estate market to provide data for decisions and a blueprint for action. We routinely and comprehensively assess progress toward our objectives. We use a variety of sensors, automation platforms, and real-time meter data. Our advanced data management provides a comprehensive understanding of consumption and performance, identifies opportunities

for improvement, and validates effective measures. We utilize our portfolio as a dynamic, living laboratory in which we explore technologies that will propel our industry forward. We manage risk in our portfolio through implementation of physical and operational resilience techniques in each building, and we amplify and distribute that information in an open-source style so that others can benefit from our experience.

ESRT Industry Participation

LL97 Advisory Board and Commercial Buildings Working Group Co-Chair

Board Member and Sustainability Policy Advisory Committee Chair

Sustainability Committee

Tenant Energy Optimization Program

Real Estate Sustainability Committee

Board of Directors

Steering Committee

Commitment Maker

DOE’s Better Climate Challenge and Better Buildings Initiative

Innovator

Mayor’s Sustainability Advisory Board

Judge

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ESG OBJECTIVES AND STRATEGY

INTRODUCTION

ENVIRONMENTAL

SOCIAL

GOVERNANCE

APPENDICES

11

Industry Coordination and Leadership Roles ESRT actively engages in a host of industry organizations, working groups, partnerships, and initiatives to gather and share information that will shape ESG-related industry standards and government policy. ESRT’s Chairman, President, and CEO is the Chair of the Real Estate Roundtable’s Sustainability Policy Advisory Committee (RER SPAC), has served on the New York City Climate Mobilization Act LL97 Advisory Board, and has co-chaired the Advisory Board’s Commercial Buildings Working Group. Our Director and SVP of Energy, Sustainability, and ESG serves on Mayor Eric Adams’ New York City Sustainability Advisory Board, the REBNY Sustainability Committee, Nareit Real Estate Sustainability Committee, Urban Green Board of Directors, and RER SPAC and has served a maximum term on the U.S. Green Building Council (USGBC) IEQ Technical Advisory Group and the Leadership in Energy and Environmental Design (LEED) Steering Committee. Our participation in the NYSERDA Empire Building Challenge, which supports dialogue between real estate, engineering, and technology providers to identify and implement solutions that reduce GHG emissions in high-rise buildings, resulted in the receipt of one of four $5 million grants to be used toward strategic pilot projects in January 2022. ESRT’s pilot projects will focus on building management system (BMS) upgrades and optimization, energy recovery, steam reduction, and partial electrification through water and air source heat pumps and conversion to air source domestic hot water.

“ These partnerships between technology innovators and the state’s real estate leaders will advance scalable decarbonization solutions that reduce emissions from high-rise buildings while growing the clean energy economy.

Doreen M. Harris NYSERDA President and CEO

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ESG OBJECTIVES AND STRATEGY

INTRODUCTION

ENVIRONMENTAL

SOCIAL

GOVERNANCE

APPENDICES

12

ESRT Explores New Methods and Improved Technologies

ESRT advances ESG principles through thought leadership, industry cooperation, policy engagement, and collaborative implementation of effective practices that we openly share.

Our real estate portfolio is a dynamic laboratory where we continuously pilot new technologies focused on emissions reduction, energy efficiency, water efficiency, IEQ, health and well-being, and waste reduction. We gather data to perform measurements and verification on these technologies using an array of sensors, meters, and automation platforms installed at our properties. This data, along with input from employees, tenants, and technical experts at ESRT, as well as our trusted partners, informs our analyses and evaluations and, ultimately, our recommendations for continued or expanded use.

To improve our entire industry’s ability to successfully implement and measure progress of ESG standards, we share our data and findings via open-source formats. For more details on our groundbreaking ESRT 2.0 Decarbonization Work, click here.

What the Empire State Building did is a blueprint for how we can modernize our buildings, reduce emissions, convert to a carbon-free future, and create new jobs. If we could do the same thing for every sizable building in every city in America, we would probably buy ourselves decades before the worst consequences of climate change come down on us.

With our foundation in the groundbreaking, deep energy retrofit at the Empire State Building, our mission is to make energy efficiency and decarbonization more affordable and therefore accessible to more businesses that make New York State great.

