2017 was a rewarding year for CCT. We successfully reconstituted our portfolio and delivered a strong performance in the midst of challenging market conditions.
CCT's total deposited properties grew 22.7% YoY to S$10.8 billion and market capitalisation increased 59.1% YoY to S$7.0 billion in 2017. Distributable income went up by 7.4% YoY to S$288.9 million, translating to a distribution per Unit of 8.66 cents.
Being Singapore's largest commercial real estate owner in the CBD, we are mindful of the impact that our developments and operations have on the environment and the wellbeing of our stakeholders. We shape buildings that are operationally efficient and accessible to the community, promote a safe and healthy work environment and uphold a strong corporate governance and risk management culture.
As wholly owned subsidiaries of CapitaLand, the Manager and Property Managers of CCT firmly uphold CapitaLand's core values and deep commitment to sustainability. The Board Statement which affirms our commitment to sustainability is included for the first time in our report prepared in accordance to the Global Reporting Initiative (GRI) Sustainability Reporting Guidelines.
We have been relentless in our efforts to enhance resource efficiency for the portfolio. In 2017, we achieved consumption reductions of 21.4% psm in energy, 21.8% psm in water as well as trimmed carbon emission intensity by 38.7% compared to the base year of 2008.
For our efforts, we received the PUB Water Efficiency Award for Asia Square Tower 2 and the ASEAN Energy Efficiency award for Six Battery Road. Capital Tower achieved the BCA Universal Design Mark Gold award, a mark of recognition by the industry that we have designed the building to be safe, accessible and welcoming.
This year, we stepped up stakeholder engagement efforts through various channels and welcomed them as partners in our sustainability journey. Since 2015, we have been encouraging tenants to green their offices through the BCA Green Mark Office Interior certification. As at end 2017, we submitted 20 applications. Such collective efforts will go a long way to reduce the carbon footprint of our buildings. We organised another electronic waste (e-waste) recycling programme in 2017 and collected over 14,600 kilogrammes of e-waste. Designated bicycle sharing parking areas were introduced at Capital Tower and One George Street to encourage green mobility in the CBD.
We continued with our perennial activities to promote volunteerism, charity and well-being. We extended our partnership with Health Promotion Board to launch the Healthy Workplace Ecosystem at a third building, CapitaGreen, to overwhelming response. This year's CCT Eco Race attracted some 380 tenants and partners. For CCT Gifts of Joy, tenants and CapitaLand employees came together to organise a mini-Sports Day and grant 466 wishes for students of Rainbow Centre Margaret Drive School. Together with CapitaLand Hope Foundation, a total of S$46,000 was contributed to Rainbow Centre Singapore.
We have made good progress in energising workspaces and connecting vertical communities through placemaking. Some of these efforts like the breakout area on the 9th floor of Capital Tower and 4th floor of Twenty Anson have proven to be excellent spaces for chance encounters and informal event venues for tenants.
We intend to build on these successes, including piloting "office of the future" and "future of work" concepts that have the potential to transform office spaces from pure functional spaces for business transactions into dynamic enclaves that foster collaboration and enrich social experiences. Some of these exciting ideas included the flexible suites at Twenty Anson to meet growing demand for fitted-out space, and facial recognition at Capital Tower for secured and seamless building access.
Forging partnerships and leveraging technology
Being able to operate sustainably is important not just for the environment, but also CCT's long-term viability as a responsible business partner to stakeholders depends on it. Our sustainability journey which began with humbler efforts in 2012 has since expanded in scope and involvement to include more stakeholder groups.
We are now systematically expanding the green portfolio agenda through asset enhancement initiatives, incorporation of resource-efficient features at the design stage and acquisition of properties, like Asia Square Tower 2, that have ongoing sustainability programmes such as tapping on renewable energy sourced from solar panels. With the unwavering support from our management and stakeholders, we shall forge ahead to enhance stakeholder engagements and deepen sustainability efforts. Technology, as an enabler, will facilitate the transformation of the office environment and improve customer experience.
Chief Executive Officer
CapitaLand Commercial Trust Management Limited
(as Manager of CCT)
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