Siqi Zheng’s Post

We are excited to share our systems intervention points research in collaboration with ULI Europe and their Partners (Hines, IPUT Real Estate Dublin, PIMCO, Redevco, Savills Investment Management, Catella, Immobel, Schroders Capital, Longevity Partners, Sonae Sierra, Urban Partners) This deep dive series into the 13 most critical intervention points to help transition the built environment to net zero in Europe, were authored by Valentin Wiesner, our in-house specialist in intervention research. Today, we proudly release our research with the aim to help the wider industry be better informed and aligned on the most pertinent issues in pursuit of sectoral decarbonisation. The list of interventions are as follows: 1. Transition risk-adjusted valuation 2. Tenant and Landlord alignment 3. Co-ordinated real estate investment voice 4. Financial solutions to increase retrofit and prevent asset stranding 5. Building renovation passports 6. Whole life carbon 7. Net-zero targets for the built environment 8. Energy efficiency data 9. Carbon pricing 10. Building capabilities for blended finance 11. Implementing a system-wide transition strategy 12. Whole value chain coordination 13. First movers coalition on new technology and innovation Each intervention provides vital context and rationale for the intervention, what is happening right now, possible next steps and how to get involved. A big thanks to the team and technical advisors that made it happen Valentin Wiesner, Kate Wolfenden, Suzy Glass, Andrea Carpenter, Roland Hunziker, Luca De Giovanetti, Sarah Dominey MRICS, James Hooton For a deeper dive into any of these interventions, please visit ( https://lnkd.in/dd2dkXh5 ) or get in touch with the 103 team, via [email protected]  Mauro Silva, James MacPherson, PhD, Lewis Howard, Gemma John, PhD, Maya Færch, Jeremy Gorelick

Incredible 103 Ventures / ULI Europe materials on the built industry transformation intervention points: 1. Transition risk-adjusted valuation 2. Tenant and Landlord alignment 3. Co-ordinated real estate investment voice 4. Financial solutions to increase retrofit and prevent asset stranding 5. Building renovation passports 6. Whole life carbon 7. Net-zero targets for the built environment 8. Energy efficiency data 9. Carbon pricing 10. Building capabilities for blended finance 11. Implementing a system-wide transition strategy 12. Whole value chain coordination 13. First movers coalition on new technology and innovation Check it out:

Strong co-created built industry transformation intervention points. The list of interventions are as follows: 1. Transition risk-adjusted valuation 2. Tenant and Landlord alignment 3. Co-ordinated real estate investment voice 4. Financial solutions to increase retrofit and prevent asset stranding 5. Building renovation passports 6. Whole life carbon 7. Net-zero targets for the built environment 8. Energy efficiency data 9. Carbon pricing 10. Building capabilities for blended finance 11. Implementing a system-wide transition strategy 12. Whole value chain coordination 13. First movers coalition on new technology and innovation Check it out:

Voila, 13 places to intervene if you’re intent on working out how to decarbonise the built environment. Loads of context and explanation, and - crucially - a focus on what your next practical steps could be.

Today we are excited to share one of our thirteen intervention points in focus, as a result of our systems intervention point research in collaboration with ULI Europe: #01 Intervention Point: Transition risk-adjusted valuation This intervention point focuses on standardising the treatment and disclosure of transition risks within the real estate industry. By accounting for the costs of decarbonization, we can pave the way for informed decision-making, enabling investments in retrofit projects and the development of sustainable assets. It sets the stage for a paradigm shift in how we adjust asset values in line with the transition, within the built environment. This deep dive series into the 13 most critical intervention points to help transition the built environment to net zero in Europe, were authored by Valentin Wiesner, our in-house specialist. Each intervention provides vital context and rationale for the intervention, what is happening right now, possible next steps and how to get involved. A big thanks to the team and technical advisors that made it happen Valentin Wiesner, Kate Wolfenden, Suzy Glass, Andrea Carpenter, Roland Hunziker, Luca De Giovanetti, Sarah Dominey MRICS, James Hooton Also tagging the leading organisations we have cited in these papers to showcase their work CRREM - Carbon Risk Real Estate Monitor, Global Alliance for Buildings and Construction (GlobalABC), Science Based Targets initiative, WBCSD – World Business Council for Sustainable Development, RICS For a deeper dive into any of these interventions, please visit https://lnkd.in/dd2dkXh5 or get in touch with the 103 Ventures team, via [email protected] Lewis Howard, James MacPherson, PhD, Gemma John, PhD, Maya Færch, Jeremy Gorelick

