Fiduciary and stewardship.

Recreational integrates environmental, social, and governance considerations across the full investment lifecycle — from underwriting and acquisition through operations and exit. Recreational and entertainment venues consume energy, water, and labor at intensities well above average commercial real estate; that makes ESG both a fiduciary imperative and a value creation lever.

Our approach

Every Recreational fund applies a consistent ESG framework to every investment. We are a signatory in good standing of the UN Principles for Responsible Investment (PRI), a participant in the Global Real Estate Sustainability Benchmark (GRESB) at the fund level, and we align portfolio-level climate reporting with the recommendations of the Task Force on Climate‑related Financial Disclosures (TCFD).

Environmental

• Energy efficiency: LED conversions, high‑efficiency HVAC, building automation, and on‑site solar or PPA arrangements where economics allow at every venue we acquire or develop.
• Water stewardship: Low‑flow fixtures, recirculating water systems at water parks and marinas, and drought‑adapted landscaping at outdoor and glamping properties.
• Climate resilience: Site‑level physical climate risk assessments (flood, wildfire, heat, hurricane) are underwritten pre‑acquisition. High‑risk sites are either declined or acquired with priced-in capex for hardening.
• Waste and materials: Diversion targets at every food-and-beverage venue; sustainable procurement standards for concessions.
• Net zero commitment: Recreational commits to portfolio‑level operational net zero carbon by 2050, with interim science‑based reduction targets.

Social

• Guest safety: Third‑party safety audits and staff certification at every venue category — from lifeguards at water parks to ski patrol at resorts to ropes course inspectors at adventure venues.
• Workforce: Living wage floors above local statutory minimums, benefits access for seasonal staff at qualifying tenure, and career pathways from front‑line roles into venue management.
• Community: Every venue commits a share of gross revenue to local youth‑access programming, free‑admission days for community non‑profits, and municipal partnership on infrastructure.
• Diversity, equity, and inclusion: Recreational tracks representation across the platform and reports annually to LPs. Vendor diversity is a factor in procurement decisions.

Governance

• Every fund carries an LP Advisory Committee formed at first close, with veto rights on conflicts of interest and material fund amendments.
• Recreational is subject to independent audit by PwC and legal counsel by LePore Law Group.
• Whistleblower channel administered by an independent third party; anonymous reporting available at [email protected].
• Board and portfolio‑company codes of conduct address anti‑bribery, anti‑corruption, sanctions, and modern slavery.

Reporting

Recreational publishes an annual ESG report to limited partners and files GRESB submissions for each qualifying fund. Portfolio‑level TCFD‑aligned climate disclosures are published annually. Limited partners can access fund‑level ESG performance through the Investor Portal.

Exclusions

Recreational funds will not invest in the following activities, regardless of return potential:

• Firearm manufacturing or firearm‑focused shooting venues
• Gambling venues where gambling is the primary revenue driver
• Adult entertainment venues
• Venues with documented human rights or child labor concerns in their supply chain
• Assets in jurisdictions subject to comprehensive U.S. sanctions

Contact

ESG questions, including invitations to our annual LP ESG briefing, should be directed to [email protected].