# Entity Characteristics The **Entity Characteristics** aspect identifies the reporting entity's attributes that remain constant across different reporting periods (year-on-year). *** {% stepper %} {% step %} ## **EC1: Reporting Entity**
#### Assessment Instructions
Intent: What is the purpose of this indicator? Identify the participating entity. This information will be displayed in the GRESB Portal and in the entity’s Fundamentals Report.
Input: How do I complete this indicator? Complete all applicable fields. #### Terminology **Entity manager (organization) name** > Legal name of the organization that manages the entity (typically applicable for non-listed entities only). **Entity name** > Fund or company name of the investable entity for which the Assessment is submitted. In the case of listed companies, the entity name is the legal name of the organization, also used for identification on international stock exchanges. In the case of non-listed entities, the entity name identifies the investable portfolio for which the Assessment is submitted.
Validation: What evidence is required? Evidence not required.
#### Scoring This indicator is not scored. *** {% endstep %} {% step %} ## **EC2: Nature of Ownership**
#### Assessment Instructions
Intent: What is the purpose of this indicator? Describe the ownership status and characteristics of the participating entity.
Input: How do I complete this indicator? Select one of the options and select all applicable sub-options. Entities reporting to GRESB are expected to represent investable vehicles, and these entities are expected to represent all real estate assets held by the vehicle (i.e., the whole portfolio). If two or more listed companies merge into one entity during the reporting year, report on the structure, policies and procedures of the newly formed entity as of the end of the reporting year. ***Note:** Publicly traded closed-end funds should be considered as non-listed entities given their level of disclosure requirements.* #### Terminology **Closed end fund** > An investment vehicle with a fixed amount of capital. Limited liquidity, with the redemption of units provided for at the end of the life of the vehicle. **Club deal** > An investment vehicle or structure with generally a limited number of investors investing in a common strategy. Typically, investors have more discretion and control than in a typical fund, and have veto rights over major decisions. **Core** > An entity that includes a preponderance of core attributes; the entity as a whole will have low leasing exposure and low leverage. A low percentage of non-core assets is acceptable. As a result, such portfolios should achieve relatively high-income returns and exhibit relatively low volatility. Low-risk entities that invest in stabilized, income producing property, which is typically held for 5 to 10 years and have limited acquisition/disposal activity after the fund has been invested. Assets in core funds are characterized by stable income returns with less capital growth. > > A Core Plus fund invests in similar style assets but adopts a more aggressive management style. Core Plus entities are considered Core for the purposes of the GRESB Assessment. **Debt** > A fund or similar entity that has been set up for the purposes of issuing or investing in loans or bonds. **Direct investment** > The purchase of a controlling interest or a minority interest of such size and influence that active control is a feasible objective. **Fund or vehicle** > Terms used to describe a structure where at least three investors’ capital is pooled together and managed as a single entity with a common investment aim. For the purposes of these definitions, these terms can be used interchangeably. **Government entity** > A real estate portfolio managed by a government agency (e.g. U.S. General Services Administration, GSA). Government portfolios are formed of publicly owned, publicly managed and publicly leased properties. **ISIN** > International Securities Identification Number. ISINs are assigned to securities to facilitate unambiguous clearing and settlement procedures. They are composed of a 12-digit alphanumeric code and act to unify different ticker symbols, which can vary by exchange and currency for the same security. In the United States, ISINs are extended versions of 9-character CUSIP codes. **Joint venture** > A vehicle where at least two parties share a common investment objective. Control over significant risk management decisions is not transferred to an external manager, but is exercised by members in the venture. **Legal Entity Identifier (LEI)** > The Legal Entity Identifier (LEI) is a unique global identifier for legal entities participating in financial transactions. Also known as an LEI code or LEI number, its purpose is to help identify legal entities on a globally accessible database. **Open-end fund** > An investment vehicle with a variable and unlimited amount of capital. Investors may purchase or redeem units or shares from the vehicle as outlined in contractual agreements. **Opportunistic** > An entity of preponderantly non-core investments that is expected to derive most of its return from appreciation/ depreciation and/ or which is expected to and may exhibit significant volatility in returns. This volatility may be due to a variety of characteristics, such as exposure to development, significant leasing risk, high leverage, or a combination of moderate risk factors. High-risk entities that invest in greater yielding assets; for example, developments without pre-leasing, properties involving significant repositioning or that are distressed, and large portfolio acquisitions, purchased to be re-packaged and sold in smaller lot sizes. Opportunity funds generally maintain higher leverage limits and have shorter holding periods for assets. **Private entity** > An entity of preponderantly non-core investments that is expected to derive most of its return from appreciation/ depreciation and/ or which is expected to and may exhibit significant volatility in returns. This volatility may be due to a variety of characteristics, such as exposure to development, significant leasing risk, high leverage, or a combination