GCBC Logo

Emerging Practice: Climate Target Setting for Real Estate Sector Financing

Emerging Practice: Climate Target Setting for Real Estate Sector Financing

Year Published

2023

Contributing Organizations

Net Zero Banking Alliance (NZBA)
United Nations Environment Programme Finance Initiative (UNEP-FI)

Type of Resource

Research/Insights Report

Languages

English

Relevant Topics

Core Topic
Buildings & Real Estate
Topic 2
Target Setting
Topic 3
Banking

Target Audience

Banks

Relevant Geography

Global
Emerging Practice: Climate Target Setting for Real Estate Sector Financing

Resource Description

This resource outlines emerging practices for setting climate targets in real estate financing, based on NZBA member bank experience. It focuses on aligning residential and commercial property lending with net-zero goals.

Why This Matters

With buildings responsible for ~40% of global energy emissions, this resource supports credible climate target-setting in real estate lending.

Key Insights

  • Recommends using emissions intensity (kgCO₂/m²) for operational emissions (Scope 1 and 2), with growing attention to embodied emissions (Scope 3)
  • Refers to pathways such as CRREM, national building codes, and SBTi
  • Identifies challenges including data gaps, varying codes, split incentives, and ownership structures
  • Supports scenario analysis, regional adjustments, and customer engagement
  • Highlights the need for internal governance, policy support, and capacity building

Was this resource helpful?

We'd love to hear from you! You can share your feedback or suggest a resource below.

Share Your FeedbackSuggest a Resource

Related Resources

Energy Efficiency for Social Infrastrucure - a Toolbox for Public Development Banks resourceEnergy Efficiency for Social Infrastrucure - a Toolbox for Public Development Banks resource

Energy Efficiency for Social Infrastrucure - a Toolbox for Public Development Banks

2025

Fi
AF
Property Linked Finance: A New Financial Solution to Decarbonise the UK's Homes and Buildings resourceProperty Linked Finance: A New Financial Solution to Decarbonise the UK's Homes and Buildings resource

Property Linked Finance: A New Financial Solution to Decarbonise the UK's Homes and Buildings

2024

GF
Unsecured Green Home Loans: Lender’s Handbook on Green Home Retrofit and Technologies resourceUnsecured Green Home Loans: Lender’s Handbook on Green Home Retrofit and Technologies resource

Unsecured Green Home Loans: Lender’s Handbook on Green Home Retrofit and Technologies

2024

GF
Banking on Green Buildings resourceBanking on Green Buildings resource

Banking on Green Buildings

2024

UN
Whole life carbon: How to measure and manage building emissions in real estate portfolios resourceWhole life carbon: How to measure and manage building emissions in real estate portfolios resource

Whole life carbon: How to measure and manage building emissions in real estate portfolios

2023

II
Green Building Rating Systems: Energy Benchmarking Study resourceGreen Building Rating Systems: Energy Benchmarking Study resource

Green Building Rating Systems: Energy Benchmarking Study

2020

HK
Decarbonising Hong Kong Buildings Policy Recommendations and Next Step resourceDecarbonising Hong Kong Buildings Policy Recommendations and Next Step resource

Decarbonising Hong Kong Buildings Policy Recommendations and Next Step

2020

HK
Asia’s Powerhouses at Risk: Physical Climate Risk Exposure and Resilience Readiness across Asia’s Electric Utilities resourceAsia’s Powerhouses at Risk: Physical Climate Risk Exposure and Resilience Readiness across Asia’s Electric Utilities resource

Asia’s Powerhouses at Risk: Physical Climate Risk Exposure and Resilience Readiness across Asia’s Electric Utilities

2025

AI
MS
Kitchen of the Future: The economic and environmental benefits of protein diversification in Thailand resourceKitchen of the Future: The economic and environmental benefits of protein diversification in Thailand resource

Kitchen of the Future: The economic and environmental benefits of protein diversification in Thailand

2025

mb
Mapping the Electric Vehicle Ecosystem in Pakistan resourceMapping the Electric Vehicle Ecosystem in Pakistan resource

Mapping the Electric Vehicle Ecosystem in Pakistan

2025

SD
Energy Efficiency for Social Infrastrucure - a Toolbox for Public Development Banks resourceEnergy Efficiency for Social Infrastrucure - a Toolbox for Public Development Banks resource

Energy Efficiency for Social Infrastrucure - a Toolbox for Public Development Banks

2025

Fi
AF
Property Linked Finance: A New Financial Solution to Decarbonise the UK's Homes and Buildings resourceProperty Linked Finance: A New Financial Solution to Decarbonise the UK's Homes and Buildings resource

Property Linked Finance: A New Financial Solution to Decarbonise the UK's Homes and Buildings

2024

GF
Unsecured Green Home Loans: Lender’s Handbook on Green Home Retrofit and Technologies resourceUnsecured Green Home Loans: Lender’s Handbook on Green Home Retrofit and Technologies resource

Unsecured Green Home Loans: Lender’s Handbook on Green Home Retrofit and Technologies

2024

GF
Banking on Green Buildings resourceBanking on Green Buildings resource

Banking on Green Buildings

2024

UN
Whole life carbon: How to measure and manage building emissions in real estate portfolios resourceWhole life carbon: How to measure and manage building emissions in real estate portfolios resource

Whole life carbon: How to measure and manage building emissions in real estate portfolios

