FY15 Performance Against Commitments

 = Achieved   = Not Achieved   = Underway

Commitment Status FY15 Achievements
Implement initiatives to enhance the customer experience Launched Dexus Place, a state-of-the-art premium meeting, training and conference facility with the latest collaborative technology Installed Australia Post Parcel Lockers at nine properties providing a convenient parcel delivery service. Partnered with Divvy, to provide an online booking system providing instant access to unused car parking spaces in Dexus car parks Partnered with GoGet to locate cars in Dexus car parks, for tenants and their employees Partnered with Diners Club to launch a charge card that provides a reward based rental payment option for Dexus customers (tenants) Refer to the Chair and CEO Review and Office
Target a tenant satisfaction score of 8 out of 10 in tenant surveys Achieved an 8 out of 10 score for office tenant satisfaction and 7.4 for industrial. Overall the satisfaction score was 7.9 an increase of 0.2 on FY14 Refer to Office, Industrial and People & Culture
Achieve a top quartile Tenant Net Promoter Score compared to global customer services norms for the real estate industry Achieved Tenant Net Promoter Score of +23, exceeding our FY14 result of +10 Refer to Delivering FY15 Commitments

Dexus Occupancy and Retention

FY11
%
FY12
%
FY13
%
FY14
%
FY15
%
Occupancy by area
Office 96.2 97.1 94.4 94.3 95.5
Industrial 96.2 91.7 95.9 93.1 91.7
Occupancy by income
Office 95.3 96.8 94.6 94.6 95.3
Industrial 95.1 92.8 96.1 93.0 92.4
Retention
Office 53 66 72 61¹ 61
Industrial 61 59 70 41 53

1 Excludes CPA properties.


Tenant Satisfaction and Engagement

FY10
%
FY11
%
FY12
%
Surveyed satisfaction
Office 73 73 76
Industrial 66 74 85
Retail 64 71 87
Total (average) 72 73 82
Survey participation rate
Office 76 72 74
Industrial 33 50 28
Retail 38 43 43
Total (average) 49 55 48

 

FY13 FY14 FY15
Surveyed satisfaction¹
Office 7.8 8.0 8.0
Industrial 6.8 7.0 7.4
Retail - - -
Total (average) 7.5 7.7 7.9
Target 8.0 8.0 8.0
Survey participation rate
Office 27% 19% 33%
Industrial 21% 14% 25%
Retail - - -
Total (average) 24% 18% 28%

1 Range between 1 and 10.


Commentary and Methodology

Dexus amended the tenant satisfaction survey methodology in FY13 to better identify opportunities in which it can improve tenant satisfaction. FY15 results can only be compared to FY13 and FY14 results on a like-for-like basis.

The following enhancements were made to the tenant satisfaction survey in FY13:

  1. Survey questions were refined in order to facilitate the collection of more relevant information
  2. Scoring methodology and weighting was changed to utilise a combined portfolio average in order to derive a weighted performance score
  3. A performance scale ranging from 1 to 10 for the overall results was adopted

The FY15 tenant satisfaction survey was conducted online with approximately 1,300 customers invited to respond. The overall satisfaction score improved from 7.7 to 7.9 across 362 respondents and 41% of respondents were classed as highly satisfied (rating a 9 or 10), up from 35% in 2014.

The service satisfaction among office customers is stable at 8.0 out of 10, while it has improved by +0.4 to 7.4 among industrial customers. The Net Promoter Score (NPS) has also seen an improvement (+10 to +23), particularly among office customers.


Green Leases

FY13
%
FY14
%
FY15
%
Office 71 81 82
Industrial 49 58 45
Retail 93 93 98
Total portfolio 75 87 77

Commentary and Methodology

Dexus has incorporated a standard green lease clause into new leases across the portfolio and monitors the take-up of this clause by tenants across each portfolio.

The total portfolio take-up of new leases containing green lease clauses for FY15 was 77%, representing a 10% decrease against FY14 which is due to a reduction in the take up of new green leases across the industrial portfolio. The retail portfolio has maintained its high rate of take-up of green leases by tenants, improving to 98%, while the take-up of green leases across the office portfolio remained steady.


Tenant Sustainability and Amenity

Dexus works closely with tenants and other stakeholders to improve tenants' sustainability performance and awareness as well as delivering new products and services to improve tenant amenity and well being.

In FY15 this activity included:

  • Collaboration with City Switch, a national tenant energy efficiency program, both as a signatory and a landlord to drive tenant activity in sustainability and energy efficiency
  • Promotion of Dexus's green building committees and other programs, including involvement in the 2015 Earth Hour campaign, NABERS Energy and NABERS Water ratings and sharing of information regarding general building sustainability performance and updates
  • Launched Dexus Place, a state-of-the-art premium meeting, training and conference facility with the latest collaborative technology. Through Dexus Place, tenants and customers can conveniently connect in person and in virtual meeting rooms, saving time and avoiding the environmental impacts that arise from travelling to in-person meetings
  • Installed Australia Post Parcel Lockers at nine properties providing a convenient parcel delivery service
  • Partnered with GoGet and Divvy, to provide tenants and customers with an access to shared vehicles and an online car park booking system providing instant access to unused car parking spaces in Dexus car parks. These social initiatives provide tenants and customers with flexible vehicle rental and parking options at preferred rates, and enables Dexus to derive additional revenue by increasing car park utilisation

For further information on engaging and enabling tenants, refer to the Dexus Corporate Responsibility & Sustainability website

Read more information on the Group's Sustainability Approach, Future Enabled Customers and Disclosures on Management Approach. More information is available in the People and Culture section of the 2015 Dexus Annual Review.