What are the best ways to improve the sustainability of your CRE portfolio?

1 Assess your current performance

The first step to improve your sustainability is to measure your current performance and identify areas of improvement. You can use tools such as the Global Real Estate Sustainability Benchmark (GRESB), the Building Research Establishment Environmental Assessment Method (BREEAM), or the Leadership in Energy and Environmental Design (LEED) to evaluate your portfolio's environmental impact, energy efficiency, waste management, and social responsibility. These tools can help you benchmark your portfolio against industry standards and best practices, and set realistic and achievable targets for improvement.

2 Implement energy-saving measures

One of the most effective ways to improve your sustainability is to reduce your energy consumption and carbon footprint. You can implement various energy-saving measures, such as installing LED lighting, smart thermostats, and renewable energy sources, upgrading your HVAC systems and insulation, and optimizing your building design and layout. These measures can help you lower your utility bills, reduce your greenhouse gas emissions, and improve your indoor air quality and comfort. You can also use energy management software to monitor and control your energy usage and identify opportunities for further savings.

3 Adopt waste reduction and recycling strategies

Another way to improve your sustainability is to minimize your waste generation and maximize your recycling and reuse of materials. You can adopt waste reduction and recycling strategies, such as implementing a waste audit and segregation program, providing recycling bins and composting facilities, and using biodegradable or recycled packaging and products. These strategies can help you reduce your landfill fees, conserve natural resources, and prevent environmental pollution. You can also encourage your tenants and employees to participate in your waste reduction and recycling initiatives and educate them on the benefits of doing so.

4 Enhance your water efficiency and quality

Water is a precious and scarce resource that should be used wisely and responsibly. You can enhance your water efficiency and quality by implementing water-saving measures, such as installing low-flow faucets and toilets, rainwater harvesting systems, and greywater recycling systems, repairing leaks and drips, and landscaping with native and drought-tolerant plants. These measures can help you reduce your water consumption and costs, protect your water sources and ecosystems, and improve your water security and resilience. You can also use water management software to track and analyze your water usage and quality and detect any issues or risks.

5 Promote health and wellness

Sustainability is not only about the environment, but also about the well-being of your tenants and employees. You can promote health and wellness by providing a safe, comfortable, and productive work environment that supports their physical and mental health. You can do this by improving your ventilation and air filtration systems, using natural or circadian lighting, offering amenities such as fitness centers and green spaces, and fostering a culture of diversity, inclusion, and engagement. These actions can help you improve your tenant and employee satisfaction and retention, reduce your absenteeism and turnover rates, and enhance your brand image and reputation.

6 Report and communicate your progress

The last way to improve your sustainability is to report and communicate your progress and achievements to your stakeholders, such as your investors, tenants, employees, and regulators. You can use frameworks such as the Global Reporting Initiative (GRI), the Sustainability Accounting Standards Board (SASB), or the Task Force on Climate-related Financial Disclosures (TCFD) to disclose your ESG performance, risks, and opportunities, and demonstrate your compliance with relevant laws and standards. You can also use various channels, such as your website, social media, newsletters, and events, to showcase your sustainability initiatives and outcomes, and solicit feedback and suggestions from your stakeholders.