What new innovative financing tool is greening buildings in cities? The World Bank has published an article co-written by Prashant Kapoor and William Beloe that makes a compelling business case for property-linked finance (PLF) as the key to unlocking the green retrofit market at scale in cities. Retrofitting is not just about incremental improvements; it's about high-impact measures. A financial mechanism like PLF enables such high-impact measures as it allows long-term financing, offering a framework for cities to achieve their decarbonization goals. Where traditional finance mechanisms often fall short, PLF aligns interests to incentivize high-impact energy efficiency upgrades with immediate results and lower risk. When managed correctly, PLF can be a win for all: greener buildings for cities, energy savings for building owners, and a reliable investment for lenders. Check out the article to learn more about how the PLF public-private partnership model can accelerate energy efficiency upgrades of existing buildings at scale: https://lnkd.in/eHkTecpW IFC - International Finance Corporation IFC Climate & Sustainability & Sustainability #APEXgreencities #greencities #climatesmartcities #sustainablecities #lowcarbonfuture #greenfinance #sustainablefinance #greenretrofits
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🌍 New Report Release: Financing Transformation: A Guide to Green Building for Green Bonds and Green Loans 🌱 Announcing the launch of an important report that aims to bridge the knowledge gap in sustainable finance within the real estate sector. “Financing Transformation” was unveiled earlier this month at the Global World Green Building Summit. The report provides practical insights on how to leverage green finance instruments to meet global energy transition goals. Key Highlights: ↗ Details how various building verification and certification standards can be used to comply with global classifications and bond frameworks. ↗ Practical case studies and insights for Stakeholders. ↗ Useful for investors, financial institutions, owners, and developers of green buildings. 📥 We invite you to find out more and link to the report download at https://lnkd.in/dvm8wTM7 Join us in accelerating the real estate industry's transition to a sustainable future. #SustainableFinance #GreenBuilding #GBCSA #GreenBonds #GreenLoans #Sustainability
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Navigating an Increasingly Complex Landscape of Sustainable Building Standards Check out our new white paper with WellsFargo.com Corporate & Investment Banking. It explores the rising regulations across the U.S. aimed at reducing building energy use and carbon emissions. These changes will impose significant fines for non-compliance and impact future real estate investments. As we move towards net-zero emissions, buildings must enhance efficiency to avoid fines, refinancing risks, and higher cap rates. The future is here—transition risk is real in both Europe and the U.S. #Sustainability #EnergyEfficiency #RealEstate #NetZero #ClimateAction #decarbonization #carbonmanagement #energymanagementsoftware #environmentalsocialgovernance #NetZeroEmissions #BuildingEfficiency #CarbonEmissionsRegulations #ESG
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Navigating an Increasingly Complex Landscape of Sustainable Building Standards Check out our new white paper with WellsFargo.com Corporate & Investment Banking. It explores the rising regulations across the U.S. aimed at reducing building energy use and carbon emissions. These changes will impose significant fines for non-compliance and impact future real estate investments. As we move towards net-zero emissions, buildings must enhance efficiency to avoid fines, refinancing risks, and higher cap rates. The future is here—transition risk is real in both Europe and the U.S. #Sustainability #EnergyEfficiency #RealEstate #NetZero #ClimateAction #decarbonization #carbonmanagement #energymanagementsoftware #environmentalsocialgovernance #NetZeroEmissions #BuildingEfficiency #CarbonEmissionsRegulations #ESG
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𝐇𝐨𝐰 𝐚 𝐍𝐞𝐰 𝐈𝐧𝐧𝐨𝐯𝐚𝐭𝐢𝐯𝐞 𝐅𝐢𝐧𝐚𝐧𝐜𝐢𝐧𝐠 𝐓𝐨𝐨𝐥 𝐢𝐬 𝐆𝐫𝐞𝐞𝐧𝐢𝐧𝐠 𝐁𝐮𝐢𝐥𝐝𝐢𝐧𝐠𝐬 𝐢𝐧 𝐂𝐢𝐭𝐢𝐞𝐬 BY 𝐏𝐑𝐀𝐒𝐇𝐀𝐍𝐓 𝐊𝐀𝐏𝐎𝐎𝐑 & 𝐖𝐈𝐋𝐋𝐈𝐀𝐌 𝐁𝐄𝐋𝐎𝐄 An innovative financing tool that allows access to affordable and long-term funding to upgrade residential and commercial buildings to use renewable energy, improve energy and water efficiency, and increase resilience is driving this success. Known as Property-Linked Finance (PLF) or Property Assessed Clean Energy (PACE), this public-private partnership model has enabled more than 353,000 building owners in the US to finance $15 billion worth of such improvements. While state legislation initiated the programs, this massive investment can largely be attributed to efforts undertaken at the local level, especially by cities with climate action plans (CAPs) that have adopted non-traditional financial strategies to fund their climate goals. With 39 states across the US having enabled PACE legislation, it has gained wide acceptance as a climate investment tool to incentivize building efficiency upgrades. https://lnkd.in/esb8K_rP
How a New Innovative Financing Tool is Greening Buildings in Cities
blogs.worldbank.org
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With tightening credit conditions and elevated refinancing needs, sustainable or “green” financing options have become an important alternative to traditional financing among developers and property owners. Featured in this month’s issue of Real Assets Adviser, YuhTyng Patka, A&S NYC Climate Mobilization Act Task Force and PACE Financing Practice Chair co-authored an article with Breana Wheeler of BREEAM Official, sharing in-depth insights on various green financing options and the evolution of sustainable financing. To learn more about green financing, read the full article here: https://lnkd.in/g4kPKD95
