19 Oct 2021
Australian property companies have topped the results of the 2021 GRESB Real Estate Assessment ranking, proving once again that Australia’s real estate sector leads the world in sustainability.
GRESB is the global benchmark for environmental, social and governance (ESG) performance of real assets and Green Building Council of Australia’s (GBCA) CEO Davina Rooney has applauded Australian companies for outperforming other regions for the eleventh consecutive year.
“In what has been a challenging year globally, our region keeps lifting the bar of ESG and sustainability within the property sector by meeting GRESB’s targets then innovating to improve results year on year.
“As we all have our eyes set on Glasgow as COP26 approaches, Australia’s property sector has strengthened its commitment to climate change mitigation, emission reduction and sustainability performance, and this commitment is second to none,” Ms Rooney said.
The GRESB Real Estate Assessment generates two benchmarks. The GRESB Standing Investments Benchmark considers management and performance factors and is is aimed at portfolios with operating buildings, while the GRESB Development Benchmark considers management and development factors and is for portfolios with new construction and major renovation projects.
Globally, Oceania maintains the highest regional average score of 79 in the Standing Investment Benchmark and 84 in the Development Benchmark.
Participation in the GRESB Assessment experienced its largest ever growth with the group of listed entities growing by 20% while the non-listed group grew by 25%, a spike likely driven by investor interest in ESG data and industry’s focus on emerging regulations.
Property Council of Australia’s Chief Executive, Ken Morrison, says GRESB’s ESG data is highly valued by investors, and defines the standards of sustainability performance and reporting.
“GRESB continues to set the international goalposts for ESG performance and Australia continues to score highly, showing the rest of the world how a sustainable, net zero and healthy future is possible.
“Our industry’s leadership is testament to what can be achieved when targets are in place and our sector leaders should be recognised and praised for their willingness to innovate to meet these goals,” Mr Morrison said.
GRESB’s Head of Asia Pacific, Ruben Langbroek, says the impacts of climate change and the international pandemic have accelerated responsible investments within the property industry, with institutional investors increasingly allocating their capital to portfolios that generate positive environmental, social and economic outcomes.
“We are realising that the environmental and social challenges we face cannot be solved with a business-as-usual approach. Our industry needs to respond by building back better, reaching net zero earlier and moreover, becoming climate positive.
“The 2021 GRESB results for Oceania show that transformative change is possible, and transparency on ESG performance supports this transition,” Mr Langbroek said.
GRESB's global leaders for Australia’s global leaders for Australia
2021 GRESB Real Estate Standing Investments Sector Leaders
*Overall Global Sector Leaders are also recognised as being the “Global Sector Leaders” by GRESB for achieving the highest score for the combination of nature of ownership and sector
2021 GRESB Real Estate Development Sector Leaders
*Overall Global Sector Leaders are also recognised as being the “Global Sector Leaders” by GRESB for achieving the highest score for the combination of nature of ownership and sector