Royal Bank Plaza Announces Net Zero Commitment by 2040
TORONTO, June 15, 2026 – RBC and Pontegadea, the landlord of Royal Bank Plaza at 200 Bay Street in Toronto, have signed a lease agreement committing the property to achieve net zero emissions by 2040. This positions Royal Bank Plaza as a leading example for emissions reductions in major commercial real estate. Pontegadea will develop a decarbonization roadmap for the building in consultation with RBC.
RBC's Landlord Engagement Program
RBC is dedicated to reducing emissions from its operations, including collaborating with landlords to cut emissions in leased spaces. Launched in 2023, the Landlord Engagement Program integrates climate-focused lease clauses into new and renewed agreements. The program asks landlords to commit to climate actions and share relevant data with RBC.
RBC has secured commitments from global landlords covering over 2.5 million square feet (equivalent to about 147 hockey rinks or 57 acres) of leased office space with net zero targets by 2040. These collaborations help scale decarbonization initiatives by addressing barriers related to shared ownership and control.
How RBC is Taking Action
RBC addresses operational emissions at leased locations through the Landlord Engagement Program and at owned properties via the Branch Retrofit Program. The latter involves installing heat pumps in Canadian branches where RBC handles HVAC, with a target completion by 2035.
"Reducing operational emissions requires time, strategic planning, and collaboration. By working with strategic landlords, we are taking a practical step toward reducing our operational emissions as part of our ambition to be the bank of choice in the transition to a low-carbon economy," said Jon Douglas, Senior Director and Head of Climate Operations at RBC. "We hope this inspires others in the building sector to accelerate their efforts."
Eva Ronhaar, Director of ESG at Pontegadea, added: "We are proud to work with RBC on decarbonizing their headquarters. Achieving structural emissions reductions requires long-term vision, commitment, and collaboration. Together, we are confident in delivering meaningful impact at Royal Bank Plaza."
Why Decarbonizing Office Spaces Matters
Built in 1976, Royal Bank Plaza is RBC's third largest commercial office space globally. The building sector accounts for 18% of Canada's greenhouse gas emissions, according to RBC's Climate Action 2026 Report. RBC's efforts to decarbonize major facilities like Royal Bank Plaza are crucial in addressing this challenge.
