GREEN BOND ALLOCATION REPORT€¦ · LEED Certified Development 5 Ethel Boulevard Wood-Ridge, NJ $40,738 LEED Silver Development 16171 Santa Ana Avenue Fontana, CA $1,000 TOTAL ALLOCATION:

GREEN BOND ALLOCATION REPORTSEPTEMBER 17, 2020

TABLE OF CONTENTS

1 | DUKE REALTY | 2020 GREEN BOND ALLOCATION REPORT

ESG at Duke Realty 2

Report of Independent Accountants 3

Management Assertion 4

Green Bond Use of Proceeds Statement 5

Green Building Projects & Sustainable Outcomes 6-16

Duke Realty is the leading pure-play, domestic-only logistics property REIT in the United States. In business for nearly

50 years, Duke Realty has built a solid reputation as a dependable provider of high-quality, sustainable and efficiency-

enhancing warehouse and distribution space. We continue to be committed to Corporate Responsibility and made

great strides in advancing our environmental, social and governance (ESG) initiatives.

ESG AT DUKE REALTY

In 2019, Duke Realty became the first industrial REIT to issue a green bond for sustainable projects in the United

States. This inaugural green bond demonstrates our continued commitment to sustainability and environmentally

respectful development. We believe it is important to minimize the impact our properties have on the environment,

our customers and the communities in which we operate and live.


REPORT OF INDEPENDENT ACCOUNTANTS


Independent Auditors’ Report

To the Management of Duke Realty Limited Partnership:

We have examined Duke Realty Limited Partnership management’s assertion appearing on page 4, that the net proceeds of $396.5 million from Duke Realty Limited Partnership’s November 5, 2019 offering of 2.875% Senior Notes due November 15, 2029 were allocated to the financing or refinancing of Eligible Green Projects (as defined in management’s assertion). Duke Realty Limited Partnership’s management is responsible for its assertion. Our responsibility is to express an opinion on management’s assertion based on our examination.

Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants. Those standards require that we plan and perform the examination to obtain reasonable assurance about whether management’s assertion is fairly stated, in all material respects. An examination involves performing procedures to obtain evidence about management’s assertion. The nature, timing, and extent of the procedures selected depend on our judgment, including an assessment of the risks of material misstatement of management’s assertion, whether due to fraud or error. We believe that the evidence we obtained is sufficient and appropriate to provide a reasonable basis for our opinion.

In our opinion, management’s assertion that the net proceeds of $396.5 million from Duke Realty Limited Partnership’s November 5, 2019 offering of 2.875% Senior Notes due November 15, 2029 were allocated to the financing or refinancing of Eligible Green Projects (as defined in management’s assertion) is fairly stated, in all material respects.

Indianapolis, IndianaSeptember 17, 2020

KPMG LLP is a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity.

KPMG LLPSuite 3600111 Monument CircleIndianapolis, IN 46204

MANAGEMENT ASSERTIONDuke Realty Limited Partnership (DRLP) management is responsible for the completeness, accuracy and validity of

this September 17, 2020 Green Bond Allocation Report. DRLP management asserts that the net proceeds of $396.5

million from our November 5, 2019 offering of 2.875% Senior Notes due November 15, 2029 were allocated to the

financing or refinancing of Eligible Green Projects, as defined below.

“Eligible Green Projects” include the following categories: green buildings, energy efficiency, sustainable water and

wastewater management, renewable energy, clean transportation and pollution prevention and control. Proceeds

were allocated to green buildings that met the Eligibility Criteria of being a new development, redevelopment, or

acquisition that received or is expected to receive LEED® Certified, Silver or Gold certification. Eligible Green Projects

include projects that meet the Eligibility Criteria above with the expenditures and/or certification occurring during the

three years prior to the issue date of the notes or during the term of the notes.

Leadership in Energy and Environmental Design (“LEED”) is a voluntary, third-party building certification process

developed by the U.S. Green Building Council (“USGBC”), a non-profit organization. The USGBC developed the

LEED certification process to (i) evaluate the environmental performance from a whole-building perspective

over a building’s life cycle, (ii) provide a definitive standard for what constitutes a “green building,” (iii) enhance

environmental awareness among architects and building contractors, and (iv) encourage the design and construction

of energy-efficient, water-conserving buildings that use sustainable or green resources and materials. Please see

www.usgbc.org for more information.


