Half of CRE market participants would seek a discount or walk away from a deal altogether if a building lacked features that reduce energy consumption.

But first...

3 Operational Intelligence Insights

1) From 'what are you doing' to 'how are you doing?': A record number of real estate organizations are offering advanced ESG-based programs as the pressure to show real improvement becomes critical for long term success, says Tom Idzal, Head of Americas at GRESB in our latest White Paper, Driving Action: The ESG 2.0 Playbook. 

2) Transparency creates flexibility: In our latest Operator Spotlight with Johnny Hadizuh with Rize Alliance Properties, he explains how digitizing operations allows them to hold their maintenance vendors accountable. Previously, they were stuck with certain providers who knew the buildings and systems well. Now, they can find the best provider without worry because the history and equipment information is readily available.

3) The building operator's role in decarbonization: We recently joined James Dice on the Nexus Labs podcast in a discussion about how workflows are key to decarbonizing building; in fact, really implementing any new technology or changing the way things are done in any way requires you to start with the way people work currently and meet them where they're at.

Case Study - How Presidio Bay is Building a Consolidated Tech Stack

Presidio Bay was founded in 2012 and has quickly scaled their portfolio, sourcing and developing a widely diverse portfolio of assets that are technology forward, and foster occupiers' ESG goals.

In our latest case study, Presidio Bay's COO, Kabir Seth, talks about how he is building a tech stack that leverages as few platforms as possible and can be applied to any asset his company buys or builds in the future.

3 Articles and Resources We're Reading

1) Here's What CRE Pros Say Really Matters with ESG Investment: Commercial real estate pros are most willing to pay a premium for smart technology that adjusts building operations to reduce environmental impact, according to a survey from CBRE.

2) PERE ESG Report 2022: While there have been murmurings of discontent, many in the market have doubled down on ESG. This is easier to do when doing good goes hand-in-hand with doing well and prioritizing ESG in fact boosts returns rather than acting as a drag.

3) Venture Firm Fifth Wall Raises Record Real-Estate Startup Fund: The $866 million fund is the largest ever venture fund focused on real estate technology companies.

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