Developing a green transition strategy for real estate companies: evidence from the CRREM project

Green transition involves targets for companies to reduce their environmental impact in line with the Paris Agreement. The real estate industry faces particular challenges related to developing and managing assets. New tools are being developed to monitor and plan the decarbonization process, among them the CRREM project, offering companies in the European Union benchmarking for new real estate developments and building retrofitting. Companies implement this type of carbon emission monitor to benchmark their portfolio and define their green transition strategy. The chapter analyzes the European real estate industry to underline the issues related to CO2 emissions. It also looks at how to implement emission monitoring as part of strategic management by considering a case study of a leading real estate asset management company in Italy associated with implementing the CRREM. The chapter demonstrates the usefulness of the CRREM solution and practical implications for managers.