Full Title: Real Estate Opportunities in the Energy Transition
Author(s): Zach Swartz, Margaret E. Peloso, Caitlin Snelson
Publisher(s): Vinson & Elkins
Publication Date: March 31, 2022
Full Text: Download Resource
Description (excerpt):
Much has been said about the need for countries and companies to build a low-carbon global economy. Multiple estimates of the amount of capital that will be needed to fund the energy transition over the next several decades are stunning, putting the number at or above $100 trillion. Cognizant of the enormous task — and opportunity — before them, the private and public sectors have already begun the work of building a greener economy. Much of this work has been focused on investments in renewable energy, electric vehicle production and battery technology.
Until relatively recently, real estate has been somewhat on the periphery of the energy transition. However, a new report out from McKinsey & Company highlights the critical role that the real estate industry must play in any true effort to mitigate global climate change. Decarbonizing the real estate industry will likely require trillions of dollars of capital. While this need for capital will challenge the real estate markets, it also presents significant opportunities for investors and business builders to facilitate the real estate energy transition in a profitable way.