Across the financial and asset management worlds, claims about sustainability are coming under scrutiny. For real estate lenders, ensuring that their approach to ESG-related lending is clear and accountable is becoming imperative.
Effectively one step removed from real estate assets, lenders have not been at the forefront of the industry’s sustainability commitments. However, recent sustainable financing initiatives suggest times may be changing.
A decade since the last peak and crash, the real estate banking sector is better positioned for the inevitable correction, writes Simon Marshall, head of UK commercial property finance at Landesbank Baden-Württemberg (LBBW).