Acceleration of energy transformation, modernization of buildings in accordance with the standards of sustainable development, green certification of buildings – the eco trend on the real estate market has been consolidated, which aims to decarbonize the industry. “The driving force in the world and in Europe is now becoming a new trend according to which the real estate market is to realize social value,” said Radosław Jodko, an investment expert.
Both investment reports in the real estate industry, as well as discussions and directions of development, which experts and the industry discussed at the COP28 conference indicate that decarbonization is central in the real estate market.
Advantage of certified projects.
“Sustainability practices are key when it comes to every type of investment. For investors, this is simply an important factor that increases the value of an investment. Therefore, the role of certificates such as LEED or BREEM is growing. The problem for the industry is certainly the lack of uniform standardization, how to count the carbon footprint. The problem is certainly also that the gap between new buildings, certified, using pro-ecological solutions and outdated buildings that require a thorough modernization or even demolition, is deepened. Of course, regulatory pressure plays a huge role in decarbonisation today. I have no doubt that it was the changes in the regulations that forced the real estate industry to change the approach and change priorities – sums up Radosław Jodko, an investment expert at RRJ Group.
Apartments for seniors and smart cities.
In his opinion, this year the real estate industry will say due to the need for non-financial reporting: I check when it comes to ESG.
“What may be non-obvious is not just the E aspect, which is ecological. This year I expect much more to talk and discuss around social issues. It is noticeable in Europe the growing interest of investors in the social value of real estate. In Germany, there is an increase in investment in housing for students and seniors. There is a need for the industry to focus today on affordable housing, but also on local community development programmes, supporting diversity and integration. In the case of developed countries, this can be seen much more strongly, and this can be seen in the mood among European investors who are looking for investment opportunities in such alternative projects – emphasizes Jodko.
“I have no doubt that real estate development plays a key role in the development of smart cities, supporting the creation of friendly and integration spaces. Moreover, apart from cities, the role of these investments in real estate is growing, which are ecological, friendly and comprehensively planned together with the development of the space around, supporting the idea of wellbeing – emphasizes Radosław Jodko, investment expert from RRJ Group.
