Sustainability emerges as priority in corporate real estate, says JLL survey

As per the survey, 65% of corporate occupiers and 50% of polled investors have already incorporated carbon-emission reduction as part of their enterprise sustainability strategy

Sustainability now features among the top three considerations for occupiers during site selection alongside location and rentals said JLL in a report.

“[About] 87% of occupiers in our pan-India survey and 78% of the investors accept that ‘climate risk poses a financial risk’. Sustainability has gone mainstream for occupiers in India and real estate is at the core of it,” JLL said.

“[About] 87% of those surveyed say the link between CRE (Corporate Real Estate) and sustainability is a board-level agenda, and 81% say that real estate is a game-changer in achieving the sustainability agenda,” it added.

Sandeep Sethi, Managing Director –Work Dynamics, West Asia, JLL said, “Sustainable future in general and ambitious net-zero commitments in particular cannot be achieved without the ecosystem coming together with a collaborative approach.”

“[About] 96% of stakeholders in the research survey agree that collaboration among policy influencers, investors, developers, and occupiers will be instrumental in achieving these ambitions. It is not surprising hence, that sustainability has gone mainstream, and real estate is at the core of it. 90% of respondents of our survey believe that the link between CRE and sustainability is a board-level agenda,” he said.

As per the survey, 65% of corporate occupiers and 50% of polled investors have already incorporated carbon-emission reduction as part of their enterprise sustainability strategy.

“India has a big road ahead to be net-zero carbon by 2070 and will need to start with smaller steps. With corporates already committing to aggressive zero-emission targets within the next decade, the built environment will need to keep pace. Investments in technology to measure and accurately report emissions will be as critical as defining clear achievable goals within specified timelines,” said Samantak Das, chief economist and head of research and REIS, India, JLL. 

“Employees will significantly drive the corporate sustainability agenda by pushing for greater participation and clearly wanting to work for firms that establish their credentials as responsible leaders. The push from employees will further create the right motivation for employers and asset owners to introduce sustainability features if they want to remain relevant while creating asset enhancement opportunities,” Dr. Das added