Climate Week

The term “Environmental, Social, and Governance,” or ESG, has been around for two decades, first being coined by the United Nations Global Compact in 2004. However, the rise of the framework has led to increasing political backlash, with some states outright banning ESG in investment decisions.

When the Inflation Reduction Act (IRA) was signed into law a little more than two years ago, it was celebrated by many who work in the real estate industry as a crucial tool for encouraging and offsetting the cost of green buildings. The tax incentives offer a lot of opportunities for owners and developers to cut expenditures, sometimes significantly, in a time when interest rates and the cost of construction remain high. Navigating the various incentives and programs has broadly proved challenging, however, and experts hope to spark more awareness around the benefits of the IRA and how to move past common obstacles.