Core Real Estate Must Act Now to Support Net Zero

The race is on to hit Net Zero by 2050, and it is now more important than ever for owners of Real Estate to act.

For the UK to meet its carbon emissions reductions targets: a 68% reduction in emissions by 2030 (compared to 1990 levels), and Net Zero carbon by 2050, it is necessary for every industry to adopt new strategies. For real estate this includes implementing building codes and regulations for all buildings to meet strict energy efficiency standards.

This presents an issue for decarbonisation targets, as 80% of 2050's buildings are already built. The funding gap continues to widen in the race to upgrade.

In addition, there is a need for increased investment in research and development of new technologies and materials that can further improve the energy efficiency of buildings. Achieving Net Zero buildings by 2050 will require a significant and sustained effort by governments, businesses and individuals to transform the built environment to a more sustainable and low-carbon future.

IPSX is the world’s first regulated, real estate stock exchange, which allows building owners to raise capital, from untapped sources, by issuing securities backed by their real estate assets. The funds raised through the exchange can be used to finance sustainable upgrades and improvements to existing buildings or development of new green buildings. Additionally, financing the development of new green buildings can help meet growing demand for sustainable spaces and reduce the need for carbon-intensive construction practices.

IPSX may also indirectly support asset owners in achieving their Net Zero targets by providing greater transparency and visibility into the sustainability of real estate assets. By allowing investors to trade securities backed by specific buildings, IPSX can incentivize asset owners to prioritize sustainable practices by making this information more readily available to the market.

Investing in Net Zero buildings can provide a range of benefits for investors, including reduced carbon emissions, carbon credits, increased property value and a positive impact on society and the environment. These benefits align with SRI goals and can help build a diversified, sustainable and profitable portfolio.

Please get in touch to discuss how IPSX can help you: cmg@ipsx.com

Written by Joy Abiola, Director, Origination at IPSX, the world’s first regulated, real estate stock exchange.