An excellent article from Triple Pundit on the trends in green property funds, and also an explanation of why these could be good bets indeed for green-conscious investor who also wishes to get a decent return on the investment.
As the report says, ”
At the nexus between property developers and today’s socially-conscious investors stands an increasingly persuasive investment choice. Called a green property fund or impact fund, it’s an influential way for investment managers in emerging markets to match developers with those who aspire to both profits and positive change.
The concept is simple: Fundraise from third-party clients to ensure developers in urbanizing markets have the capital to build green. Then keep a tight hold on technical criteria to ensure peak building performance, which will benefit both occupants and the environment while adding caché to developers’ brands. It’s a virtuous alternative to building a conventional product and then selling high, with gains mostly derived from improved land value.
Sounds interesting indeed.
Read more from the Triple Pundit report.