Sustainable real estate and construction
When it comes to achieving sustainability goals, companies in construction and real estate have extraordinary potential to contribute through wide-scale change.
Globally, the built environment accounts for about 40% of energy use and about 30% of energy-related greenhouse gas emissions, according to the United Nations. Reducing these figures entails understanding the environmental impacts of projects and buildings and taking action to address these, including focusing on efficient and sustainable construction practices and extensive retrofitting.
Sustainable lending and green leases are also increasingly relevant.
Our experienced Construction and Real Estate teams take sustainability into account when advising on the construction and operation of real estate assets and infrastructure projects. Their understanding of the practical and legal implications is key to helping our clients to achieve their sustainability goals effectively.
Developers, financiers, and buyers are facing ever more regulatory and contractual demands on sustainability and energy efficiency. The focus of those in commercial real estate is firmly on both green lease clauses and how to assess the environmental sustainability of a business.
Our specialist team has deep knowledge of the practicalities of green lease clauses, which aim to promote landlord/tenant co-operation, along with the overall legal and regulatory framework. ALG work with clients to achieve their ESG strategy and targets smartly for each asset.
Our Real Estate team also works closely with our Corporate, Finance, Asset Management, and Funds practice groups to help ensure our clients meet the requirements of the Taxonomy Regulation, the SFDR, and the CSRD, as appropriate.
We also support with sustainable borrowing, which is increasingly being relied on in property finance transactions.
The construction sector has a significant role to play in the transition to a low-carbon and circular economy. It’s no surprise funders, developers, owners, contractors, and other stakeholders are even more focused than ever on sustainability. They’re doubling down on retrofitting, using modern methods of construction and other sustainable building and operation practices.
They’re also keen to adopt contractual clauses on sustainability matters, including energy efficiency and circularity. Moreover, development finance transactions increasingly involve sustainable loans.
Our experienced team's deep understanding of the practical implications of each of these enables us to guide and collaborate with our clients on meeting ESG specifications for developments including LEED Platinum and BREEAM, as well as advising on sustainability and supply chain clauses, sustainability lending and more.
Experience
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Owners and developers
on obligations to deliver developments meeting specified ESG specifications, such as LEED Platinum and BREEAM.
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Multiple real estate clients
developing bespoke green lease clauses tailored to their requirements.
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Advising developers
on the circular economy, including relevant legislation.
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Assisting developers
in the preparation of contracts for the retrofitting and upgrading of existing buildings.
