1315_Nareit Testimonial Reitweek Adams 20240624 v2

Sarah Adams, chief sustainability officer and co-founder of Vert Asset Management LLC, sat down for a video interview at Nareit's REITweek: 2024 Investor Conference, held in New York June 3-6.

Adams emphasized the critical role of climate risk assessment in shaping the company’s investment strategies. Adams highlighted that Vert Asset Management evaluates both physical and transition risks associated with climate change when assessing the value of REITs.

Adams said its data-driven approach has enabled Vert Asset Management to engage effectively with REITs in their portfolio, pushing for strategies that mitigate climate-related risks. She highlighted a significant increase in the number of REITs within their portfolio aligning with Task Force on Climate-related Financial Disclosures (TCFD) recommendations, underscoring a shift towards more transparent and accountable climate strategies.

Regarding sustainability disclosures, Adams emphasized the importance of data quality and the role of frameworks like TCFD and science-based targets. She expressed a preference for third-party verified targets, noting a positive trend towards REITs adopting science-based targets and net-zero goals. Adams stressed the need for more standardized sustainability reporting across the industry.

Adams advocated for improved communication between investors and REITs on environmental and social matters, encouraging REITs to integrate sustainability reporting into their regulatory filings more cohesively.