RICS promotes and enforces the highest professional quali cations and standards in the development and management of land, real estate, construction and infrastructure. We accredit 118,000 professionals whose expertise covers property valuation and management; the costing and leadership of construction projects; the development of infrastructure; and the management of natural resources, such as mining, farms and woodland.
With approximately 70% of the world’s wealth bound up in land and real estate, the sector is vital to economic development, helping to underpin stable, sustainable investment and growth around the globe. We believe that standards underpin e ective markets.
From RICS’ perspective, this UNEP FI investor brie ng is very timely. e January 2014 RICS Red Book edition now speci cally lists sustainability as a factor that valuers need to take into account when performing valuations and risk assessments for their clients as these sustainability factors can in uence investment decision-making. Consequently, valuers are now advised to refer to sustainability metrics where and whenever available, as this will contribute to the level of information and data available.
Data availability and transparent information ows are thus of crucial importance. ese can be used not only in making the business case for scaling up investment targeted at increasing the sustainability performance of built assets but also for valuing a building and advising clients accordingly.
To facilitate large-scale market transformation, RICS feels that a two-pronged approach is needed. Guidance to valuers and associated capacity-building programmes on the valuation side need to be accompanied by guidance on the real estate investment and nancing side. The latter will raise awareness about the importance of data collection and sustainability metrics not only amongst responsible investors but also amongst the wider investment community. is report represents two things: the rst tangible output of the collaboration between RICS and the UNEP FI Property Working Group and a signi cant milestone within the industry-academia partnership between RICS and the Karlsruhe Institute of Technology (KIT).