Conclusion

We are in the midst of a green revolution. In real estate and in the economy more widely.

Regulatory measures and investment incentives are seeking to drive behavioural change, alongside prevailing market forces. But economic disruption, inflation and rising interest rates are creating significant near term pressures, not only to net zero ambitions but to business survival full stop. This is a significant challenge.

2023 is likely to continue to see challenging market conditions as businesses adapt and respond to a less favourable financial landscape where the cost of debt has risen and cashflows are being squeezed. This may well mean casualties along the way.

But looking ahead towards the end of the year and beyond, as the industry recalibrates and activity levels begin to pick up in line with a return to fiscal stability, the signals are there that we will see a healthier, greener, even more dynamic real estate industry emerge.

At Saffery, we look forward to working with our clients and colleagues to navigate this changing environment and seize the opportunities to preserve business resilience, and achieve sustainable success.

For further information on any of the areas raised in our research report, please contact Sean McGinness.