Bill Clinton 42 nd President of the United States Founder and Board Chair, Clinton Foundation

Dana Robbins Schneider ESRT SVP, Director of Energy, Sustainability, and ESG

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ESG OBJECTIVES AND STRATEGY

INTRODUCTION

ENVIRONMENTAL

SOCIAL

GOVERNANCE

APPENDICES

13

Materiality and Stakeholder Engagement

In 2021, we conducted a materiality assessment to inform our ESG strategy and ensure the prioritization of the ESG topics most important to our company and stakeholders. We considered the perspectives and expectations of stakeholders, including tenants, investors, brokers, employees, shareholders, members of our Board of Directors, and industry peers. We consistently monitor and evaluate ESG issues, business needs, and stakeholder expectations. These topics remained relevant to our business and our stakeholders throughout 2022. We plan to conduct materiality assessments every three years to assess and align with shifts in circumstances and stakeholder priorities. Our board’s activities are supported by our senior management team, including our SVP, Director of Energy, Sustainability, and ESG, who provides the board with quarterly ESG updates, and our employee-led Sustainability Committee. ESRT’s Sustainability Committee meets quarterly and includes ESRT’s Chairman, President, and CEO; Chief Operating Officer (COO) and Chief Financial Officer (CFO); executives for leasing, property construction, and property management; and members of the legal, marketing, and investor relations teams. Actions and strategies approved by the committee are executed by sustainability, engineering, and property management teams across ESRT’s portfolio.

We have an employee-led Inclusion committee that works with a third-party consultant, the ESRT human resources, ESG, and legal teams, and others within the company to assess and plan internal DEI training and initaitives.

To ensure direct accountability and a continued sustainability focus, we have adopted ESG metrics as part of executive management incentive compensation, both as part of annual bonus and performance-based equity awards.

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ESG OBJECTIVES AND STRATEGY

INTRODUCTION

ENVIRONMENTAL

SOCIAL

GOVERNANCE

APPENDICES

14

OBSERVATIONS FROM 2021 MATERIALITY ASSESSMENT The below materiality matrix represents the complete matrix for all material topics and stakeholders.

Stakeholders identified the below eight topics as the most material topics to ESRT’s sustainability and ESG strategy. This report details our strategy and initiatives to address each of these key points.

3

Energy Efficiency

3

Renewable Energy

GHG Emissions

5

Compliance with Laws and Regulations

5

4

8

6

2

7

3

4

8

6

Indoor Environmental Quality (IEQ)

3

6

3

6

5

7

2

2

8

2

4

10

3

Diversity, Equity, and Inclusivity of Employees Health and Well-being

1 7

12

11

1

1

11

9

5

5

1

Diversity, Equity, and Inclusivity of Senior Management

8

9 10 10

9

2

4

IMPACT

IMPACT

ESRT will conduct materiality assessments every three years to assess and align with shifts in circumstances and stakeholder priorities.

8 Occupational Health and Safety 9 Stakeholder Engagement 10 Screening Suppliers and Service Providers on Environmental Criteria 11 Training and Education GOVERNANCE 1 Anti-corruption Policies and Procedures 2 Anti-harassment 3 ESG Responsibility and Accountability Resting with the Most Senior Executive and Board 4 ESG Performance Impacting Employee Pay 5 Data Privacy and Security

6 Equal Pay 7 Business Ethics 8 Compliance with Laws and Regulations 9 Shareholder Rights 10 Transparency and Reporting

11 Waste Reduction 12 Water Conservation

ENVIRONMENTAL 1 Alternative/Mass Transportation 2 Biodiversity from Property Operations

SOCIAL 1 Assessing/Measuring the Impacts of Entity Operations on Local Communities 2 Diversity, Equity, and Inclusivity of Senior Management 3 Diversity, Equity, and Inclusivity of All Employees 4 Employee Compensation 5 Health and Well-being 6 IEQ 7 Human Rights

3 Energy Efficiency 4 Renewable Energy 5 GHG Emissions 6 Sustainability Certifications, Ratings, and Labeling Schemes 7 Sustainability Certifications Specific to Health and Well-being 8 Pollution of Nearby Land and Water Bodies 9 Environmental Purchasing Practices 10 Waste Diversion

RESILIENCE 1 Climate Related Physical Risks 2 Climate Related Transition Risks 3 Emergency Preparedness

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ESG OBJECTIVES AND STRATEGY

INTRODUCTION

ENVIRONMENTAL

SOCIAL

GOVERNANCE

APPENDICES

15

Alignment with UN Sustainable Development Goals To ensure that our sustainability policies are understood and executed across the portfolio, we train our property managers, ESRT employees, and tenants. Our work is described in our investor presentation materials and regularly updated and available on our website to keep investors and stakeholders informed.

