Monday 14 September 2020

German asset manager to make entire portfolio carbon-neutral

German asset manager Warburg-HIH Invest Real Estate has announced plans to achieve carbon-neutrality across its entire portfolio.

A total of 126 properties will be converted to use green electricity, an upgrade which is forecast to result in a reduction of carbon emissions in the portfolio of around 7,500 tonnes annually.

In addition, properties with a gas supply within the Warburg-HIH Invest portfolio will use 'carbon-neutral' natural gas in future - the environmental impact of which is offset through the support of climate protection projects.

The conversion is predicted to reduce annual carbon emissions by 1,300 tonnes and heating costs by around €150,000 (£138,6k) annually.

Alexander Eggert, Managing Director of Warburg-HIH Invest, said: "Sustainability criteria are becoming an increasingly important factor for many institutional investors when making investment decisions.

"This growing significance will become especially evident from March 2021, when the disclosure regulation comes into effect and real estate fund providers will have to present their sustainability activities in a transparent manner."

The firm manages assets with a volume of more than €11.6 billion (£10.7bn) across 72 funds.