Overview
# OF ASSETS: 31
LOCATION: U.S.
SIZE: 40,000 – 700,000 sq. ft.
ASSET TYPE: Industrial, Commercial, Residential
SUMMARY: A global real estate investment manager partnered with GreenGen to certify 31 U.S. assets under BREEAM In-Use. The project established a consistent sustainability framework, informed capital planning, and created tailored action plans to boost performance, resilience, and long-term asset value.
Objective
A global real estate investment manager with over €1 trillion in assets under management partnered with GreenGen to certify 31 properties across its U.S. portfolio under BREEAM In-Use Part 1. The initiative aimed to enhance building performance, identify value-add opportunities, and align certification with both GRESB reporting and long-term capital planning. GreenGen acted as the BREEAM Assessor Company and strategic advisor, guiding the certification process and delivering tailored roadmaps for each asset to improve scores and future-proof performance.
The project objectives included:
- Establishing a consistent sustainability framework across diverse geographies and asset types, including residential, retail, logistics, and commercial.
- Identifying value-add opportunities to improve
- Ensuring alignment with GRESB requirements and the UN Sustainable Development Goals (SDGs).
- Developing actionable, asset-level roadmaps to inform capital planning and long-term ESG strategies.
Launched in October 2024, the project carried an accelerated timeline to meet year end deadlines, investor expectations, and reporting priorities.
Certification Overview
The portfolio includes a diverse mix of industrial, commercial, and residential assets, ranging from 40,000 to over 700,000 sq. ft. across multiple U.S. states. This diversity introduced environmental and regulatory variances, as well as varying tenant requirements, making uniform assessment and action planning complex.
A large open-air mall in California was among the most complex assets, with a diverse tenant mix including Fortune 500 brands across retail, banking, dining, medical, pharmaceutical, and fitness sectors. GreenGen developed a methodology to categorize tenant spaces that aligned with BREEAM In-Use requirements while streamlining the certification process across five separate buildings.
The highest-scoring asset was a luxury residential complex in Chicago, IL which excelled in Energy and Health & Wellbeing, and showed post-implementation potential in Resilience and Resources categories. Residential assets generally outperformed other classes. Portfolio-wide, the assets scored strongest in Energy and Resilience categories, while Health & Wellbeing, Energy, Water, Resources, and Resilience offered the greatest improvement opportunities. Residential assets scored higher in Transportation, while industrial assets scored lower due to remote locations. Retail assets presented the largest potential for improvement.
Upon certification, the portfolio achieved 87% Acceptable and 13% Pass ratings, in line with the client’s program goals.
Outcomes
The BREEAM In-Use certification process provided a materiality-driven framework that helped validate and prioritize capital improvements with the highest value impact. It enabled a clear understanding of risks across the portfolio and supported the development of tailored action plans designed to future-proof each asset and maximize long-term value.
To optimize sustainability outcomes, GreenGen partnered with each asset manager beyond certification, delivering asset-specific roadmaps to elevate properties to the next BREEAM rating tier with a 5% performance buffer. Each roadmap included no-cost measures, often leveraging existing building documentation or technical specifications, and implementation projects with projected costs, timelines, and descriptions to support informed decision-making. Improvements were prioritized by ROI and contribution to asset value to ensure that cost-effective measures with the greatest value impact were implemented first.
Recommended enhancements typically focused on:
- Energy: Local performance assessments, metering and monitoring, building controls, solar PV
- Water: Leak detection, efficient fixtures, low-flow showers
- Health & Wellbeing: CO2 sensors, occupant comfort controls, optimized lighting
- Resilience: Natural hazard and flood risk assessments
By following these action plans, assets were projected to improve by one to two BREEAM rating tiers, with an average score increase of 16 points. This would elevate the portfolio’s ratings from 87% Acceptable and 13% Pass to 61% Pass and 39% Good. These certifications also contribute directly to improved GRESB scores, accounting for up to 8.5 points in the 2024 performance year.
Client Key Learnings
- Start early to avoid deadline pressure: Engage stakeholders by mid-year to ease deadlines and build buy-in.
- Consistent data is critical: Standardized records streamline portfolio certifications.
- Insights must drive action: Real progress comes from implemented measures.
Interested in working with the GreenGen team? Reach out to us!