Unlocking the value of Global Real Estate Sustainability Benchmark (GRESB)

Following the complexities of the 2024 GRESB cycle, where significant changes to the assessment framework led to widespread disruption, GRESB has introduced updates for 2025 designed to encourage stability and predictability.

2025 updates

In response to stakeholder concerns from both participants and investors, GRESB has introduced a multi-year development process aimed at minimising scoring volatility while still driving progress. For 2025, the updates focus on limited scoring impact but include significant reporting changes that will shape the 2026 scoring framework.

Key changes to scoring:

• Energy like-for-like scoring: Operationally efficient assets will now be rewarded, even if they do not demonstrate year-on-year improvement, ensuring fairness for high-performing properties. Less efficient assets will remain on like-for-like scoring without additional penalties.
• Employee safety metrics: Participants must now report on four metrics instead of two to secure full points.

Reporting adjustments without scoring impact:

• Renewable energy alignment: Participants must align reporting with RE100 standards, detailing procurement methods, market-based claims, and the relationship between generation and consumption.
• New indicators: Additions include embodied carbon targets for development projects, risk assessments for new acquisitions, and biodiversity strategies.
• Residential module: A tailored module for residential entities introduces metrics on housing affordability, local infrastructure, and community safety.

While the 2025 changes are moderate, considerable shifts, including scoring new indicators, retiring old ones, and adjusting weighting are expected in 2026.

Beyond submissions

The 2024 submission cycle highlighted a critical gap in communicating GRESB results. Significant changes to the framework resulted in scores that were not comparable with previous cycles, leaving participants uncertain of their standings until the results were announced. This created a disconnect between participants and key stakeholders, such as investors, who rely on GRESB scores but often lack context about the underlying changes.

Going forward, participants must rethink their approach to GRESB. Beyond simply improving scores, it is essential to communicate the purpose and context of GRESB to investors both before and after submission. This includes:

1. Education: Explain what GRESB is, its purpose, and how changes to the framework affect scoring. Proactively set expectations with investors and other users of the results.
2. Framing results: When results are released, contextualise scores with an emphasis on progress and how your performance aligns with broader sustainability goals, despite framework changes.
3. Engaging GRESB directly: Collaborate with GRESB to ensure the framework reflects participants’ realities and fosters stakeholder understanding.

We understand the challenges posed by an evolving GRESB framework. GRESB is not just a benchmark, it is a tool to drive meaningful change. By embracing its evolution and enhancing communication efforts, participants can not only improve their scores but also build stronger, more transparent relationships with their stakeholders.

Further information

Contact Daisy Ash or Jonathan Li

GRESB: A paradigm shift from being a differentiator to a prerequisite