LEED,® and its related logo, is a trademark owned by the U.S. Green Building Council® and is used with permission.

GREEN BOND USE OF PROCEEDS STATEMENT

CERTIFICATION RATING

TYPE PROJECT NAME LOCATION ALLOCATION OF PROCEEDS(in thousands)

LEED Certified Acquisition 1589 East 9th Street Pomona, CA $22,490

LEED Certified Acquisition 9988 Redwood Avenue Fontana, CA $23,576

LEED Certified Acquisition 7953 Cherry Avenue Fontana, CA $19,225

LEED Certified Development 15810 Heacock Street Moreno Valley, CA $28,780

LEED Gold Development 3300 Indian Avenue Perris, CA $78,961

LEED Silver Development 17791 Perris Boulevard (Expansion)

Moreno Valley, CA $71,148

LEED Certified Development 16301 Trojan Way La Mirada, CA $59,908

LEED Silver Development 24975 Nandina Avenue Moreno Valley, CA $28,608

LEED Silver Development 11600 Alameda Street Lynwood, CA $22,066

LEED Certified Development 5 Ethel Boulevard Wood-Ridge, NJ $40,738

LEED Silver Development 16171 Santa Ana Avenue Fontana, CA $1,000

TOTAL ALLOCATION: $396,500


NET PROCEEDS FROM SALE OF GREEN BOND ISSUED NOVEMBER 5, 2019, DUE NOVEMBER 15, 2029: $396,500

1589 EAST 9TH STREET | POMONA, CA

LEED CERTIFICATION SCORE

For LEED Core and Shell (v3.0)

Certification awarded June 2017

Certified 43

Sustainable Sites 9/28

Water Efficiency 5/10

Energy & Atmosphere 12/37

Material & Resources 6/13

Indoor Environmental Quality 6/12

Innovation 4/6

Regional Priority Credits 1/4

SUSTAINABLE OUTCOMES


20% ENERGY COST SAVINGS

35% INDOOR WATER USE REDUCTION

75% CONSTRUCTION WASTE DIVERTED

20% REGIONAL MATERIALS

20% RECYCLED CONTENT

9988 REDWOOD AVENUE | FONTANA, CA



Certification awarded July 2017

Certified 44






Innovation 4/6









7953 CHERRY AVENUE | FONTANA, CA



Certification awarded September 2017

Certified 40






Innovation 4/6








15810 HEACOCK STREET | MORENO VALLEY, CA


For LEED New Construction (v3.0)

Certification awarded February 2018

Certified 40






Innovation 3/6







3300 INDIAN AVENUE | PERRIS, CA



Certification awarded April 2018

Gold 62






Innovation 4/6







17791 PERRIS BLVD. (EXPANSION) | MORENO VALLEY, CA



Certification awarded June 2018

Silver 51






Innovation 4/6








16301 TROJAN WAY | LA MIRADA, CA



Certification awarded November 2019

Certified 41






Innovation 4/6







24975 NANDINA AVENUE | MORENO VALLEY, CA


For LEED Warehouses & Distribution Centers (v4.0)

Certification awarded January 2020

Silver 50

Location & Transportation 4/16






Innovation 4/6







11600 ALAMEDA STREET | LYNWOOD, CA



Certification awarded March 2020

Silver 52






Innovation 4/6







5 ETHEL BOULEVARD | WOOD-RIDGE, NJ



Certification awarded April 2020

Certified 45

Integrative Process 1/1







Innovation 3/6







16171 SANTA ANA AVENUE | FONTANA, CA


For LEED Warehouses & Distribution Centers (v4.0)

Certification awarded May 2020

Silver 52







Innovation 4/6







Documents

GREEN BOND ALLOCATION REPORT€¦ · LEED Certified Development 5 Ethel Boulevard Wood-Ridge, NJ $40,738 LEED Silver Development 16171 Santa Ana Avenue Fontana, CA $1,000 TOTAL ALLOCATION: