Funds manager says it comes with benefits
Making the switch to more sustainable practices could benefit commercial property managers, as tenants become more eco-conscious, according to a commercial property funds manager.
Sustainable practices include installing LED lights, solar panels, heating and insulation, double glazing, ventilation systems, rainwater tanks, and electric vehicle chargers.
PMG Funds said sustainable switches have prevented nearly 200 tonnes of recyclable waste at its 47 properties in the past year and by installing solar panels at its rentals, which houses 166 tenants nationwide, it has been able to offer cheaper energy to its renters, RNZ reported.
Scott McKenzie, PMG Funds chief executive, said climate-related disclosure requirements and sustainability expectations from tenants were having an effect, but there was still room for improvement across the sector.
“Beyond supporting a sustainable environment for future generations, we shouldn’t need a stick or carrot to encourage us – but the reality is that improving the environmental performance of buildings makes sense economically too,” McKenzie said.
“Green energy is an increasingly important factor in helping us retain our quality tenants, thereby aiding our ability to continue to deliver regular returns to investors.”
The property sector contributed 20% of New Zealand’s carbon pollution, McKenzie said.
“With 90% of commercial property here owned either privately or by unlisted fund managers, it’s clear that the onus is very much on us to step up,” he told RNZ.
Doing so would also help New Zealand reach its goal of reaching net zero emissions by 2050.
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