Aldar Earns Top-Quartile ‘A’ ESG Rating from MSCI

Aldar Properties, one of Abu Dhabi’s leading real estate developers, has achieved an ‘A’ rating in MSCI’s latest Environmental, Social, and Governance (ESG) assessment, a significant upgrade from its previous ‘BBB’ score. This places Aldar in the top 25% of global real estate firms rated by MSCI.

What the Upgrade Means

MSCI’s ESG ratings are widely regarded as a benchmark for assessing how effectively companies manage ESG-related risks. Aldar’s improved rating reflects the company's stronger ESG strategy and enhanced ability to manage sustainability challenges and governance risks within the real estate sector.

A key contributor to the upgrade was the significant improvement in Aldar’s governance score, which rose by 2.1 points to 8.3 out of 10, placing it among the highest-rated firms in the EMEA region’s real estate sector. Environmental performance gains also contributed to the improved standing.

Leadership Commentary

Faisal Falaknaz, Group Chief Financial and Sustainability Officer, stated:

“This upgrade reflects the significant strides we’ve made in embedding ESG as a core principle of how we do business across the group. As we continue to deliver on our net zero commitments and ESG strategy, we remain committed to responsible value creation and transparency, ensuring we contribute positively to our stakeholders, the local economy, and the environment.”

Sustainability Highlights

Aldar’s ESG achievements are backed by measurable results:

• In 2024, 80% of new projects were awarded a 3 Pearl Estidama rating or higher under Abu Dhabi’s green building standard.
• 23% of retrofitted assets achieved LEED Gold or Platinum certification from the US Green Building Council.
• Energy intensity across Aldar’s low-carbon design properties was reduced by 34% in 2024.
• Scope 1 and Scope 2 greenhouse gas emissions decreased by 24% and 19%, respectively.

Recognized ESG Leadership

This upgrade follows Aldar’s earlier recognition:

• Ranked as the top real estate company in the S&P Dow Jones Sustainability Index (DJSI) for the EMEA region in 2024.
• Received a “Low Risk” ESG score of 15.75 from Sustainalytics, outperforming global real estate peers.

The new ‘A’ ESG rating is a testament to Aldar’s robust and evolving sustainability strategy. It affirms the company’s commitment to ethical governance, reduced environmental impact, and long-term value creation for all stakeholders. Aldar continues to lead by example in integrating ESG into the heart of its business model and operational practices.