Understanding the green wave in real estate financing
https://irei.com
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Our collaborative report "Financing Transformation: A Guide to Green Building for Green Bonds and Green Loans" provides a practical framework for increasing construction and real estate finance. https://bit.ly/4cwWaXU
Global Green Building Alliance Launches Guide for Trillion-Dollar Sustainable Investment
sustainabletimes.co.uk
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Good Morning Financiers, Looking to make your mark in sustainable finance? Here's how carbon financing can transform your portfolio: 1. Embrace Eco-Friendly Construction: Invest in projects that prioritize sustainability, such as energy-efficient buildings, renewable energy installations, and eco-friendly infrastructure. These projects earn carbon credits, driving revenue while reducing environmental impact. 2. Integrate Carbon Offsets: Offset the carbon footprint of your investment portfolio by purchasing carbon credits from certified projects. This not only neutralizes emissions but also supports initiatives that promote sustainability and combat climate change. 3. Diversify with Green Bonds: Explore green bonds issued to finance environmentally-friendly projects. By investing in these bonds, you not only contribute to the growth of sustainable infrastructure but also diversify your portfolio with assets aligned with your values. 4. Partner for Impact: Collaborate with industry stakeholders, including developers, builders, and environmental organizations, to identify and support high-impact projects. By pooling resources and expertise, you can amplify the environmental benefits of your investments. 5. Educate and Advocate: Promote awareness of the importance of environmental-friendly construction and carbon financing within your network and beyond. Advocate for policies and practices that incentivize sustainability in the built environment, driving positive change at scale. By leveraging carbon financing, you can not only promote environmentally-friendly construction but also green your portfolio, aligning financial success with positive environmental impact. Let's build a sustainable future together! #SustainableFinance #CarbonFinancing #GreenInvesting"
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One of my earlier article i have mentioned why despite increasing public awareness and financing opportunities, the economy faces significant obstacles to green financing. These include high borrowing costs, limited awareness, misleading compliance claims, disclosure requirements, and mismatches between long-term green investments and short-term investor interests. Green bonds and other green financing instruments thus have no competitive advantage over conventional energy funding. Green financing is crucial for the financial sector with projects mitigating climate change and promoting RE to achieve a greener economy and net zero by 2070.
No green finance framework no sustainable development
law.asia
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The global surge in green bonds, surpassing $1.5 trillion in cumulative issuance, reflects a growing investor appetite for sustainable assets. Alongside this, green loans are gaining momentum, offering flexible financing options for projects that prioritize environmental criteria. As we navigate the path to a sustainable future, integrating green buildings into green financing frameworks becomes increasingly critical. The "Financing Transformation" guide ( https://lnkd.in/dZS7W83E ) developed collaboratively by the Organizations and Green Building Councils of the US, UK, Singapore, France, and Australia, highlights the pivotal role green bonds and green loans play in driving both environmental and economic benefits. Green buildings have demonstrated significant potential in reducing carbon footprints. Buildings certified under the LEED, BREEAM, and Green Star rating systems are shown to significantly lower greenhouse gas emissions compared to non-certified buildings. adopting these green building practices, we can achieve impressive reductions on a global scale. By aligning our projects with these financial instruments, we can unlock significant capital for sustainable development. Evidence suggests that green-certified buildings can command up to a 13% higher rental premium and an 8% higher sales premium compared to non-certified buildings. This not only drives environmental stewardship but also enhances asset value and resilience. Join us in embracing these innovative financing solutions to accelerate the transition to a greener, more resilient built environment. Together, we can transform our cities and communities for the better. #GreenBuilding #SustainableFinance #GreenBonds #GreenLoans #Sustainability #ClimateAction
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As reported in Green Building Advisor: “While the combined $20 billion in NCIF and CCIA grants don’t technically constitute a centralized green bank, the resulting gestalt now represents a green bank aggregate of sorts, which should mobilize enough private capital in service of creating even more green banks at the state level.” Programs like the US Environmental Protection Agency (EPA)’s Clean Communities Investment Accelerator and National Clean Investment Fund are a step towards centralized green banking, which would ensure America's disadvantaged communities have equitable access to climate and clean energy solutions. Read more: https://lnkd.in/g9xiwjtV
One Step Closer to Federal Green Banks - GreenBuildingAdvisor
https://www.greenbuildingadvisor.com
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