ESG factors significantly enhance real estate asset valuation through premium rents, lower risk profiles, and improved brand reputation. Key impacts include:

• Higher Rentals & Faster Lease Absorption: Green-certified properties like LEED or IGBC achieve 5–10% higher rentals compared to conventional buildings.
• Reduced Operating Costs: Energy-efficient designs lower utility expenses, increasing net operating income (NOI) and boosting asset value.
• Resilience to Risks: Properties with strong environmental credentials are less vulnerable to regulatory changes (e.g., carbon taxes) or tenant preference shifts.
• Investor Confidence: Transparent reporting on ESG metrics aligns with global best practices, attracting institutional investors seeking stable returns.

Sustainability measures like solar rooftops or rainwater harvesting further enhance long-term operational savings. This makes ESG-focused properties more liquid and valuable in competitive markets.