Landsea Green Properties Announces its first Corporate Social Responsibility Report

The Leading Enterprise in Promoting Sustainable Development

With a Focus on Resolving Major Environmental and Social Issues

HONG KONG, May 26, 2017 /PRNewswire/ — Landsea Green Properties Co., Ltd., ("Landsea" or the "Company" and its subsidiaries collectively the "Group") (stock code: 00106), China's leading integrated property development services company with green technology, is pleased to announce its first independent Corporate Social Responsibility Report. The report is based on The Environmental, Social and Governance Reporting Guide by the Stock Exchange of Hong Kong Limited and the Sustainability Reporting Guidelines by the Global Reporting Initiative. It takes into account Landsea's concept of social responsibility, strategies, and business focus. It better conveys to the relevant stakeholders its concept and achievements in terms of social responsibility. The Company aims to make the report into a key tool that improves transparency and enhances sustainable development management.

Adhering to its people-oriented corporate philosophy, Landsea adopts a sustainable operational model that is socially and environmentally friendly and follows the principle of minimizing the total consumption of resources throughout the whole life cycle of buildings. Landsea provides healthy, comfortable, energy-saving and green products, as well as services for customers to advocate a green and healthy lifestyle. To resolve the problem of indoor and outdoor air pollution, the Company controls the level of pollutants indoors, including formaldehyde, VOC, PM2.5 and carbon dioxide throughout the design, procurement, construction, furniture, monitoring and other intermediate links. The solutions are based on the improvement in resident comfort level and comprehensive optimization of indoor air quality, temperature and humidity. With this kind of solution, indoor temperature is kept within the range of 18 to 26 degrees Celsius, which is the most comfortable to the human body, and humidity is maintained between 30% and 70%, improving indoor living quality. In response to the change in global climate, the roughly 3 million square meters of projects under Landsea's operation save 75 million kWh of electricity and reduce 50,000 tons of carbon dioxide emissions annually through its "passive construction" and "renewable energy" technologies. The solutions can push forward urban renewal and rejuvenate buildings.

In addition to launching green products and promoting a healthy lifestyle, Landsea proactively implements the sustainable development concept of green, energy-saving and low-carbon in its development process. Unlike the conventional real estate development process, the Company continues to incorporate technological innovations, and consolidate internal and external resources, so as to weave a thread of a "Green Development Process" through its product development. This means green construction planning and design, green procurement, green construction as well as green operational management and protection with a view to strictly controlling every intermediate link from planning to construction.

In the early stages of project planning and design, the Company conducts on-site investigation and applies green technology in five aspects: land saving and outdoor environment; energy conservation and utilization of energy sources; water saving and utilization of water resources; materials saving and utilization of material resources; as well as indoor environment quality. The Company clearly spells out its related environmental requirements during the procurement and tendering process. For example, during the procurement of doors and windows, Landsea requires all aluminum material to undergo a chrome-free treatment, thereby lowering the use of the harmful chemical hexavalent chromium. During the procurement of floor boards, Landsea only uses floor boards with a formaldehyde emission of less than 0.5 mg/L, which is a stricter level than the international standard. The Company is a member of the Global Forest & Trade Network under the World Wildlife Fund for Nature, and in compliance with the principle of using only timber which has been legally harvested, contributing for the conservation of forest resources. Landsea also prompts upstream suppliers to engage in sustainable development, environmentally friendly production processes, and to be in compliance in terms of the environmental effects of their production technology and the discharge of pollutants during production. During the process of project construction, aside from conventional requirements of "4 Savings and 1 Protection", which means "saving of energies, land, water and materials, and environmental protection", Landsea realized differentiated green construction and differentiated green, fine decoration. Measures mainly include reducing energy expenditure through fully utilizing heat energy, and closely monitoring and controlling the level of formaldehyde during the process of fine decoration. Landsea has built up a centralized energy control platform and a dispatching center in its headquarters. Up to now, there are 25 projects in nine cities connected to this platform, in order to realize remote control and data analysis, thereby providing support to the energy-saving approach.

Under the new positioning of the green development strategy following the transformation and upgrade, the Company continues to execute the development strategy characterized by product diversification, asset-light transformation and market-internationalization. Landsea will endeavor to become an international real estate development and service company with the capability for developing green products as well as expertise in vertical integration. Product diversification has always been the core capability that sets Landsea apart from other developers. Landsea is engaged in projects where it has a minority interest, in cooperation projects, and in entrusted developments. It has set up funds and REITs, innovative real estate financing, and developed asset operation and services, to transform the company's previous heavy asset model. Landsea plans corporate development based on global perspectives to realize sharing of resources such as customers, capital, talent, and technologies between various markets, learning from the business models of the US and European green construction technologies to push forward the comprehensive development of its businesses.

Mr. Tian Ming, Chairman of the Board of Landsea Green Properties, concluded: "In its 16 years of development, Landsea has actively executed the concept of sustainable development while focusing on residential properties. We continuously adopt innovative green building technology to resolve major environmental and social issues. We honor our social responsibility as a corporate citizen, actively promoting the industry and society's awareness of environmental and social issues. Looking ahead, we will further our efforts in housing and other industries in the long term and become an international residential property developer and service company with professional vertical integration capabilities."

About Landsea Green Properties Co., Ltd

Landsea Green Properties Co., Ltd. (Company website: www.landsea.hk) is the only listed platform under the Landsea Group (Group website: www.landsea.cn), which is engaged in green residential property development. Its businesses include property investment, development and management in China and the U.S.

With green building technologies and its advancing capabilities in effecting vertical integration of property development, Landsea Green Properties has resolutely executed the strategy of "Product-differentiation, Asset-light transformation and Market-internationalization", transforming from a traditional developer to an asset-light company and a green business focusing on providing property development services.

SOURCE Landsea Green Properties Co., Ltd.