In recent years, there has been a significant shift in the way businesses and industries approach sustainability and social responsibility. One sector that has particularly gained attention is the real estate sector, where the concept of Environmental, Social, and Governance (ESG) has become increasingly important. ESG principles go beyond traditional financial metrics and focus on the long-term impact of real estate projects on the environment, communities, and governance structures.
What is ESG?
ESG stands for Environmental, Social, and Governance. It refers to the three central factors in measuring the sustainability and societal impact of an investment in a company or business. ESG criteria are currently used by investors and other stakeholders, as they allow assessing the risks and opportunities for the development of an organization.