Aligning Real Estate with the Paris Agreement
The financial risks of climate change are growing everyday along with the constantly rising level of CO2 emissions. The real estate sector is one of the key contributors to climate change, therefore, it is also a primary target for climate change mitigation and regulations aiming to reduce emissions. We have been integrating sustainability aspects to our real estate investments by developing climate targets in support of the Paris Agreement and in line with our Climate Pledge to achieve a carbon-neutral outcome by 2035.
Key highlights include:
- Global warming has reached 1.25°C and current policies are lagging the ambition of the Paris Agreement to limit warming to 1.5°C.
- Real estate is a key contributor to climate change, accounting for nearly 40% of global emissions. Therefore, it is likely to be a primary target for government regulations to curb emissions.
- Real estate investors are faced with physical risks due to natural hazards and transition risks with the shift to a low-carbon economy.
- As a sustainable investor, J. Safra Sarasin integrates sustainability throughout the real estate investment process and across the entire life cycle. To mitigate climate risks and capture opportunities in a low carbon future, we developed climate targets and decarbonisation strategies.
Read the full article.