We partnered with one of the world’s largest diversified real estate investment managers who offer a range of solutions across private real estate debt and equity. As a $347+ billion global investment manager, they formally integrate ESG into their investment strategies allowing them to seek better value for their clients whilst driving positive change for the environment. As such, we came on board to help them design a comprehensive ESG strategy that aligned with the latest industry standards.
Aligning to ESG Standards
Our ESG experts worked closely with the Head of Sustainability in Real Estate Equity and Debt Funds to ensure their ESG strategy incorporated the latest SFDR and EU Taxonomy requirements. Both Article 8 and 9 of the SFDR fund criteria were reviewed and analysed to identify any gaps and opportunities to better align with this standard. This meant that the team could look to implement better internal processes for improved EU Taxonomy reporting.
This included a review of an ESG risk rating to inform a revamped impact reporting framework relevant to each investment approach which spanned across different investment strategies such as Core Fund, Core Plus, Value Add and New Construction.
Embedding Real Sustainability
We also helped develop key overarching policies that integrate sustainability and ESG considerations into their existing processes and commitments. These policies included Net Zero, Climate Resilience, Responsible Procurement and Tenant Engagement policies.
Considering they had already established a commitment to Net Zero, we helped devise a policy that will see their Real Estate equity funds work towards a Net Zero target which will in turn play a key role in defining the roadmap they will take towards achieving their long-term sustainability goals.
The policies we helped devise have also embedded principles from global frameworks into their ESG strategy such as the UN Sustainable Development Goals (SDGs) and the UN PRI principles. Now they will be directly contributing towards achieving several of the SDGs, including:
- SDG 7: Affordable and Clean Energy
- SDG 11: Sustainable Cities and Communities
- SDG 13: Climate Action
We have focused on delivering credible and detailed ESG support since our relationship with the real estate managers began. As we look forward, we will continue to work alongside their team to carry out due diligence and screening reviews of processes so that we can help them continuously improve. As the ESG landscape continues to evolve, we are committed to supporting with new ESG policies and post-investment value creation through sustainability integration for the long-term.