We maintain active contact with federal, state, and city governments, and we share our practices to inform policy. We disclose our efforts to foster awareness of the potential impact on shared goals and objectives.

Our approach is aligned with global frameworks such as the UN SDGs. The SDGs were developed by the United Nations as a framework for addressing global challenges and creating a more sustainable future. Each of our goals and initiatives is designed with the SDGs in mind. The goals denoted in color below are the goals upon which we primarily focus.

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ESG OBJECTIVES AND STRATEGY

INTRODUCTION

ENVIRONMENTAL

SOCIAL

GOVERNANCE

APPENDICES

16

Quantifiable Improvement

• 75% waste diversion rate by 2035 • Reduce waste generation by 5% year over year • Perform waste audits at 100% of buildings annually

• Achieve net zero GHG emissions across the entire portfolio by 2035 and achieve Empire State Building net zero GHG emissions by 2030 • Meet the Empire Building Challenge and commit to leadership at a statewide level to achieve 80% local emissions reduction by 2035

EMISSIONS

WASTE

ESRT partnered with NYSERDA and the Clinton Global Initiative to drive leadership in action toward climate resilience and a carbon neutral future. The Playbook process sets forth a series of steps that can be achieved with a projected timeline of three to six months: Empire Building Playbook

• Further improve the IEQ in our buildings to improve efficiencies, tenant safety, and well-being

• 50% reduction in energy use intensity by 2035 • 20% reduction of energy use intensity at Empire State Building by 2024

ENERGY

IEQ

• Focus on total employee well-being across physical, mental, and financial dimensions • Engage and enhance our community through meaningful volunteerism and educational initiatives • Monitor and enhance supply chain diversity • Transparency and disclosure of Equal Employment Opportunity Commission (EEOC) diversity data at board, management, and all employee levels and through execution of our strategic DEI plan

• 30% reduction in water usage by 2035 • Reduce water usage 2% year over year • Implement real-time water metering and software across the portfolio by 2025

DEI IN THE WORKPLACE AND SUPPLY CHAIN

WATER

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ENVIRONMENTAL

INTRODUCTION

ESG OBJECTIVES AND STRATEGY

SOCIAL

GOVERNANCE

APPENDICES

17

Environmental

COOKFOX Studio West Terrace — © COOKFOX Architects

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ENVIRONMENTAL

INTRODUCTION

ESG OBJECTIVES AND STRATEGY

SOCIAL

GOVERNANCE

APPENDICES

18

In the United States, buildings currently consume 70% of electricity and account for nearly 40% of GHG emissions. In major cities such as New York City, the built environment accounts for more than 70% of GHG emissions. 2 At ESRT, we believe in the ability of building performance to drive global and local emissions reduction, improve employee health and productivity, bolster our competitive position, mitigate risk, reduce our stakeholders’ exposure to future costs and depreciation of value, and serve as an industry leader in environmental stewardship. We evaluate current, new, and emerging technologies to optimize performance across our key priority areas and to advance our efforts to reduce energy, GHG emissions, water, and waste and to improve IEQ. Our decarbonization and sustainability programs take embodied carbon into account to strike a balance between optimization, reuse, and lifecycle assessments. Our strategy and implementation of best practices, cutting- edge technologies, and initiatives driven by results position us to set the standard in the built environment. ESRT’s work at the forefront of energy efficiency, for the benefit of our tenants and the environment, is recognized worldwide.

