While some investors and organizations may be supporting a narrative of pulling back from
ESG initiatives right now in the current geo-political climate, we believe strongly that
ignoring sustainability risks – both to business performance and society –
is short-sighted.
In the long run, as employees and tenants increasingly drive and demand proactive climate
action, building owners and businesses stand to benefit big by acting now. Long term
planning and investment can boost returns, strengthen resilience, reduce costs, create
jobs and improve the bottom line. It’s a true value creation strategy.
But don’t just take our word for it.
Look at the 84% of companies
analysed who are continuing or increasing their climate commitments, according
to findings in PricewaterhouseCoopers’ 2025 State of Decarbonization report.
These organisations expect that a third of their revenue by 2030 will be derived as a
result of the low carbon transition. Client focus on operations and product
sustainability shows that the two aspects are becoming inextricably linked.
So, what can your business gain by prioritizing sustainability right now?
Here are our top 5 reasons to keep these strategies top priority:
1.
Lower cost of borrowing and greater access to capital
Investors are increasingly favouring companies with strong climate policies, governance and practices, offering better lending terms to those with strong ESG credentials.
Why? Because businesses that integrate the creation of better outcomes for people and the planet in their value creation strategy are seen as lower risk and more resilient to long-term societal change. They also tend to attract and retain top talent—people who want to work for companies that share their values.
2.
Attracting and retaining tenants (and future buyers)
Tenants are demanding low-carbon, high performing spaces. These buildings often come with energy
efficiencies that reduce operating costs and protect against market uncertainties like energy price
spikes, grid instability and future regulations.
Government incentives can further improve cost efficiency and boost property valuations.
Certifications like LEED, WELL or BREEAM remain key factors in leasing decisions as well as an
appreciation of the carbon impacts over the life of the building.
3.
Enhancing reputation and building trust
A sustainable approach to portfolio management signals forward-thinking leadership. When your values
align with those of your customers, employees, and communities, you earn their trust – and their
loyalty. What’s good for brand can be good for business too.
And the people drawn to these environments? Often, they’re leaders with strong sustainability values
–people who drive innovation and outperform their peers.
4.
Protecting asset and place value
Climate-resilient buildings are less likely to become stranded assets. They hold long-term value by
addressing key environmental and social factors that matter now more than ever. A robust long-term
view with planned capital investments, operational savings and ROI is a more attractive proposition
for any asset, particularly to protect or add value and attract future investors.
5.
Managing insurance costs and risks
Insurance premiums are rising fast – especially in high-risk climate zones. In some areas coverage is
even being denied. Taking steps to mitigate climate risks can help maintain access to insurance and
keep costs manageable.
Future-proofing your business and real estate: where to start
Not every business can or should approach sustainability the same way.
To advance your sustainability plans and continue progress, much depends on your geography, sector,
timeframe, and available resources.
But there’s always a way to add to the foundations.
Here are a few ideas:
- Measure your emissions and understand your exposure to climate risk.
- Stay ahead of regulations by horizon scanning.
- Embrace new technology and data tools to gain actionable insights.
- Plan for upgrades like energy audits or adapting buildings and systems over time.
- Prioritize low-carbon infrastructure and access to clean energy in new developments.
- Collaborate with others in your space to listen, share learnings and celebrate success stories.
Not sure where to begin? Or looking to take your sustainability strategy to the next level?
We can help you figure out the best way forward.
Let’s talk.
