In its FY26 Sustainability Report, released on 27 October 2026, Centuria Capital Group (ASX: CNI) outlined its environmental, social and governance (ESG) progress for the year ended 30 June 2026. The sixth sustainability report led with the finalised Energy Bay deal, which the report describes as Australia’s largest landlord renewable electricity deal.
The report places the group’s $22.2 billion of assets under management (as at 30 June 2026) alongside its ESG activity. Susan Wheeldon, Chair of the Culture and ESG Committee, wrote that the initiatives “aligned with and supported our commercial ambitions”, which positions ESG as a commercial lever and not only a compliance exercise.
Centuria’s FY26 Sustainability Report: Australia’s largest landlord renewable electricity deal at the core
The report detailed how the Energy Bay partnership is intended to support progress towards the scope 2 emission reduction targets of Centuria, Centuria Office REIT (COF) and Centuria Industrial REIT (CIP), while delivering strong financial outcomes. Beyond energy, it covered ResetData, agriculture, green lending, workforce metrics and governance.
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Energy Bay deal: what it delivers
Centuria outlined the following terms for the Energy Bay arrangement:
- Approximately 70 MW of new solar infrastructure and 300 MWh of Battery Energy Storage Systems (BESS) across office, industrial, retail and healthcare assets
- Up to 240 properties, rolled out in stages over seven years
- Approximately A$430 million of Energy Bay’s own capital, with no capital requirement from Centuria or its tenants
- A 30-year period in which Energy Bay leases roof space and operates embedded networks
- Approximately 85,000 MWh of renewable electricity generated each year
The report notes these values assume completion of works across c. 78% of identified suitable assets, which are also subject to development approvals and other due diligence processes.
For investors, the report states the lease structure provides additional revenue from Centuria’s real estate assets. That income will increase participating properties’ Net Operating Income (NOI) and potentially support valuations, while generating management fee income for Centuria.
Approximately 18% of identified assets already contain embedded network infrastructure and are expected to transition into the program shortly, subject to conditions and implementation requirements. Rental flows from these assets are anticipated to commence during the first half of FY27.
How LGCs and scope 2 targets work
Scope 2 emissions represent electricity consumed in areas where Centuria, CIP or COF has operational control, which may include base and common areas. Large-scale generation certificates (LGCs) verify the generation of renewable electricity under the Renewable Energy (Electricity) Act 2000. Corporations can use them to reduce or eliminate reported market-based scope 2 emissions.
The LGCs created by the Energy Bay generation are expected to be retired to achieve the Listed Funds’ zero scope 2 targets by 2028, and to support the group’s target by 2035. The targets set in FY23 are summarised below.
| Entity | Zero scope 2 emissions target | Gas and diesel elimination where practicable (scope 1) |
|---|---|---|
| Centuria Capital Group | 2035 | 2035 |
| Centuria Industrial REIT (CIP) | 2028 | 2035 |
| Centuria Office REIT (COF) | 2028 | 2035 |
Progress against targets and the FY26 data
The report listed these operational outcomes for the year:
- 51% of COF’s portfolio electrified, including 100% of Queensland assets, with roadmaps completed for the remaining 9 of 18 assets
- The equivalent of 100% renewable electricity for Australian corporate offices
- 1.6 MW of installed solar across COF and 1.4 MW across CIP
- A COF NABERS Energy SPI rating of 5.1 stars (up from 5.0 stars in FY25) and a NABERS Water SPI rating of 4.2 stars
The reported emissions and energy data is set out below.
| Objective | FY25 | FY26 |
|---|---|---|
| Scope 1 (tCO2e) | 4,012 | 4,440 |
| Scope 2, location-based (tCO2e) | 23,592 | 22,765 |
| Total emissions (tCO2e) | 27,604 | 27,205 |
| Total energy consumption (MWh) | 60,971 | 62,420 |
The report attributes the scope 1 increase predominantly to agricultural activities under Centuria’s control. It also states the FY26 reporting boundary excludes certain tightly held assets, and FY25 comparatives were not updated for that change.
Growth levers: ResetData, agriculture and green finance
Centuria holds 50% of neocloud company ResetData. ResetData launched AI-F1, a sovereign public AI supercomputer, in August 2025 at COF’s 818 Bourke Street asset, where liquid cooling technology gives a lower carbon footprint than traditional data centres. Centuria acquired the Pulse Data Centre in Toowoomba in January 2026, and a new arm, Centuria DC, was established to manage data centre operations.
The June 2026 $300 million equity raising was directed in part at scaling ResetData’s AI Factory pipeline, with management pointing to a 200MW+ power pipeline across existing real estate assets as a structural advantage over operators reliant on third-party infrastructure.
Jason Huljich, Centuria Joint CEO
“The liquid-cooled technology that ResetData utilises requires significantly less space than air-cooled data centres that are typically housed in warehouses on the outskirts of cities. These supercomputers are not just limited to office assets but can be incorporated into infill industrial facilities, retail precincts, mixed-use precincts, healthcare properties and even agricultural assets. For our tenant customers, it is a value-add service with latent connectivity for users. From our investors’ perspective, we anticipate potential positive valuation uplift for the assets that house these AI Factories – as exemplified by AI-F1 within COF’s Melbourne CBD office asset.”
In agriculture, the portfolio grew from $650 million to $1.3 billion through the Two Wells and Arrow acquisitions. The report states Centuria now owns ~65% of large-scale protected cropping in Australia.
On green finance, the Centuria NZ Industrial Fund drew down $117.2 million of green lending in May across four eligible properties. Mark Francis, Centuria NZ CEO, said:
Mark Francis, Centuria NZ CEO
“Our team has managed and developed a wide range of properties during the past 30 years, but this is the first time we have leveraged our ESG credentials with a formal Green Loan Framework for an improved financial outcome. Securing these preferential loans benefits not only Centuria’s investors but also the wider community.”
The report also detailed the sale of the Caribou Drive, Direk SA warehouse developed for CIP. Sales contracts were exchanged for $50 million, a 33% premium on total development costs and a 25% Internal Rate of Return, and the asset achieved a 5 Star Green Star Buildings v1.0 rating.
People, governance and what happens next
Workforce and community metrics in the report included:
- An engagement score of 81% against a 71% benchmark, with 92% of surveyed employees proud to work at Centuria
- Headcount of 526, up 6%, including contracted personnel in Manila
- 50% female representation on the CNI, CIP and Centuria Life Boards, and 42% across the workforce
- 498 tenant engagement events and initiatives
- Approximately $280,000 in social procurement and 12 new social enterprises
On governance, KPMG provided limited assurance over select FY26 ESG metrics, the fourth reporting period it has done so. An independent assessment confirmed Centuria’s achievement of Essential Eight Maturity Level 2, and the report described an AI Usage Policy covering secure and responsible use of AI.
What happens next for Centuria
The report stated the following forward events:
- October 2026: the FY26 Climate-related Disclosure Report is scheduled for release.
- 27 November 2026: following the AGM, Jason Huljich is to become Centuria’s sole Group Chief Executive Officer, and John McBain will concentrate exclusively on his Non-Executive Director position.
- Energy Bay rollout: the report states it will commence this month, staged over seven years, with remaining assets subject to tenant consents, planning approvals and detailed due diligence.
- First half of FY27: rental flows are anticipated to commence from assets with existing embedded networks, subject to conditions and implementation requirements.
- Prior to the end of CY2026: the FY26 Modern Slavery Statement is to be released.
The planned CEO succession reflects a Board-managed transition, with John McBain moving to Non-Executive Director roles across four Group boards and preserving institutional continuity as Huljich takes sole leadership.
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