KEY PERFORMANCE INDICATORS

Indoor Environmental Quality

Emissions

Waste

Energy

Green Building Certifications

Water

2 Source: NYC Mayor’s Office of Climate and Environmental Justice

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ENVIRONMENTAL

INTRODUCTION

ESG OBJECTIVES AND STRATEGY

SOCIAL

GOVERNANCE

APPENDICES

19

ESRT’s definition of net zero for existing buildings is that by extreme reduction of building operational emissions, partnership with a renewably sourced grid aligned with the CLCPA, and strategic offsets of residual emissions through clean energy generation and accredited initiatives, net annual building operational carbon emissions are equal to zero. By 2030 for the Empire State Building and by 2035 for the commercial portfolio, ESRT will target net zero carbon emissions through an 80% operational carbon emissions reduction — to be achieved through a combination of energy efficiency measures and a more renewably sourced grid — and a 20% offset through verified renewable energy and conservation projects. ESRT includes all owned assets and 100% of commercial Scope 1, Scope 2, and Scope 3 downstream leased assets in our net zero goals, projects, data, and disclosure. Scope 3 downstream leased assets are the emissions from the operation of assets that are leased by ESRT and not already included in the scopes 1 and 2 inventories. Commercial property owners, operators, and tenants must work collaboratively to meet the carbon reduction targets outlined in New York City’s LL97. Our research has shown that building interventions, as well as planned major changes in power supply to the grid, are required to meet NYC’s and international long-term targets of GHG emissions reduction of 80% by 2050. Buildings achieve the most significant reductions when energy and emissions reduction measures are implemented at the asset level. Our groundbreaking deep energy retrofit of the Empire State Building, which began in 2010, has reduced GHG emissions by 56% compared to our benchmark year of 2009. This Version 1.0 work was integrated across our entire commercial portfolio and provided the real estate industry with a blueprint of what was then technically and economically possible in the built environment. Since 1.0 implementation, ESRT has achieved 43% reduction in emissions portfolio wide. Net Zero and Carbon Neutrality

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ENVIRONMENTAL

INTRODUCTION

ESG OBJECTIVES AND STRATEGY

SOCIAL

GOVERNANCE

APPENDICES

20

ESRT announced in April 2022 an update of our 2010 roll out that outlines further steps beyond deep energy retrofits to net zero carbon emissions in balance with healthy buildings, referred to as ESRT 2.0. In a public-private partnership with NYSERDA and the Clinton Global Initiative, ESRT released the Empire Building Playbook, a free step-by-step guide for existing commercial building owners to develop a pathway to carbon reduction with proven ROI announced by President Clinton, Governor Hochul, and Mayor Adams.

Learn More: Empire State Realty Trust Reaches Carbon Neutrality for Commercial Portfolio

GOAL ESRT Net Zero by 2035

As we prioritize our efforts to reduce emissions through our building retrofit work, tenant engagement, and sustainability policy efforts, we will offset our fossil fuel emissions through accredited sources until we reach our goal of 80% operational carbon emissions reduction—or net zero. The Empire State Building has been 100% powered by renewable energy since 2011, and as of January 2021, we power 100% of the electricity used in the entire commercial portfolio through clean wind power RECs. ESRT has partnered with 18 Reserves and ACT to offset 100% of commercial non-electric energy consumption through the preservation of approximately 9,000 acres of biodiverse forest ecosystem. • January 2022: ESRT achieved carbon neutrality • November 2022: ESRT completed net zero roadmaps and began implementation for 100% of NYC commercial portfolio • November 2022: SBTi validation of ESRT net zero 1.5°C commitment for carbon emissions reduction

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ENVIRONMENTAL

INTRODUCTION

ESG OBJECTIVES AND STRATEGY

SOCIAL

GOVERNANCE

APPENDICES

21

ROADMAP TO NET ZERO

2007

2009

2010

2012

2019

2021

2022

JAN 2010 • Purchased 100% wind

JAN 2012 • Integrated operational best practices from ESB 1.0 into portfolio standards • Partnered with the Natural Resources Defense Council to develop the Tenant Energy Optimization Program to demonstrate tenants’ role in energy reduction and proven methodology for modeling and proving the business case for sustainable tenant spaces in 2010 based on the ESB model. The program was gifted to Urban Land Institute (ULI) to scale.

