Invesco: How WiredScore’s certifications support GRESB & ESG+R goals

With a presence in 25 countries and management of over $1.5tn (USD) of assets as at June 30, 2023, Invesco certainly knows that planning for the future is crucial when it comes to investing. This has driven its decision to ensure that its investors integrate ESG+R practices into its processes.

WiredScore spoke with Invesco’s Stacey Patten, Director of Investments for the UK & Nordics, about its commitment to GRESB, achieving WiredScore certification, and what these two things mean for its ESG+R goals.

How useful do you find real estate certifications in assisting with your ESG+R goals?

Certifications are one of the many tools we employ when considering ESG+R initiatives for our assets. They provide valuable standardization and accurate benchmarking capabilities within the industry. By leveraging certifications, we can effectively assess the digital connectivity and sustainability features of our buildings, contributing to our broader ESG+R goals.

How beneficial do you see smart building technology in meeting your ESG+R goals? Can you explain some of the benefits and challenges?

Smart building technology is incredibly important in ensuring our assets are resilient. It offers a wide range of benefits, including reduced energy consumption, cost savings from predictive maintenance, lower operational expenses, real-time building insights, and enhanced occupier experiences. However, the upfront costs associated with implementing more advanced smart building technologies can be a challenge. Nevertheless, the operational savings achieved through improved efficiency often offsets these initial investments.

How has achieving WiredScore certification benefitted you so far?

WiredScore certification has proven instrumental in attracting occupiers to our buildings. It serves as a clear indication that our assets offer exceptional digital connectivity, positioning us as leaders in the market. The certifications also provide a valuable frame of reference for comparing our buildings with others of similar nature within the same market. In research undertaken by Moody’s, buildings certified by WiredScore were proven to have 3.8% lower vacancy rates and 9 months longer leases, when compared to similar assets that are not certified.

Why did you choose to report to GRESB?

GRESB provides consistent and reliable data that enables us to gain meaningful insights into the ESG+R performance of our existing portfolios. As the most globally recognized benchmark in the real estate industry, GRESB offers a comprehensive evaluation of our sustainability efforts, allowing us to compare our performance against industry peers and identify areas for improvement.

What have you found to be the benefits and challenges of reporting to GRESB?

The primary benefit of reporting to GRESB lies in the knowledge gained through benchmarking. It helps us identify opportunities for enhancing our ESG+R efforts and provides a standardized framework for evaluating our performance. However, the reporting process can be time-consuming, requiring a comprehensive analysis of our assets and thorough documentation of our sustainability practices.

How has WiredScore certification affected your GRESB score?

In some cases, achieving WiredScore certification has positively impacted our GRESB scores. The certification serves to prove our commitment to providing best-in-class digital connectivity and contribute to the overall assessment of our assets’ sustainability performance.

Have you undertaken any actions to improve your GRESB score? What were they?

ESG+R is at the forefront of investment decisions throughout every state of an assets lifecycle. As such we are continuously implementing initiatives to improve building operations, attract and retain occupiers, and future-proof our assets and portfolios. The result of these initiatives often translates into increased GRESB scores, but we view this as a byproduct of improving the quality of our assets and continuing our commitment to sustainability.

Why has WiredScore certification been the right choice for you?

WiredScore certification has proven instrumental in attracting occupiers to our buildings. They serve as a clear indication that our assets offer exceptional digital connectivity, positioning us as leaders in the market. Our certification proves we performed better in areas relating to resilience, capacity, connectivity options and in-building diversity, when compared to the market average. By employing certifications, organizations can enhance its credibility, showcase its commitment to quality, and align with industry standards.

For illustrative purposes only, all information is accurate at time of publication: 26 July 2023

Invesco paid a fee for WiredScore certification and a standard fee to GRESB in order to participate in their rankings.