ESG terms to understand

Key ESG terms to understand

Net Zero Carbon Buildings

What is a Net Zero Carbon Building

Zero Carbon Building are Buildings that operate without producing net carbon emissions, focusing on both operational and construction-related carbon reductions.

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Embodied Carbon

What is Embodied Carbon

Embodied Carbon refers to all greenhouse gas emissions created during the production, transport, and installation of building materials.

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Climate Risk Assessment (CRVA)

What is Climate Risk Assessment (CRVA)

Climate Risk Assessment (CRVA) is a structured evaluation of how climate-related hazards may affect a property’s value and performance.

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Circular Economy

What is the Circular Economy

Circular Economy is a sustainability model focused on reusing, repairing, and recycling materials to reduce waste.

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CSRD (Corporate Sustainability Reporting Directive)

What is the CSRD (Corporate Sustainability Reporting Directive)

CSRD (Corporate Sustainability Reporting Directive) is an EU regulation requiring companies to report detailed sustainability and ESG data.

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ESG Disclosure

What is ESG Disclosure

ESG disclosure refers to the reporting of environmental, social, and governance data by organisations to provide transparency on sustainability performance, risks, and compliance.

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Scope 1, 2, and 3 Emissions

What are Scope 1, 2, and 3 Emissions

Scope 1, 2, and 3 emissions classify greenhouse gas emissions as: Scope 1: direct emissions from owned or controlled sources | Scope 2: indirect emissions from purchased energy | Scope 3: all other indirect emissions across the value chain

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Brown Discount

What is the Brown Discount

Brown discount describes the reduced value, rental levels, or liquidity of properties with poor energy performance or weak ESG credentials compared to more sustainable assets.

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Green Building Certification

What is a Green Building Certifications

Green building certifications are third-party assessment systems that evaluate a building’s environmental performance, energy efficiency, and sustainability against recognised standards.

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BREEAM

What is BREEAM

BREEAM (Building Research Establishment Environmental Assessment Method) is a leading sustainability assessment system that evaluates a building’s environmental performance across design, construction, and operation, focusing on energy efficiency, materials, water use, and overall environmental impact.

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LEED

What is LEED

LEED (Leadership in Energy and Environmental Design) is an international green building certification system that measures sustainability performance in areas such as energy use, carbon emissions, indoor environmental quality, and resource efficiency.

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DGNB

What is DGNB

DGNB (German Sustainable Building Council certification) is a sustainability rating system that assesses buildings based on environmental, economic, sociocultural, and technical quality across the full lifecycle of a property.

Learn more about DGNB