Why we should no longer view real estate as an asset

Redefining real estate as a product rather than as asset could be the trick to tackling complex and overwhelming ESG targets, says the founder of one of Europe’s most active sustainable urbanism funds. Speaking on an episode of Tech Talk Radio, Mikkel Bülow-Lehnsby, co-founder of Copenhagen-based fund 2150, said that property companies have been lulled into “short-term shareholder timeframes” and that 2150 has been set up to help the industry reframe the urban environment. “We should try not to see real estate as an asset, but as a product,” he said. “We need to focus on how we make that product more sustainable, customer-centric and efficient.” Bülow-Lehnsby, who also co-founded European real estate investor NREP, added that anyone who is still part of the climate change problem within 10 years “won’t have a business”. He was joined on the podcast by former Sidewalk Labs head of sustainability Nicole LeBlanc who is now platform partner at 2150. She said that with so much time pressure on the sector to embrace and fuel change fast, the noise within the industry around ESG can be overwhelming. She said that 2150’s investors often come to them saying they have more than one tech company offering the same solution and they don’t know where to start. “Don’t get analysis paralysis,” she said. “Put them all up against each other, work out what the outcome would be if you implemented each of them within your business. Ask for customer references and feedback. Pilot two of them if you still aren’t sure. But you have to start somewhere.” For all of this and more on everything from first steps to the importance of funds and real estate firms sharing key tech solutions rather than curating technology for their own benefit, tune in to the podcast. You can also join both LeBlanc and Bülow-Lehnsby at CREtech Climate in Copenhagen on 17-19 May. Find more information and registration details here www.cretechclimate.com To send feedback, e-mail emily.wright@eg.co.uk or tweet @EmilyW_9 or @EGPropertyNews Photo: Shutterstock   Enter the EG Tech Awards 2022 >>