Climate-Tech and Proptech Startups Forge Ahead Amid Slow Return to Office. VCs Optimistic About ESG Investment Opportunities.
INOVUES is pleased to report that our founder and CEO Anas Al Kassas has been quoted alongside esteemed climate-tech investment leaders, such as Fifth Wall and Building Ventures, in a recent article by Commercial Observer’s Philip Russo.
The article discusses the urgency of ESG retrofits amid regulatory pressures, despite the challenges of rising interest rates and low occupancy rates. It highlights leading proptech venture capitalists and entrepreneurs, who agree that ESG improvements remain a priority for office landlords.
On the backdrop of upcoming state and municipal deadlines for cutting carbon emissions, real estate office owners are urged not to curtail plans to retrofit their buildings with technology such as exterior building cladding, smart windows, thermal heating, and enhanced air-filtration systems.
Owners are faced with a carrot-and-stick set of reasons to make ESG retrofits, including mandates such as New York City’s Local Law 97, which will start penalizing non-compliant landlords in January 2024. There are also incentives to support retrofit measures. Con Edison and other utilities are offering limited-time incentives of up to 30% of the total project cost. Generous federal tax incentives are also available through the Inflation Reduction Act.
Venture capitalists believe momentum for ESG improvements is not flagging, with continued enthusiasm for investments in climate-tech and sustainable proptech startups, including those aimed at decarbonization. A key benefit of sustainability-focused retrofits to building owners is unlocking asset value, while achieving incremental cost-savings, among a dynamic economic and regulatory environment.
Read the full article here: https://commercialobserver.com/2023/04/proptech-esg-return-to-office.