JAN 2019 • Formalized

JAN 2021 • Offset 100% of the electricity used in the

JAN 2022 • Achieved carbon neutrality across entire commercial portfolio APR 2022 • Announced ESRT 2.0 deep energy retrofit study and released Empire Building

SEP 2007 • Began

APR 2009 • Announced ESB

DEC 2009 • Established baseline for portfolio energy and GHG performance • Implemented High Performance Design and Construction Standards, requiring all ESRT build- outs to be built to and perform at the highest level of efficiency

development of ESB 1.0 deep energy retrofit study

1.0 groundbreaking retrofit and provided the industry with a free open protocol blueprint of what is technically and economically possible

sustainability standard operating procedures for the portfolio

RECs for the Empire State Building

portfolio through clean wind power RECs

OCT 2019 • Began

APR 2021 • Committed to target net zero

development of ESRT 2.0 decarbonization roadmap

• Energy

emissions for ESB by 2030

Playbook in public- private partnership with NYSERDA

Performance Contract › 38% energy reduction › 3.1 year payback

DEC 2009–Present (Ongoing) • Submit for ENERGY STAR Certification and utilize ENERGY STAR Portfolio Manager to track performance • Optimize building operations through benchmarking and tracking data, energy audits, retrocommissioning, and measurement and verification (M&V) • Pilot new technologies for energy efficiency and emissions reduction

and commercial portfolio by 2035

• Announced

• ESB

community solar contract for a new 3.2 megawatt (MW) solar project, 8.2 MW

decarbonization roadmap study completed

battery storage system, and 80

electric vehicle (EV) charging stations at 500 Mamaroneck Avenue

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ENVIRONMENTAL

INTRODUCTION

ESG OBJECTIVES AND STRATEGY

SOCIAL

GOVERNANCE

APPENDICES

22

Environmental Impact Goals and Targets

In 2022, ESRT conducted an in-depth goals and targets exercise to ensure that our goals were ambitious and supported by independently verified science-based data. We focused on five categories for our portfolio: GHG emissions, energy, water, waste, and health and well-being. ESRT submits to GRESB annually and is globally recognized in reporting, investor, and science-based categories. To develop and establish these goals, we used 2018 as a baseline year and ensured that goals met or exceeded our existing commitments, such as the NYC Carbon Challenge, U.S. Department of Energy’s Better Climate and Better Buildings Challenges (including Net Zero Emissions and Net Zero Waste Pilots), and the Empire Building Challenge.

SCIENCE BASED TARGETS INITIATIVE In 2022, we received target alignment validation from the SBTi, a reporting framework aligned with the latest climate science guidance to meet the goals of the Paris Agreement. ESRT’s targeted reduction for GHG emissions supports reduction pathways to limit global temperature rise to 1.5°C, which was validated by accredited global third- party experts. Few real estate companies have made this aggressive commitment. We intend to demonstrate that these ambitious goals are achievable and economically advantageous in our industry.

Our targets are aligned with industry standards and frameworks, which includes UN SDGs.

2022 PROGRESS: ON TRACK GREENHOUSE GAS EMISSIONS INTENSITY 3 (kgCO 2 e/ft 2 )

GOAL: Net Zero by 2030 for

Climate Action Take urgent action to combat climate change and its impacts

• Target net zero GHG emissions across our entire commercial portfolio by 2035 and for ESB by 2030 • Meet the Empire Building Challenge and commit to leadership at a statewide level to achieve 80% local emissions reduction by 2035 • 100% renewable wind RECs for all electricity in commercial portfolio • 18 Reserves forest preservation offset 100% of steam, natural gas, fuel oil usage for commercial portfolio • Selected to receive a $5 million grant in the first funding round of the Empire Building Challenge, a competitive $50 million state initiative spearheaded by NYSERDA • Publicly announced our commitment to emissions reduction across our entire commercial portfolio by 2035 and publicly report on progress. • Converted fuel oil boilers to natural gas by 2020 with only one remaining to be converted before 2023 heating season to reduce significant air emissions such as nitrogen oxides (NO x ) and sulfur oxides (SO x )

Empire State Building and by 2035 for the commercial portfolio

4.41

2022

GHG

4.77

2021

4.21

2020

5.18

2019

3 ESRT commercial occupancy increased 76% over a 5-day average (Monday – Friday) and 86% over a 3-day average (Tuesday – Thursday) in 2022 compared to 2021. The data above represents the commercial portfolio. 2022 is the baseline year for multifamily properties and ESRT will share year-over-year change in next year’s report.

