Lawyers at Forsters thrive on playing an integral part in such a rapidly changing market. We are all encouraged to be fully rounded real estate professionals; immersed in our markets and not just “processers” of legal work. Trends around ESG are as much a part of the real estate market as any other micro or macro-economic trend.
Forsters core Commercial Real Estate team, working closely with our dedicated Planning, Construction, Litigation and Finance teams, specialises in various sectors including Build to Rent, Building Safety, Hotels, Later Living, Industrial and Logistics, Retail, Occupiers and Student Accommodation. ESG considerations transcend these sectors and our cross-practice approach allows us to deliver “joined-up”, commercial advice to clients at all stages of their ESG journey.
Our experience is extensive and includes:
- Renewable Energy (Wind Farms, Solar Farms, Solar Panels, Urban Buildings)
- Green Lease Clauses
- ESG (EPC, BREEAM, Well Building)
- Sustainable building design and construction (Embodied Carbon, Net Zero Carbon etc.)
- Smart Grids/Battery storage
- Strategic advisory: impact assessment/reporting
- Green lending
We are proud to have acted for a number of our key clients in this sector including:
- Patrizia AG
- Fiera Real Estate
- The Mercers
- Swiss Life Asset Managers UK Limited
- Kennedy Wilson
Listen to our latest podcast on The Sector Race to Net Zero.
Below we have provided a series of briefing notes highlighting some of the main sustainability considerations facing the Real Estate Sector. Please contact our experienced team to discuss further any of the topics covered.
Key Environmental, Social and Governance terms defined.
The Environment Act 2021 (“the Act”) introduces far reaching statutory changes aimed at, amongst other things, increasing biodiversity and restoring natural habitats in conjunction with development.
Lenders and the wider financial market have seen the emergence and growth of two types of loans, green loans and sustainability linked loans (“SLLs”).
The roll-out of Electric Vehicle Charging Points (EVCPs) across the UK continues to gather speed, with the government’s announcement of a ban on the sale of new petrol and diesel cars to take effect from 2030 and on the sale of new hybrid cars from 2035.
The aim of the SFDR is to provide greater transparency and consistency for investors by requiring certain financial services firms to make prescribed, standardised sustainability-related disclosures about their financial products and investment advice.
An EPC is a certificate issued by an assessor which provides information about the energy efficiency of the building in question. MEES Regulations are designed to incentivise landlords to make energy efficiency improvements to properties that have a substandard EPC rating.
More and more landlords are looking to install solar panels on their buildings to create green electricity and lower energy bills.
How is ESG being incorporated into the residential real estate market from a legal perspective?
National Australian Built Environment Rating System (NABERS) is Australia’s mandatory model for measuring commercial energy efficiency and is now a world leading energy rating scheme that helps building owners, operators and managers better achieve their net-zero targets.
When ESG is discussed in the context of leasing, the focus is usually squarely on the “E” of the trio, environmental. But the social and governance issues should not be overlooked.
Statistics show that the construction industry was responsible for 37% of global carbon dioxide emissions in 2020. The need for the sector to address its environmental impact is therefore obvious.