Jones Lang LaSalle (JLL) is extending its sustainability risk mapping product known as the Third Dimension to clients in Europe. Originally developed by Upstream in 2005, the Third Dimension enables investors to compare forecast risk and total return (the first two conventional dimensions of property investment analysis) with sustainability.
Jones Lang LaSalle (JLL) is extending its sustainability risk mapping product known as the Third Dimension to clients in Europe. Originally developed by Upstream in 2005, the Third Dimension enables investors to compare forecast risk and total return (the first two conventional dimensions of property investment analysis) with sustainability.
In 2008, the syndicate comprised 12 institutional investors who submitted approximately 1,500 properties for analysis from 45 of their funds equating to approximately £30 bn (EUR 35 bn) of assets. In 2009, the number of properties analysed by this risk mapping product looks set to reach 3,000 as the product attracts new investors in the UK and is taken up across Europe by real estate investors in France, Germany and the Netherlands.
The Third Dimension provides a forward-looking perspective into how assets might perform in future, in the context of their exposure to a range of different sustainability risk scenarios. As such, it is being actively used by real estate investors as a management tool that sits at the heart of the investment decision-making process.
Julie Hirigoyen, lead director of Upstream Sustainability Services at JLL said: 'The Third Dimension is designed to deliver tangible value to investors at a time of dramatic worldwide change. Energy management and sustainability have assumed huge importance to commercial real estate owners and occupants. We work hand in hand with our clients to help them enhance profits from achieving their sustainability goals. We provide a bespoke product, tailored to the needs and budgets of each individual client and designed to drive real sustainability performance improvements year on year.'
The Third Dimension Syndicate Members that took part in 2008 include:
F&C Property Asset Management
Henderson Global Investors
Hermes Real Estate
ING Real Estate
Invista Real Estate Investment Management
LaSalle Investment Management
Royal London Asset Management
Schroders Property Investment Management
The Church Commissioners
The Crown Estate
Universities Superannuation Scheme (USS)
Workspace Group
They have been joined in 2009 by:
CBRE Investors
Climate Change Capital
Legal & General