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ENVIRONMENTAL

INTRODUCTION

ESG OBJECTIVES AND STRATEGY

SOCIAL

GOVERNANCE

APPENDICES

23

2022 PROGRESS: ON TRACK ENERGY USE INTENSITY 3 (kBtu/ft 2 )

GOAL: 50% site energy use reduction by 2035

Energy Use • Target 50% energy use intensity reduction by 2035 • Target 20% energy use intensity reduction at Empire State Building by 2024 Energy Efficiency • All eligible buildings are ENERGY STAR certified (80% portfolio wide, 92% of commercial portfolio)

Energy and Atmosphere Ensure access to affordable, reliable, sustainable, and modern energy for all

61

2022

58

2021

ENERGY

57

2020

66

2019

2022 PROGRESS: ON TRACK WATER 3 (m 3 )

GOAL: 30%

Clean Water and Sanitization Ensure availability and

• Target 30% water usage reduction by 2035 • Target 2% water usage reduction each year • Implemented real-time water metering and machine learning software across the commercial portfolio in 2022

sustainable management of water and sanitation for all

reduction in water intensity by 2035

366,162

2022

297,834

2021

WATER

318,388

2020

581,193

2019

2022 PROGRESS: ON TRACK WASTE DIVERSION 3

GOAL: 75% waste diversion rate by 2035

Responsible Consumption and Production Ensure sustainable consumption and production patterns

• Target 75% waste diversion rate by 2035 • Target 50% waste diversion rate by 2025 • Target 5% waste generation reduction annually • Perform waste audits at 100% of our commercial buildings annually

36% 37% 35%

2022

2021

WASTE

2020

22%

2019

3 ESRT commercial occupancy increased 76% over a 5-day average (Monday – Friday) and 86% over a 3-day average (Tuesday – Thursday) in 2022 compared to 2021. This occupancy increase contributes to increased usage. The data above represents the commercial portfolio. 2022 is the baseline year for multifamily properties and ESRT will share year-over-year change in next year’s report.

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ENVIRONMENTAL

INTRODUCTION

ESG OBJECTIVES AND STRATEGY

SOCIAL

GOVERNANCE

APPENDICES

24

2022 PROGRESS: MET 100% Properties WELL Health-Safety Rating 2022 PROGRESS: ON TRACK 71% Portfolio square footage Fitwel certified

GOAL: 100% Properties WELL Health-Safety Rating GOAL: 75% Portfolio square footage Fitwel certified by 2025

Health and Well-being Ensure healthy lives and promote well-being for all at all ages

• WELL Health-Safety for 100% of portfolio annually • Perform comprehensive annual indoor air and water quality tests at all properties • Install MERV 13 filters and ASHRAE 62.1 ventilation in all facilities where possible • Comprehensive industry-leading High Performance Sustainability Guidelines • Achieved Fitwel Champion; covers 89% of our Manhattan portfolio • Committed to WELL at Scale

IEQ

NYC SUSTAINABILITY ADVISORY BOARD In December 2022, ESRT’s SVP, Director of Energy and Sustainability, Dana Robbins Schneider, was appointed to the New York City’s Sustainability Advisory Board. The board is made up of 24 members who will advise the city on a range of potential climate initiatives, including energy, transportation, waste management, and expanding New York City’s green space, among other areas of importance. 4 ESRT is the only REIT represented on the board. “I look forward to sharing the expertise I have been privileged to gain in over 20 years in this field to drive continued partnership and effective policy, informed by successful practice, to deliver on Mayor Adams’ vision for a net zero New York City,” Dana said of her appointment. “We will prove the technical and economic case for decarbonization while also delivering a healthy and equitable built environment, innovation, and job creation for all New Yorkers.”

4 https://www.nyc.gov/office-of-the-mayor/news/895-22/mayor-adams-appoints-26-members-sustainability-advisory-board

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

ENVIRONMENTAL

INTRODUCTION

ESG OBJECTIVES AND STRATEGY

SOCIAL

GOVERNANCE

APPENDICES

25

Environmental Performance

Empire State Realty Trust discloses key environmental performance metrics across energy, GHG emissions, water, and waste to track, evaluate, and improve performance. ENERGY PERFORMANCE

We disclose environmental performance data for all properties where ESRT is the owner. The reporting boundary includes 21 properties owned and controlled by ESRT as of December 31, 2022. We include all properties owned by ESRT and we include all known Scope 1, Scope 2, and Scope 3 downstream leased assets energy, utility, and emissions data in these disclosures. GHG emissions were calculated in accordance with the GHG Protocol, and verification of the data contained herein was conducted in accordance with ISO 14064 Part 3. A similar approach and methodology was utilized for energy, water, and waste data.

