Overview: Important Invoice Analysis Features Available to Users: Portfolio analytics Cost ($) Graph Summary Chart Property Analytics View Asset and building characteristics and supply contracts Review invoices with audits After automatic or manual invoice acquisition, WatchWire provides unique functionality to…Read full post
GRESB Roundup: Reflections and Roadmap
Earlier this month, GRESB made their 2023 Global Real Estate Benchmarking results public. In this article we summarize 5 key points you should know about how participants did this year, as well as changes to GRESB reporting next year.
1. GRESB Real Estate Benchmark grew to cover 7.2 trillion USD in asset value
The United States recorded the highest number of new participants this year (up from 380 to 433), with the average GRESB scores increasing by a point to 75 for the Standing Investments Benchmark and by two points to 83 in the Development Benchmark.
It was also promising to see that participation in GRESB jumped by 15% globally, covering 2,084 listed and non-listed portfolios, encompassing approximately USD 7.2 trillion of gross asset value (GAV) across 75 countries and regions.
2. Net Zero policies are being set, but commitments and actionable targets are falling behind
The GRESB results from 2023 revealed that 55% of real estate participants in the Americas have a net-zero policy in place, reflecting a significant step toward sustainability within the industry. However, it’s essential to note that only 39% of these companies have taken the additional step of making their net-zero commitment public, and only 38% have set concrete and measurable net-zero targets. These statistics underscore both the growing importance of sustainability in the real estate sector and the room for improvement in ensuring that these commitments translate into greater transparency meaningful impact.
3. Waste, Water and Building Certifications have the lowest data coverage across America
While participants demonstrated almost perfect completion of the qualitative components of the GRESB standards, the quantitative aspects of the performance component presented a different picture, revealing notable data gaps and representing the challenges of collecting data at the asset level.
Specifically, areas that exhibited the lowest data coverage in the Americas in 2023 included waste management (48.3%), building certifications (47.2%), and water efficiency (53.4%). GRESB works with a series of partners, including WatchWire, to help participants increase their data coverage across these areas.
4. The GRESB Survey in 2024 will see changes across several areas, including energy consumption and performance, GHG performance, building certification, TCFD alignment, physical climate and transition risk, and more
GRESB announced several changes to the 2024 Real Estate Standards, which include:
- Defining validity periods and impose an expiration for building certifications
- Introducing scoring for net-zero target setting
- Isolating EV charging station-related energy consumption from real estate asset operational energy consumption.
- Introducing scoring for energy efficiency as “supplemental” insight into operational performance of reported assets
- Introducing country-level benchmarking and scoring methodology, and provide additional insight into portfolio representativeness of intensity values in cases of incomplete data coverage by participants
- Allowing residential assets to report multiple energy ratings
- Expanding an indicator scope to cover strategy around climate-related opportunities
5. Road to 2024
While it was promising to see greater participation in GRESB and notable improvements across some areas, there remains room for growth. We look forward to seeing what next year’s reporting journey brings, and to supporting clients through the process.
Congratulations to everyone who participated this year, and for those of you who didn’t – it’s never too late to start!
Annika Prinz & Prerana Tirodkar
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