of moderate risk factors. High-risk entities that invest in greater yielding assets; for example, developments without pre-leasing, properties involving significant repositioning or that are distressed, and large portfolio acquisitions, purchased to be re-packaged and sold in smaller lot sizes. Opportunity funds generally maintain higher leverage limits and have shorter holding periods for assets. **Public entity** > A company that is publicly listed and traded on a recognized stock exchange, such as Nasdaq or NYSE. Also known as "listed entities”. **REIT** > A Real Estate Investment Trust is an investment vehicle for real estate that is comparable to a mutual fund. Listed REITs are traded on a stock exchange. **Separate Account** > SMAs, also referred to as managed accounts, wrap accounts or individually managed accounts, are portfolios managed exclusively for the investor according to their investing and tax preferences and requirements. The investor owns the underlying assets directly, unlike a mutual fund. **Social/Affordable Housing** > An entity that generally focuses on the social/affordable housing sector for its investments. Affordable housing refers to housing units that are affordable to buy or rent by the low-income section of a society (for example, whose income is below median household income). Affordability is defined with a maximum percentage of gross income which may differ from country to country and depending on whether this is a percentage of net, gross, individual or household income. **Special Purpose Vehicle** > Subsidiary created by a parent company to isolate financial risk. Its legal status is of a separate company, with its own balance sheet. **Value-added** > An entity that generally includes a mix of core investments and non-core investments that will have less stable income streams. The entity as a whole is likely to have moderate lease exposure and moderate leverage. As a result, such entities should achieve a significant portion of the return from appreciation/ depreciation and are expected to exhibit moderate volatility. > > Moderately higher-risk entities that typically engage in “forms of active management, such as tenant lease-up, repositioning or redevelopment, to generate returns through adding value to the investment properties”.
Validation: What evidence is required? Evidence not required.
#### Scoring This indicator is not scored. *** {% endstep %} {% step %} ## **EC3: Entity Commencement Date** **Year: \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_** #### Assessment Instructions
Intent: What is the purpose of this indicator? Describe the activity year of commencement or the establishment date of the entity.
Input: How do I complete this indicator? Provide the year of commencement/establishment. #### Terminology **Year of commencement** > The year in which the reporting entity began investing in the market. If a listed entity is delisted (i.e., taken private) but remains under the same management, the date of original commencement can be used for “date of first closing” for the new non-listed entity. If the entity is taken private by a new management company, the first day of closing should be the date of privatization. This information is not used for scoring and used for context only; portfolio vintage may affect the ability to implement ESG policies and strategies. **Year of establishment** > A date specified by the manager on which the vehicle is launched, the initial capital subscription is completed, and the commitment period commences.
Validation: What evidence is required? Evidence not required.
#### Scoring This indicator is not scored. {% endstep %} {% step %} ## **EC4: Reporting Year**
#### Assessment Instructions
Intent: What is the purpose of this indicator? Set the entity’s annual reporting year.
Input: How do I complete this indicator? Select one of the options. Participants must specify the starting month of their fiscal year. If participants select fiscal year, starting months between February and June must correspond to calendar years 2025/2026. * For example, an entity reporting from April to March will be considered covering the period of April 2025 - March 2026. On the other hand, starting months between July and December must correspond to calendar years 2024/2025. * For example, an entity reporting from October to September will be considered as covering the period of October 2024 - September 2025. The table below details the period for which information throughout the Assessment would be expected, should a given starting month be selected: | Starting month | Reporting Year | | -------------- | ---------------------- | | January | Select "Calendar Year" | | February | Feb 2025 - Jan 2026 | | March | Mar 2025 - Feb 2026 | | April | Apr 2025 - Mar 2026 | | May | May 2025 - Apr 2026 | | June | Jun 2025 - May 2026 | | July | Jul 2024 - Jun 2025 | | August | Aug 2024 - Jul 2025 | | September | Sept 2024 - Aug 2025 | | October | Oct 2024 - Sept 2025 | | November | Nov 2024 - Oct 2025 | | December | Dec 2024 - Nov 2025 | #### Terminology **Calendar year** > January 1 – December 31. **Fiscal year** > The period used to calculate annual financial statements. Depending on the jurisdiction, the fiscal year can start on April 1, July 1, October 1, etc. **Reporting year** > Responses provided in the Assessment must refer to the reporting year identified in this indicator and should correspond to the most recently closed calendar year / fiscal year, as applicable. A response to an indicator must be true at the close of the reporting year; however, the response does not need to have been true for the entire reporting year. GRESB does not favor the use of calendar year over fiscal year or vice versa, as long as the chosen reporting year is used consistently throughout the assessment.
Validation: What evidence is required? Evidence not required.
#### Scoring This indicator is not scored. {% endstep %} {% endstepper %} --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://guides.gresb.com/fundamentals/completing-the-assessment/fundamentals-guidance/entity-and-reporting-characteristics/entity-characteristics.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.