GREENHOUSE GAS EMISSIONS PERFORMANCE

2022 ENERGY CONSUMPTION DISTRIBUTION 5 (MWh)

2022 GREENHOUSE GAS EMISSIONS 5 (MTCO 2 e)

Scope 1 ( 6,800 )

4% increase in commercial energy consumption compared to 2021

8% decrease in commercial emissions compared to 2021

Electricity ( 102,886 )

Commercial ( 4,783 ) Multifamily ( 2,017 )

Commercial ( 98,487 ) Multifamily ( 4,399 )

Scope 2 ( 14,048 )

182,946 MWh

44,784 MTCO 2 e

Fuel ( 41,157 )

Commercial ( 13,985 ) Multifamily ( 63 )

Commercial ( 30,197 ) Multifamily ( 10,960 )

Scope 3 ( 23,936 )

Steam ( 38,903 )

Commercial ( 22,730 ) Multifamily ( 1,206 )

Commercial ( 38,903 )

LIKE-FOR-LIKE ENERGY USE INTENSITY 5 (kBtu/ft 2 )

LIKE-FOR-LIKE GREENHOUSE GAS EMISSIONS 5 (MTCO 2 e)

23,936

22,632

100% of commercial portfolio electricity has been offset through the purchase of Green-e Certified Wind Power Renewable Energy Credits

1,206

21,002

88.4

20,318

18,491

16,722 17,341

22,730

66

62.6 61

14,048

57 58

63

6,888 6,800

6,110

13,985

4,643

2,017 4,783

Scope 1

Scope 2

Scope 3

2019

2020 2021

2022

2022 2022

2019

2020

2021

2022 Commercial

2022 Multifamily

5  ESRT commercial office occupancy increased 76% over a 5-day average (Monday – Friday) and 86% over a 3-day average (Tuesday – Thursday) in 2022 compared to 2021. This occupancy increase contributes to increased energy usage and emissions. In April 2022, ESRT transferred back to the lender in a consensual foreclosure, a high-rise office building in Norwalk, CT and in December 2021, acquired two high-rise multifamily buildings in New York, NY. These portfolio changes and property type differences contribute to changes in utility trends, specifically an increase in natural gas usage, attributable to the multifamily properties, and increased emissions. 2022 is the baseline year for multifamily properties and ESRT will share year-over-year comparisons in the 2023 Sustainability Report. Data is not normalized to weather, occupancy, or other variables which impact usage and are not based on the impacts of efficiency efforts. Heating Degree Days (HDD) increased 6% in 2022 compared to 2021 and Cooling Degree Days (CDD) increased 5% in 2022 compared to 2021. These differences in weather and occupancy contribute to increased usage and emissions in 2022 as compared to 2021. The data within this report represents two multifamily properties, 345 E. 94th St and 561 10th Ave, comprised of 625 residential units. 298 Mulberry St acquisition closed on December 20, 2022 and therefore is not included in 2022 data.

EMPIRE STATE REALTY TRUST: 2022 SUSTAINABILITY REPORT

Page 1 Page 2 Page 3 Page 4 Page 5 Page 6 Page 7 Page 8 Page 9 Page 10 Page 11 Page 12 Page 13 Page 14 Page 15 Page 16 Page 17 Page 18 Page 19 Page 20 Page 21 Page 22 Page 23 Page 24 Page 25 Page 26 Page 27 Page 28 Page 29 Page 30 Page 31 Page 32 Page 33 Page 34 Page 35 Page 36 Page 37 Page 38 Page 39 Page 40 Page 41 Page 42 Page 43 Page 44 Page 45 Page 46 Page 47 Page 48 Page 49 Page 50 Page 51 Page 52 Page 53 Page 54 Page 55 Page 56 Page 57 Page 58 Page 59 Page 60 Page 61 Page 62 Page 63 Page 64 Page 65 Page 66 Page 67 Page 68 Page 69 Page 70 Page 71 Page 72 Page 73 Page 74 Page 75 Page 76 Page 77 Page 78 Page 79 Page 80 Page 81

Made with FlippingBook Online newsletter maker