Real estate is a crucial avenue for the creation of positive sustainability outcomes for local communities. At Social Value Portal, our team works extensively with both local authorities and developers to enhance the Social Value being delivered by in-use assets and new developments.
Here are three of our top tips for delivering targeted benefits to communities through in-use assets:
1. Understand local need
A strong understanding of local needs will enable you to maximise the Social Value your activities and interventions generate. Key to building a ‘place-based Social Value strategy’ is engaging with local needs research, identifying key priorities, and forming effective partnerships with community partners.
But how can you gather the data you need to guide your approach?
Various sources of information on how to target Social Value delivery are available to the public, from hyper-local data, such as the Indices of Multiple Deprivation, to council priorities and policies, to local community groups and charities working in the community.
To make sure that developments are meeting local needs, asset owners can:
- Create alignment between the council’s Social Value priorities and the Social Value strategy of each particular asset.
- Provide mission statements on the local Social Value goals of an asset, as this will improve transparency around community impact.
- Partner with or offer space to community groups.
Finally, understanding and embedding the needs of the local area into an asset-level Social Value approach – as well as periodically reviewing how the needs of the local area change over time – is crucial to delivering the value that is most needed. Read our spotlight to see how Landsec created a full lifecycle model of Social Value delivery based around local needs.
2. Pull in the same direction
A range of stakeholders are involved in an asset's Social Value creation, from the the property management team, to the suppliers, and occupiers. Together, all these groups create a holistic picture of an asset's Social Value delivery.
The property management team might divert waste from a landfill. The cleaning and maintenance teams might employ local people and apprentices. The occupiers might donate equipment, visit local schools, or support mental health initiatives. All this activity will deliver Social Value and enhance the asset’s positive impact on the community.
The important consideration here is that these different stakeholder groups intertwine and should work together.
For example, the property managers can work with suppliers to deliver Social Value delivery, while management teams can get occupiers involved in the initiatives they run at the asset. Asset owners can provide essential guidance and support to property management teams in identifying the most impactful areas of Social Value.
3. Measure, report, and improve
Without consistent tracking and monitoring, there will be no consistent outcomes. Asset owners must have in place processes to track data relating to initiatives at an asset - whether that is volunteering hours, donated resources, people with new jobs, or simply money spent.
Consistent collection of data doesn't just make it easier to communicate sustainability performance to investors and other stakeholders; it also allows for target setting and improvement plans.
Periodically evaluating an asset’s Social Value performance against targeted metrics and activities will lead to better social outcomes and build a clear picture of all the good being delivered in a particular location.
Asset owners should consider these three recommendations when implementing a sustainability or ESG strategy for their real estate portfolio. With investor demand and industry regulation making robust ESG policies more important than ever, processes that generate clear and impactful Social Value will only serve to elevate your strategy.
Integrate Social Value into your strategy
We have pulled together a series of Social Value success stories in the real estate sector - check out the full report.
And if you want to get started on measuring your Social Value, our GRESB-certified Real Estate Social Value Index (RESVI) will enable you to track and improve the Social Value generated by in-use real estate and infrastructure assets.
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