The Real Estate Industry and Environmental Social and Governance Awareness (ESG)

Drivers that encourage stakeholders to increase their ESG awarenes

Term Paper , 2020 , 56 Pages , Grade: 1,2

Economy - Real estate industry

The objective of this paper is to identify potential metrics that can be used to measure the awareness of environmental, social, and governance factors within the real estate industry effectively. Thereby, this paper also attempts to identify drivers that encourage stakeholders to increase their ESG awareness.

This paper further looks at the issue of ESG for the real estate industry from a macro perspective rather than a micro-perspective. Thus, metrics will be accordingly high-level to hopefully capture the awareness within the market from a multi-dimensional perspective, rather than analyzing the ESG metrics for a single player in the real estate industry.

As one of the industries with the highest carbon footprint, the real estate sector needs to cut 77 % of total carbon emissions by 2050 compared to 2016 in order to meet goals set out in the UN Paris Agreement. These facts are alarming. Especially the longevity of real estate makes ESG issues particularly relevant for this industry. Thus, the real estate industry carries a significant amount of importance and responsibility when it comes to reaching these climate goals.

Table of Contents

List of Abbreviations

List of Tables

List of Figures

1 Introduction
1.1 Problem Formulation
1.2 Objective
1.3 Approach

2 The Real Estate Industry and ESG
2.1 The Real Estate Market
2.1.1 Definition
2.1.2 Industry Dynamics
2.1.3 Real Estate Industry Audiences
2.2 E, S, and G
2.2.1 Environmental Issues
2.2.2 Social Issues
2.2.3 Governance Issues

3 Stakeholders and Metrics for Their ESG Awareness
3.1 ESG Awareness of External Stakeholders
3.1.1 Society’s Interest and Influence
3.1.2 Metrics for ESG Awareness Among Society
3.1.3 Government’s Interest and Influence
3.1.4 Metrics for ESG Awareness of Governments
3.2 ESG Relevance and Metrics for Direct Stakeholders
3.2.1 Intrinsic Motivations for Real Estate Companies to Engage in ESG
3.2.2 Metrics to Measure ESG Awareness of Players in the Real Estate Industry
3.2.3 Critical Appraisal

4 Case Studies for Market Metrics
4.1 Measuring ESG Awareness in Brazil
4.1.1 The Case of Sao Paulo, Brazil
4.1.2 Discussion
4.2 Measuring ESG Awareness in Malaysia
4.2.1 The Case of Malaysia
4.2.2 Discussion
4.3 Measuring ESG Awareness in Canada
4.3.1 The Case of Canada
4.3.2 Discussion

5 Measuring ESG Awareness Effectively
5.1 Market Metric Insights
5.2 Driver Metric Insights
5.3 General Insights for Developed vs. Developing Markets
5.4 Critical Appraisal

6 Conclusion
6.1 Insights
6.2 Limitations, Discussion and Outlook

References

• College: Reutlingen University
• Grade: 1,2
• Author: Katharina Kühn (Author)
• Publication Year: 2020
• Pages: 56
• Catalog Number: V974139
• ISBN (eBook): 9783346321541
• ISBN (Book): 9783346321558
• Language: English
• Tags: ESG, Nachhaltigkeit, Immobilien, Immobilienbranche, Real Estate, Real Estate Industry, Immobiliensektor, Environment, Social, Governance, Ethik, Sustainability, Eco-friendly, Haus, Hausbau, Nachhaltiger Bau, Environmental Social Governance, CRS, EPC, GRI, SASB, NGO, LEED, GRESB, CDP, benchmark, metric, awareness, Bewusstsein, corporate social responsibility, ESG in RE