Great learning and networking opportunities at the ULI Europe Conference in Milan this week. Here are some of my key takeaways.
Geo-political and geo-economic shifts, protectionism and conflictive sentiments have created a polarised, fragmented, volatile and unpredictable global context that will continue to impact cross-border trade, supply chains, security, interest rates... and there is no going back.
In such a complex scenario, resilience seems more important than efficiency... but the good news is that sometimes crises make the impossible possible through innovation, behavioural change and great leadership.
Digital technology and Gen AI will change everything... but the EU is lagging behind and needs to join forces to catch up with far more advanced markets such as the US and China. In the built environment sector the problem is that science and technology are years ahead of building regulations, zoning plans and culture.
The attractiveness, conservation and valuation of real assets, and access to insurance, capital and finance are increasingly linked to decarbonisation.
Making the case for an inclusive green transition requires going beyond the standard short-term risk/return assessment and taking a long-term holistic view that includes social, economic and environmental impacts.
ESG criteria are still too broad - meaning different things to different investors - and therefore need to be implemented into simple, focused and standardised metrics.
Carbon pricing can be one of the drivers of the green transition, but the industry needs transformation, integration and collaboration across the value chain. To become appealing to occupiers and investors, decarbonisation should be part of a broader value proposition.
The real estate business is becoming more operational, service-oriented and based on partnership relationships rather than transactional convenience. Occupiers are looking for great landlords, less space but of the highest quality, flexibility and sustainability, in a mixed-use context supported by a rich amenity offering. It looks like we are moving away from the mantra of “location accessibility” to “destination connectivity” as every real estate asset class is becoming "closer" to hospitality.
Thanks Urban Land Institute ULI Europe
#realestate #urbandevelopment #sustainability #cities #construction #decarbonisation #property #