We've released a milestone evaluation of our Mission Driven Investment (MDI) program’s impact and ways we’re strengthening our practice. Our program’s focused on disrupting the status quo and driving capital to underrepresented people and overlooked markets. Since 2007, our MDI program has committed more than $340 million to mission-related investments (MRIs) and program-related investments (PRIs) that serve as models for achieving strong financial performance and measurable social impact. Examine the report produced by Tideline that highlights our strategic focus on close programmatic alignment (generating an 11% IRR over the evaluation period) and our field building approaches to advance racial equity, impact and performance. By the numbers 2007 program launch $340M+ in commitments since inception 90+ investments 95% of PRI dollars benefiting communities of color* 86% of MRI dollars benefiting communities of color * 60% of MDI dollars deployed to diverse owners and managers* *During the evaluation period (2017 to 2021) ImpactAlpha https://wkkf.co/lndg

💡Yes, real estate firms can invest in long-lasting sustainable building retrofits, but the timing of investment is crucial for achieving environmental and social impact. The latest #MITCRE working paper, in collaboration with the National Bureau of Economic Research (NBER), titled “Timing Sustainable Engagement in Real Asset Investments,” explores investment timing and impact. Researchers use unique micro-data tracking investments in all public US commercial real estate properties over the past two decades to assess the effects of sustainable shareholder engagement on firms' investments. 📈 The paper finds that when a large portion of real estate assets in a REIT's portfolio is up for renovation, successful engagement (accepted by REIT managers) has the largest positive impact on reducing carbon emissions across the entire REIT portfolio. 🔗 Read the full paper on SSRN: https://lnkd.in/eJ3Pz2T4 Coauthors: Bram van der Kroft, Juan Francisco Palacios, Roberto Rigobon, and Siqi Zheng MIT Center for Real Estate MIT Climate & Sustainability Consortium (MCSC) Massachusetts Institute of Technology MIT Climate MIT School of Architecture and Planning MIT Sloan School of Management MIT Department of Urban Studies and Planning Maastricht Center for Real Estate (MCRE) Nareit Urban Land Institute   #research #ESG #sustainability #environment #social #governance #shareholder #shareholderproposal #sustainable #realestate #investment #green #workingpaper #economics #finance #sustainablefinance #NBER #MIT #MITSloan #MCSC #ACP #engagement #timing #activism #voting

Taking a moment to share #01 of 13 intervention point technical briefings today: #01 Intervention Point: Transition risk-adjusted valuation The objectives of this work are to help the built environment sector to: (i) Support ULI members and the industry to faster achieve sector wide decarbonisation of the built environment in Europe; (ii) Support ULI members and the industry to better navigate, prioritise and coordinate existing initiatives and programmes for greater efficiency and impact. We hope it helps :)

Check out my latest blog post for the Steamboat Institute, providing coverage to an exciting campus liberty debate at the University of Maryland. The debate centered on the increasingly salient economic policy issue of environmental, social, governance (ESG) investing, raising concerns over just how harmful ESG decisions can be to the U.S. economy. Steamboat did a phenomenal job in hosting the debate with the Ed Snider Center of Free Enterprise, which featured a very nice post-debate social gathering. It was nice to attend my first campus liberty debate as a member of the Emerging Leaders Council. My article explores the various arguments raised throughout the debate between University of Maryland Professor Michael Faulkender and ESG expert Desiree Fixler. Where the audience was slightly opposed to the notion of ESG posing a real threat to the economy in pre-debate polling, there was a dramatic reversal in views toward ESG by the end of the debate. This re-affirms many public opinion findings which suggest that non-investors who (being mostly/fully unaware of ESG) initially favor ESG, are more likely to reverse their views toward this form of investing after arriving at a more concrete understanding of its applications in the public markets. #esginvesting #debate Read more about this exciting debate here: https://lnkd.in/ePSGF7_v