NEO: Going Beyond the Office Building
As climate change and other environmental issues put increasing pressure on economies, sustainability has become a crucial dynamic for businesses to succeed and grow. In response, many companies are rising to the challenge, and in the Philippines, real estate leader NEO has elevated this effort with its innovative approach to green building and community involvement. Its latest initiative, the Green Pledge, is raising the bar for the industry, marking a significant step toward a more sustainable future.
Launched on September 8 to coincide with Philippine Green Building Day and World Green Building Week, NEO Chief Executive Officer Raymond Rufino describes the Green Pledge as “a very exciting new program and initiative” aimed at fostering deeper collaboration and partnership with its tenants to deliver better environmental performance and boost sustainability.
The pledge is primarily a voluntary commitment between NEO and its tenants to cooperate on certain green initiatives, share information, and work together to achieve targets and milestones for environmental performance, from reducing energy consumption to improving waste management, he adds.
“In other markets in the world, a lot of the contracts between the landlord and the tenants include green lease provisions,” Rufino explains. “But in the Philippines, we don’t do this. It’s not common practice yet. So, one of the things we wanted to do was introduce that. But because it takes time to make changes to the contract, we said, let’s start with a green pledge.”
A Steppingstone to Sustainability
Rufino, who chairs the Philippine Green Building Council (PHILGBC), says the idea is to ease tenants into sustainability practices by starting with a voluntary pledge before moving to formal green lease provisions in the future. “It’s like a steppingstone. Before we can get to the green lease provisions and the contract, we have a voluntary, I would say, lighter touch kind of program for the tenants to try it out first.”
NEO hopes that the entire experience will eventually encourage their tenants to take a bigger part in its growing sustainability initiatives.
An initial six of the 120+ tenants at the company’s seven green buildings in Bonifacio Global City have already signed up and embraced the Green Pledge, says Gie Garcia, NEO’s Co-Managing Director and Chief Sustainability Officer.
The pledge focuses on six areas: electricity, water, waste management, health, procurement, and innovation.
NEO’s goal is to have all its leases incorporate green provisions, ensuring that both NEO and its tenants are aligned on sustainability targets.
“Hopefully, we’ll get more before the end of the year. After this initial group, we can grow and eventually expand that steadily in the coming years,” she says.
Despite having over 100 tenants, Rufino emphasizes that NEO is taking a measured approach to scaling the initiative. “We want to start out slow. We’re okay to start with six to ten tenants this year, and then next year, we can maybe do ten to twenty, and the year after that, maybe do more. So, we’ll try to see if we can continue to grow as time goes by.”
Community Engagement
The Green Pledge is not NEO’s first foray into building stronger tenant relations through sustainability. In fact, community engagement has long been part of the company’s identity. “There are a lot of bigger developers in the market, but what makes NEO unique is our fantastic program of activities and community initiatives,” says Rufino.
He explains that for many tenants, especially in today’s work environment, it’s no longer enough to just have a high-quality office space. Employees and executives alike are looking for a vibrant work community, and NEO has tapped into this by offering a range of events and programs.
“When a tenant comes to our building and I tell them that all these benefits come for free, it’s part of the experience, I find that a lot of them find it very attractive.”
This sense of community engagement has become so embedded in NEO’s culture that tenants often express their reluctance to leave the buildings even when downsizing.
Rufino says their community engagement program, #theNEOway, has added another layer of enticement for their tenants—aside from the features of their buildings. “It also keeps them happy, keeps them healthy, and makes it one of the reasons why they want to stay with us longer.”
From Sportsfests to Environmental Initiatives
What began as simple sports fests has blossomed into a comprehensive tenant engagement program that includes everything from basketball tournaments to street dance competitions.
The sports fest remains one of the most popular events, attracting the highest number of participants. The street dance competition is another tenant favorite, consistently filling the Maybank Performing Arts Center to capacity each year, with a waiting list for people wanting to attend.
NEO’s focus on community doesn’t stop with its tenants. The company is also deeply committed to engaging the broader public, particularly in the areas surrounding its buildings. “For example, during Christmas, we don’t just decorate our lobbies—we also make sure to decorate the public park in front of our buildings. We want the entire community to feel involved,” Rufino explains.
Urban Planning and Community Involvement
NEO’s approach to urban planning integrates community engagement into every aspect of its operations.
Rufino believes that NEO’s success lies in its ability to see beyond just the physical aspects of urban development. He says creating vibrant cities and communities requires a mindset shift, focusing not on individual projects but on how all efforts come together. The goal is to create spaces where people can experience a sense of community across different projects within a larger neighborhood.
“The way that we design, the way that we operate, the way that we do things, the community is part of that. Because if you talk about sustainability, it’s not just about how the building performs.”
By prioritizing collaboration, innovation, and community, NEO aims to inspire real estate development in the Philippines—an example that other developers would do well to follow.
