Driving Towards Zero Waste: Vornado Realty Trust's Waste Management Strategy

Overview

Vornado Realty Trust prioritizes waste performance and diversion from landfills and incineration as part of its comprehensive Environmental, Social, and Governance strategy. The company has set public-facing goals and targets, aiming for a 75% commercial waste diversion rate by 2026, with a zero-waste objective (90% or higher) by 2030, aligning with New York City’s own zero-waste target. By 2022, Vornado Realty Trust had achieved a 64% diversion rate across its portfolio, prompting a concerted effort to expand organics diversion (composting) programs to address all waste streams, including significant amounts of food waste. In response, Vornado committed to implementing organics programs in 85% of its office portfolio by 2025. By September 2023, the company surpassed their target, achieving 100% coverage across its office portfolio in New York, New Jersey, Chicago, and San Francisco regions, totaling over 34 million square feet. 

Process

Vornado Sustainability identified the crucial need to remove existing barriers to participation. Through internal deliberations and stakeholder consultations, Vornado streamlined the process by centralizing budgeting for organics hauling at the building level. This shift alleviated the burden on individual tenants for food waste disposal, while equipping each building with proper signage and waste storage areas to facilitate centralized collection, eliminating storage concerns for tenants. Partnering with the janitorial division, Building Maintenance Service (BMS), Vornado provided comprehensive training on organics removal and integrated organics collection seamlessly into nightly cleaning operations, effectively removing additional labor charges.

These measures yielded significant financial benefits to tenants and NOI, as Vornado leveraged building-wide approaches and leveraged their size to streamline labor, equipment, and hauling costs. Negotiations with waste haulers further streamlined operations, integrating organics hauling into existing services without the need for additional haulers. 

Alongside the widespread adoption of the food waste diversion program among tenants, there's an ongoing effort to instigate a cultural shift within the company. Corporate offices across New York, New Jersey, Chicago, and San Francisco have implemented internal composting programs and actively engage in annual zero-waste training alongside tenants.

Vornado actively shares the program and process with industry peers and partners through annual reporting, roundtable discussions and collaborative think tanks. By promoting zero waste best practices and eliminating financial barriers for tenants, Vornado has noted increased engagement in voluntary diversion strategies, propelling their progress towards sustainability goals.

Outreach

To drive tenant participation, Vornado orchestrated a messaging campaign, leveraging various channels including elevator screens, tenant memos, and detailed resource guides. They also conducted annual zero waste town halls, reaching a substantial tenant base, and collaborated with the marketing department to create new waste signage and labels inclusive of organics.

Recognizing the value of personal engagement, Vornado introduced biannual tenant roundtables and "sort-a-thons," interactive waste sorting events facilitated by Vornado Sustainability and zero waste consultants. These initiatives provided practical guidance and real-life examples of waste streams, fostering understanding and participation among tenants. Additionally, Vornado ensured thorough waste management education in tenant onboarding, equipping new tenants with the necessary resources for optimal waste diversion. Through this multifaceted approach, Vornado successfully removed barriers, drove participation, and established a culture of sustainable waste management within their properties.

Measuring Success

Vornado collects detailed data on its waste reduction initiatives, conducting annual waste audits across all commercial properties and generating monthly diversion reports. These datasets serve as the foundation for targeted programs aimed at continuously improving waste reduction efforts.

Through proactive engagement with the janitorial team at Building Maintenance Service (BMS), Vornado has provided additional training, recognizing their role in waste diversion. This approach has empowered janitorial staff with training focusing not only on operational procedures but also on the environmental benefits of properly sorting waste and diverting materials from landfill and incineration. Furthermore, Vornado has equipped Property Managers and on-site building teams to assume ownership of the waste diversion program through tailored training and stakeholder engagement initiatives.

Outcomes

In 2023, Vornado diverted 1,988 tons of food waste from landfills portfolio-wide, thereby avoiding 13,598 MTCO2e emissions through waste diversion from landfill and incineration and ending the year with a 65% portfolio diversion rate, up from 64% in 2022. By 2023, 134 tenants were actively diverting organics, representing over 10.8 million square feet of tenant participation further year-over-year improvements are anticipated as Vornado continues onboarding additional tenants into the organics program.

Image Gallery

Employees standing at table with waste reduction resources