CBRE South Asia Pvt. Ltd, India’s leading real estate consulting firm, today announced the findings of its latest report ‘Indian Real Estate’s ESG Landscape and its Progress to a Sustainable Future”. The report analyzes how Environmental, Social and Governance (ESG) would be the driving force for Indian CRE stakeholders going forward.
For India, given the size and population, the climate risks have grown manifold. The country ranked among the top 20 nations globally on the GermanWatch’s Global Climate Risk Index Rankings 2000-2019; in 2019, it was among the 10 most vulnerable nations ranked on this index, thereby demonstrating growing climate risks.
“ESG is integral to CBRE’s business strategy from the way we operate as a business to serving our clients and in helping them meet their own targets,” said, Anshuman Magazine, Chairman & CEO - India, South-East Asia, Middle East & Africa, “We recognize the unprecedented social and environmental challenges facing our industry and the built environment and are committed to build a better and sustainable urban India through our people, clients and industry leading services and partnerships.”
“Convergence of global challenges has heightened focus on the ESG issues and has put a spotlight on corporate real estate (CRE) leaders' purpose and mission,” said, Gurjot Bhatia, Managing Director - Project Management, CBRE India, Middle East and North Africa, “With this report, CBRE offers insights on ESG considerations and actions that will help to move our industry toward a more sustainable future.”
Over the past decade, green real estate assets – across top six cities in India (NCR, Mumbai, Pune, Hyderabad, Bangalore and Chennai), grew tremendously, with their share in the total office stock increasing from 24% in 2011 to 31% in 2021. Certified stock also increased substantially, growing at a CAGR of 10.7%, compared to 7.7% for the overall stock, since 2011.
The report highlights that NCR and Bangalore are ahead of the curve and together account for ~ 54% of the total certified office stock of India. While NCR and Hyderabad lead the fray in terms of the share of certified buildings in their respective total stock, with a 44% share each; followed by Chennai at 37%. Meanwhile, Mumbai (16%) and Pune (15%) have a significant potential to improve their share on this parameter.