A recent Nareit webinar, “How REITs Attract Sustainable Capital for Long-Term Growth,” brought together industry leaders to discuss how REITs are leveraging data, transparency, and innovation to advance sustainability and attract investment.
Moderated by Jessica Long, Nareit’s senior vice president of environmental stewardship & sustainability, the panel featured Edward Allen of Measurabl, Jared Butters of FTSE Russell, Nicole Funari of Nareit, and Sarah King of Kilroy Realty.
Allen opened the session by describing how Measurabl, the world’s most widely adopted sustainability data platform, representing 22 billion square feet and $3 trillion in asset value, is helping the REIT industry elevate data quality. “We’ve seen a big shift from voluntary reporting to bringing in high-quality, investment-grade data into decision-making,” Allen said. “That’s been a real change over the last few years and a catalyst for driving flows into REITs.”
He discussed data from Nareit’s REIT Industry Sustainability Report that noted 98% of REITs now issue standalone sustainability reports, up from just 46% in 2017, calling it a reflection of investors’ growing demand for transparency. Measurabl’s data is now integrated into the FTSE EPRA/Nareit Green Index Series, helping connect sustainability performance with capital markets.
Nicole Funari, Nareit’s vice president of research, highlighted key insights from Nareit’s data resources, including the annual EY Economic Contribution Report, which found that REIT operations supported 1.2 million FTE jobs and $110.3 billion in labor income in 2024. She emphasized that Nareit’s data platforms, including the REIT Industry Tracker, REITWatch, and REITs Across America, provide vital transparency for investors and policymakers.
Long also outlined findings from Nareit’s recent sustainability report, which shows near-universal REIT reporting on energy use and emissions, and that 91% of REITs report on capital improvements tied to energy efficiency.
Sarah King, senior vice president of sustainability at Kilroy Realty, discussed how her company’s new 2030 goals blend environmental and social objectives. “Our annual sustainability report is one of the most important opportunities for us to communicate how sustainability supports business fundamentals,” King said. “There’s no single formula—our approach focuses on breaking down barriers that prevent progress and setting tangible goals to accelerate our work.”
Jared Butters, sustainable investment product manager at FTSE Russell, provided an overview of the FTSE Nareit U.S. Real Estate and FTSE EPRA/Nareit Global Real Estate Index Series and how they are being used by global investors in passive REIT investment strategies. Butters shared how green building certification and energy usage metrics are used in the development of the indices.
Panelists agreed that reliable sustainability data and evolving standards are driving both resilience and investor confidence. Long concluded the session, noting: “There’s tremendous opportunity for transparency and innovation to continue strengthening the flow of sustainable capital into REITs.”