From strategy to execution

Over the past few years, sustainability has become one of the defining priorities for real estate investors. Initially, the focus was on what sustainability strategy to adopt and which KPIs to track: carbon intensity, energy efficiency, water/waste, green certifications, and tenant engagement metrics.

In the past 12 months, however, the industry has gone through a noticeable shift. The conversation is no longer just about what to measure, but how to manage and use data to drive real impact.

The rise of data-centric Sustainability

As investors face growing regulatory pressure, shareholder scrutiny, and higher expectations for transparency, data has become the backbone of every sustainability strategy. High-quality data management is now essential, not only for accurate reporting but also for uncovering cost-saving opportunities, identifying risks early, and benchmarking performance across portfolios.

The days of collecting data simply to comply with regulations or to achieve a high GRESB Foundation score are fading. Leading investors are now integrating sustainability data directly into investment, asset management, and operational decisions. The ability to transform fragmented information into actionable insights has become a real competitive advantage.

Crucially, the industry is no longer guessing which indicators matter most. The most important KPIs have been clearly defined through frameworks such as the GRESB foundation at first, and now the IFRS, SFDR Principal Adverse Impacts (PAIs), INREV ESG SDDS, and ARESI. These frameworks have brought much-needed clarity to what good sustainability performance looks like. That clarity allows investors to shift their attention from defining metrics to executing improvements.

The changing role of the Sustainability manager

This evolution has reshaped the role of sustainability professionals within real estate firms. Where sustainability managers once focused on designing strategies and defining frameworks, they are now deeply involved in the operational side of the business to reduce both the transition as well as the physical climate risks. The focus has moved from “What is our ESG ambition?” to “How do we put it into practice across all assets and regions?”

Many investors have reorganized their sustainability teams, bringing in data specialists, analysts, and technology partners. The goal is to ensure that sustainability is not a side project but part of everyday decision-making, from acquisitions to portfolio management.

Sustainability managers have become the project leads of execution, coordinating across external property managers, tenants, owners, advisors, and data providers to make sure sustainability initiatives are implemented consistently and effectively.

A demanding but necessary shift

Adapting to this new reality has not been easy. Sustainability experts, who have already had to reinvent themselves many times to meet evolving standards and benchmarks, are once again redefining their roles.

Yet this shift is a positive and necessary one. It emphasizes execution over aspiration, data quality over data quantity, and integration over isolation. It lays the groundwork for genuine impact rather than superficial reporting.

This does not mean innovation should stop. There are still pressing topics that require fresh ideas, such as F-gases and embodied carbon. But the main focus is now clear: the industry must channel its energy and talent into managing the execution process, ensuring all stakeholders are aligned and engaged.

The road ahead

This change represents more than just another evolution in ESG, it marks the maturing of the field. The sustainability leaders of the future will be those who can connect strategy, data, and operations in a seamless way.

And while it may feel like yet another reinvention, it is a shift that will finally deliver on the industry’s long-standing promise: to embed sustainability into every business decision, reduce risks, achieve compliance by design, and create measurable impact at scale.