MIM and PGGM Announce Major Solar Project at Intersect Office Campus in Orange County
MetLife Investment Management (MIM) has signed an agreement with DSD Renewables to install a 2.2-megawatt solar project and 510 kWh Battery Energy Storage System at Intersect, on behalf of its owners PGGM and MetLife. Intersect is a creative campus-style office property in Irvine, CA. The four-building rooftop and car canopy solar project will generate more than 3.5 million kWh of clean energy annually, enabling approximately 74% of Intersect’s required energy to be produced onsite. The battery system can store excess electricity generated and support the grid by reducing peak demand.
Property owners expect the new solar project to be the largest of its kind for an office campus in Orange County, CA, marking its commitment to sustainability.
MIM, on behalf of its owners, acquired Intersect through a strategic joint venture formed in 2022 with a sustainable investing approach. The venture seeks to acquire differentiated office assets within innovative hubs throughout the U.S. by targeting creative, life sciences and medical offices, which have more appeal over traditional offices post COVID. The nearly 500,000-square-foot campus includes several amenities for both tenants and the local community, including urban gardens, wellness trails, sports courtyards, music spaces, and more. Hines serves as the property manager and JLL as the leasing broker at Intersect. Intersect also has a Conditional Use Permit, CUP, which permits up to 100,000 square feet of its Net Rentable Area to be leased to medical tenants.
“We recognize the role buildings and responsible real estate investing can play in improving workplaces and communities while positively impacting the environment,” said Jim Landau, head of Environmental, Social & Governance, Real Estate and Agriculture, MIM. “The Intersect solar project advances our commitment to supporting and financing solutions that drive progress toward a low-carbon economy, manage risk and create sustainable investment returns.”
“Installing solar on properties where it makes financial sense, fits perfectly with PGGM’s focus on sustainable investment initiatives,” according to Investment Manager Eugene Philips from PGGM’s Private Real Estate department. “A low carbon building, with resulting tenant benefits, will attract tenants and make the office campus futureproof – and is also a building block in making our real estate portfolio more impactful. This EUR 20.2 bn real estate portfolio is part of PGGM’s EUR 221 bn portfolio of pension investments that aim for sound financial returns while generating a positive impact on climate.’’
As of September 30, 2023, MetLife Investment Management had $26.3 billion in real estate equity AUM, including $36.1 billion for unaffiliated clients as part of its $132.3 billion commercial real estate portfolio. MIM’s Real Estate Group has offices in the U.S. and international markets, including London, Mexico City, Santiago, and Tokyo.
PGGM Investment Management is part of the Dutch not-for-profit pension fund service provider PGGM. We fulfil a social mandate: the sustainable investment of the pension capital of around three million participants of PFZW, the pension scheme for the Dutch health and welfare sector. On 30 September 2023, PGGM IM managed EUR 221 billion in public and private markets globally.
DSD Renewables | https://dsdrenewables.com/