Biodiversity in real estate
Building the case for a biodiversity-net-gain commitment aligned with the Global Biodiversity Framework(GBF)for a real-estate investor and asset manager.
Role
Consultant/Study CISL
July 2024 - Oct 2024
Scope
Research existing frameworks and best practices; project plan outline and stakeholders engagement.
Context
Climate change and biodiversity loss are deeply intertwined, and the real‑estate sector both influences and is influenced by them. Stepping up biodiversity efforts through a net‑gain commitment supports decarbonisation initiatives. In light of the Paris Agreement and the Kunming‑Montreal Global Biodiversity Framework, and amid heightened policy and regulatory focus, early action can create a competitive advantage.
Building the case
Assessments:
positive financial impacts anticipated from higher rents, sales premiums, and occupancy rates, driven by enhanced aesthetics and well‑being;
benefits from climate‑risk mitigation and adaptation, such as reduced flooding risk, lower cooling loads and energy use;
reputational gains from a solid early commitment.
Opportunities investigated for capital flow and funding:
pilot projects leveraging nature‑based solutions (NBS);
restoration projects financed via blended finance and NGO sponsorships;
collaborations to assess the value of ecosystem services and advance the materials‑innovation agenda.
Other opportunities for industry partnerships and contribute to the efforts of assessing the value of ecosystem services and of advancing the materials‑innovation agenda.
Implementation – workstreams
Internal engagement: a high‑level assessment of the adoption of TNFD recommendations was carried out; design principles to support the commitment were defined.
External partnerships: partners were identified to develop a science‑based framework for assessing and measuring biodiversity impacts, to standardise organisational processes beyond certification frameworks, and to conduct assessments across all developments.
Communication and stakeholder engagement: a plan covering a network of partners and suppliers, global knowledge‑sharing organisations, and potential local‑level pilot projects (authorities and NGOs) was developed.