GRESB consultant for real estate ESG

consultancy for environmental, social & governance (ESG)

GRESB assessment

What is GRESB for real estate ESG?

As part of any progressive Environmental, Social & Governance (ESG) strategy, we advise real estate development funds on the GRESB Real Estate Assessment.

This global benchmarking system now receives submissions from over 1200 property companies, real estate investment trusts (REITs), funds, and developers spread between 64 countries.

The annual reporting period from April 1st to July 1st was extended by one month due to the impact of COVID in 2020, with results released in November.

How can a real estate esg consultant help with the GRESB process?

First and foremost, GRESB is about reporting, it also provides a guideline for real estate developers to follow in terms of their ESG strategy.

By signing up for the first year of GRESB assessment free, a business can start the meaningful process of aligning itself with ESG objectives, prior to taking the assessment a second time, having had a practice year to improve their score. This is our recommended process in any case.

Can anyone manage the annual GRESB ESG assessment process?

There are various online training modules available, that we duly went through the first time but in practice, we see this as about integrating ESG policies into the heart of a real estate business, piece by piece until the entire enterprise is pointing in the same direction. That is the magic of GRESB!

By the time the GRESB assessment window opens up each year in April, the hard work should be done, it is then about collecting the necessary data to show what has been accomplished. And to be clear, GRESB require a lot of proof…

ESG strategy first, GRESB second

We consider the first step in this entire process for a real estate business to be the creation of solid ESG strategy that has the buy-in from the CEO and Board, as appropriate, otherwise it is never going to go anywhere fast.

Primarily the goal is for the business to proactively support people and planet in its work throughout the year, both internally and externally. There is simply no way to cheat this, no shortcuts are on offer, it is about ground-up sustainability policies, the health of employees, ethical business practices and good governance, amongst other things.

What will real estate developers need to show to GRESB?

GRESB is a rigorous online assessment process that requires equal parts thought leadership and commitment to the cause of ESG with sections on Management, Performance and Development.

Management in GRESB covers ESG strategy, policies and processes as well as risk management and stakeholder engagement, while Development focuses on how a business has implemented ESG in the design, construction and renovation of real estate projects.

Companies with operational projects under management on the other hand, use their building performance data to complete the GRESB Real Estate Benchmark encompassing Management and Performance components, with the latter analysing data around energy consumption, GHG emissions, water consumption and waste.

We completed this process for Black Mountain Partners in London, prior to them completing their first redevelopment project 68 King William Street. Once that project is officially occupied, there would the be scope to additionally completing the GRESB Performance component as well.

GRESB Management assessment

Management category measures the entity’s strategy and leadership management, policies and processes, risk management, and stakeholder engagement approach, composed of information collected at the entity level.

GRESB Performance assessment

Performance assessment measures the entity’s asset portfolio performance, composing of information collected at the asset portfolio level. It is suitable for any real estate company or fund with operational assets.

GRESB Development assessment

Development assessment measures the entity’s efforts to address ESG-issues during the design, construction, and renovation of buildings. This component is suitable for entities involved in new construction (building design, site selection and/or construction) and/or major renovation projects, with on-going projects or completed projects during the reporting year.

To enquire about how we can help you develop a GRESB-friendly ESG strategy for your real estate business, contact us here.