Many ESG efforts aren’t fully formed. In a January 2024 survey by professional services firm Deloitte, only 25% of 300 senior executives reported that their company made significant progress toward meeting sustainability goals during the previous 12 months; another 60% reported moderate progress. Also, just over half of the respondents — 52% — said their organization had created a cross-functional ESG council or working group, while 37% were working to establish one and 9% were only in the planning process. Two percent said their company had no plans for one.
You want to attract the best tenants & talent, correct?
Research has shown that commercial real estate businesses can drive more revenue from buildings with energy efficiency certifications. One third of respondents to a McGraw-Hill Construction survey said they were willing to pay a premium for green retrofitted space, while a separate CoStar study of the Los Angeles CRE market found that buildings with ENERGY STAR certifications drew higher lease rates and sold at higher rates than asking price than average rates for the region. Meeting these kinds of expectations is becoming more important as millennials take over the workforce. Research from Morgan Stanley found that millennials are two to three times more likely to want to work for organizations that share their values, particularly when it comes to environmental and social issues. The ability to show progress in sustainability is becoming an increasingly valuable tool in attracting good renters and retaining top talent. There is no one-size-fits-all approach and although our service can’t help with all of your ESG goals we can make an impact”.
