New research by Deepki, the ESG data intelligence firm, which surveyed 250 European pension fund managers in the UK, Germany, France, Spain and Italy, with a combined AUM of €402bn, shows that across different segments of the real estate sector, industrial properties such as warehouses and manufacturing sites lead the way when it comes to ESG performance.
The report asked respondents to rate the performance of eight commercial property sectors. Two thirds (62%) rated the ESG performance of the industrial sector as good or very good, followed by leisure (61%), and retail (60%). This compares to logistics and office real estate which had the lowest ‘positive’ rating of 47% and 44% respectively.
Commenting on the research findings, Vincent Bryant, CEO and co-founder of Deepki, said: “Pension funds are becoming highly active when it comes to improving the ESG performance of their assets, and commercial real estate is no exception. Sectors such as industrial and leisure are already performing well, albeit with room for improvement. Deepki is seeing significant demand from institutional investors keen to get an accurate picture of the ESG performance of their assets and ensure they are on a path to net zero.”