ESG is an acronym for ‘Environmental, Social, and Governance‘. It is an investment approach that aims to assess the impact of a company by promoting sustainable and responsible money on the basis of:
- Environmental: this assessment focuses on the company’s practices regarding environmental sustainability, such as reducing carbon emissions, using renewable energy sources and managing water and waste.
- Social: concerns the company’s relations with its stakeholders and all interested parties such as: employees, customers, suppliers and local communities. This can include the promotion of diversity and inclusion, respect for human rights and the protection of workers’ health and safety.
- Governance: this last factor focuses on the management of the company, assessing the transparency, ethics and independence of the board of directors.
what is the meaning of Student Housing?
“Student housing’, on the other hand, as we know, falls within the real estate sector and focuses on the provision of accommodation for university students.
Investing in this sector is an attractive option in terms of ESG and brings a better return in the long term. Moreover young people are increasingly aware of environmental and social issues and prefer companies that meet these standards.
Investors can use ESG factors as a selection criterion, choosing to finance projects that meet environmental, social and governance standards. This can incentivise developers to adopt innovative solutions to improve energy efficiency, reduce greenhouse gas emissions and promote environmental sustainability in general.
How can ESG be applied in the student housing sector?
Environmental Sustainability
To promote environmental sustainability, student housing facilities can take measures such as:
- installing energy-efficient lighting and heating systems,
- sorting waste and reducing their carbon footprint.
In addition, landlords can encourage students to reduce energy and water consumption and adopt sustainable practices.
Social Responsibility
Student housing facilities can promote social responsibility through the adoption of policies that encourage:
- Inclusion and diversity,
- Promotion of a fair and safe working environment for staff
- Volunteer activities and support for the local community
- Adoption of fair pricing policies for students.
Good governance
To foster good governance, these structures may adopt policies that foster transparency and accountability, such as publishing annual reports on ESG performance, setting up committees aimed at these standards, and adopting ethical codes of conduct.
ESG and student housing a perfect match
They can also work with universities to encourage such initiatives among students, such as environmental awareness, financial education and encouragement of local community engagement.
The relationship between these realities and universities can be particularly effective as it can create synergies between the two parties and promote the adoption of ad hoc policies and strategies at the institutional level.
CONCLUSION
In-Domus has always advocated an ESG approach in student housing, offering housing solutions that respect the environment through the use of renewable energy sources and governance that pays attention to savings and sustainable practices.
Furthermore, on the In-Domus campuses, students find a young, dynamic and above all international environment, favorable for personal and professional growth.
