Steps taken by Real Estate Industry to combat Climate Change
By magnoliaAdmin | Mar 2, 2022
Climate change impacts every facet of life, from our diet to our ability to survive natural disasters. For real estate industries, these regulations might eventually affect your property’s energy and water usage and you don’t want to be caught by surprise. Here are some steps taken by the real estate industry to combat climate change.
The huge damage impacted residential and commercial properties. The impact of climate change on real estate are too significant to avoid. It is time for property owners, developers and tenants to take tangible actions to combat global warming by investing in sustainable building.
Steps taken by Real Estate Industry to combat Climate Change:
What’s the climate change problem?
Global warming is the biggest problem for human beings for carbon emissions. It’s estimated that greater than 95% of the current warming results from human activities to the Industrial Revolution.
The Industrial Revolution also caused mass deforestation, like deforestation, as forests were turned to from land. Big trees are crucial in absorbing carbon emissions– and without trees, those emissions go straight to the atmosphere.
Pew Research study in 2022, 62% of Americans said the climate is already influencing where and how they live. From forced migration due to property damage, climate change is altering your tenants’ lives in several steps.
How real estate contributes to Climate change:
The real estate industries play a big role in global warming, with 40% of the carbon footprint on the planet. The construction materials to electricity that keeps building lit and comfortable, we use energy in so many ways. This energy usage emits huge amounts of CO2 into the ambience.
Decarbonizing the real estate industry can address the environmental problem. And the results are decarbonizing in cost-saving, social equity and tenant and staff well-being.
The rise of ESG in Real estate:
The real estate industry adapted the Environmental Social and Governance (ESG) criteria for potential property investing. These criteria are intended to secure those properties faster eco-friendly practices and measures, create a social impact on the community’s social needs.
The role of ESG Criteria to real estate property:
Environmental: Evaluation of property’s energy consumption, waste and also carbon emission.
Social: How the property fosters a community with tenants, staff and the local community and how it promotes social responsibility and well-being.
Governance: The ethical practices in place to run building operations, compliance with federal, state and local laws and transparency about financial or policy change.
How is climate change affecting the real estate industry?
climate change affects the real estate industry in several ways. Higher global temperatures and more natural disasters pose significant financial risks to building owners. Per year wildfires, hurricanes droughts and tornadoes can quickly destroy buildings, driving thousands of people from their homes and offices.
Climate change-related natural disasters are rapidly sweeping through the country, and no geographical location is really in the car. Therefore, all real estate property must implement green building standards to combat climate change. And taking action can save the structure and value of the building.
By- Moon Sarkar
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