TECH ’ S BOOST TO CRE SUSTAINABILITY
JAKE FINGERT Managing Partner , Camber Creek
Real estate is the largest asset class in the world . That large an industry is going to have an outsized impact on the economy and the environment — annually , approximately 40 percent of U . S . carbon emissions come from the built environment . As an investor driving change in the industry , I view it as an imperative to identify companies that can help the CRE industry deploy more sustainable practices at scale . Collectively , our limited partners own and operate more than one billion square feet of office space and one million apartment units . When we find solutions that work , we can jump-start the process of widescale industry adoption . However , it ’ s important to not have rose-colored glasses about these companies — they have to work and drive industry value .
CONNELL MCGILL Co-Founder and CEO , Enertiv
Operating commercial real estate is becoming more challenging . Manual , paper-based processes are still prevalent , and , even when technology is in place , numerous siloed systems remain across a portfolio , which limits transparency and performance . To add to this , owners and operators are facing higher expectations from tenants around ventilation and investors around ESG reporting — not to mention a slew of local laws and regulations .
When we find solutions that work , we can jump-start the process of widescale industry adoption .
From manufacturing to demolition , there are numerous opportunities to employ climate technology and reduce carbon emissions across the building life cycle .
Manual , paper-based processes are still prevalent , and , even when technology is in place , numerous siloed systems remain across a portfolio , which limits transparency and performance .
Building operations are a big piece of the puzzle . Research shows that inefficiencies are significant considerations :
• Improperly configured equipment accounts for 20 percent of building energy usage .
• Real-time energy cost transparency reduces tenant loads by up to 21 percent .
• Best practices in maintenance can cut energy by an additional 10 to 20 percent .
Losses such as these add up to over 10 percent of energy consumption in the U . S .
MARK GRINIS Global Real Estate , Hospitality & Construction Leader , EY
We are committed to increasing awareness of real estate ’ s role in climate change , and we are helping clients across multiple sectors in three key areas . First , we are helping them learn about their potential real estate carbon tax exposure from evolving federal , state , and local legislation , such as New York City ’ s Local Law 97 . Second , we are helping clients develop carbon strategies and reporting capabilities because in the U . S . and around the world , stakeholders , including investors , lenders , tenants , landlords , and local communities , are demanding greater transparency and accountability around everything from disclosing net carbon emissions to environmental policy , energy management , and ongoing efforts to improve building efficiency . Critically , the cost of capital is also becoming increasingly tied to broader environmental , social , and governance ( ESG ) metrics . Third , we are helping companies understand the technologies that can help them reduce carbon emissions . From manufacturing to demolition , there are numerous opportunities to employ climate technology and reduce carbon emissions across the building life cycle . It ’ s an exciting time , and we ’ re proud to be at forefront .
CIREMAGAZINE . COM COMMERCIAL INVESTMENT REAL ESTATE MAGAZINE 33