2023

II
Green Building Rating Systems: Energy Benchmarking Study resourceGreen Building Rating Systems: Energy Benchmarking Study resource

Green Building Rating Systems: Energy Benchmarking Study

2020

HK
Decarbonising Hong Kong Buildings Policy Recommendations and Next Step resourceDecarbonising Hong Kong Buildings Policy Recommendations and Next Step resource

Decarbonising Hong Kong Buildings Policy Recommendations and Next Step

2020

HK
Asia’s Powerhouses at Risk: Physical Climate Risk Exposure and Resilience Readiness across Asia’s Electric Utilities resourceAsia’s Powerhouses at Risk: Physical Climate Risk Exposure and Resilience Readiness across Asia’s Electric Utilities resource

Asia’s Powerhouses at Risk: Physical Climate Risk Exposure and Resilience Readiness across Asia’s Electric Utilities

2025

AI
MS
Kitchen of the Future: The economic and environmental benefits of protein diversification in Thailand resourceKitchen of the Future: The economic and environmental benefits of protein diversification in Thailand resource

Kitchen of the Future: The economic and environmental benefits of protein diversification in Thailand

2025

mb
Mapping the Electric Vehicle Ecosystem in Pakistan resourceMapping the Electric Vehicle Ecosystem in Pakistan resource

Mapping the Electric Vehicle Ecosystem in Pakistan

2025

SD
Energy Efficiency for Social Infrastrucure - a Toolbox for Public Development Banks resourceEnergy Efficiency for Social Infrastrucure - a Toolbox for Public Development Banks resource

Energy Efficiency for Social Infrastrucure - a Toolbox for Public Development Banks

2025

Fi
AF
Property Linked Finance: A New Financial Solution to Decarbonise the UK's Homes and Buildings resourceProperty Linked Finance: A New Financial Solution to Decarbonise the UK's Homes and Buildings resource

Property Linked Finance: A New Financial Solution to Decarbonise the UK's Homes and Buildings

2024

GF
Unsecured Green Home Loans: Lender’s Handbook on Green Home Retrofit and Technologies resourceUnsecured Green Home Loans: Lender’s Handbook on Green Home Retrofit and Technologies resource

Unsecured Green Home Loans: Lender’s Handbook on Green Home Retrofit and Technologies

2024

GF
Banking on Green Buildings resourceBanking on Green Buildings resource

Banking on Green Buildings

2024

UN
Whole life carbon: How to measure and manage building emissions in real estate portfolios resourceWhole life carbon: How to measure and manage building emissions in real estate portfolios resource

Whole life carbon: How to measure and manage building emissions in real estate portfolios

2023

II
Green Building Rating Systems: Energy Benchmarking Study resourceGreen Building Rating Systems: Energy Benchmarking Study resource

Green Building Rating Systems: Energy Benchmarking Study

2020

HK
Decarbonising Hong Kong Buildings Policy Recommendations and Next Step resourceDecarbonising Hong Kong Buildings Policy Recommendations and Next Step resource

Decarbonising Hong Kong Buildings Policy Recommendations and Next Step

2020

HK
Asia’s Powerhouses at Risk: Physical Climate Risk Exposure and Resilience Readiness across Asia’s Electric Utilities resourceAsia’s Powerhouses at Risk: Physical Climate Risk Exposure and Resilience Readiness across Asia’s Electric Utilities resource

Asia’s Powerhouses at Risk: Physical Climate Risk Exposure and Resilience Readiness across Asia’s Electric Utilities

2025

AI
MS
Kitchen of the Future: The economic and environmental benefits of protein diversification in Thailand resourceKitchen of the Future: The economic and environmental benefits of protein diversification in Thailand resource

Kitchen of the Future: The economic and environmental benefits of protein diversification in Thailand

2025

mb
Mapping the Electric Vehicle Ecosystem in Pakistan resourceMapping the Electric Vehicle Ecosystem in Pakistan resource

Mapping the Electric Vehicle Ecosystem in Pakistan

2025

SD
Energy Efficiency for Social Infrastrucure - a Toolbox for Public Development Banks resourceEnergy Efficiency for Social Infrastrucure - a Toolbox for Public Development Banks resource

Energy Efficiency for Social Infrastrucure - a Toolbox for Public Development Banks

2025

Fi
AF
Property Linked Finance: A New Financial Solution to Decarbonise the UK's Homes and Buildings resourceProperty Linked Finance: A New Financial Solution to Decarbonise the UK's Homes and Buildings resource

Property Linked Finance: A New Financial Solution to Decarbonise the UK's Homes and Buildings

2024

GF
Unsecured Green Home Loans: Lender’s Handbook on Green Home Retrofit and Technologies resourceUnsecured Green Home Loans: Lender’s Handbook on Green Home Retrofit and Technologies resource

Unsecured Green Home Loans: Lender’s Handbook on Green Home Retrofit and Technologies

2024

GF
Banking on Green Buildings resourceBanking on Green Buildings resource

Banking on Green Buildings

2024

UN
Whole life carbon: How to measure and manage building emissions in real estate portfolios resourceWhole life carbon: How to measure and manage building emissions in real estate portfolios resource

Whole life carbon: How to measure and manage building emissions in real estate portfolios

2023

II
Green Building Rating Systems: Energy Benchmarking Study resourceGreen Building Rating Systems: Energy Benchmarking Study resource

Green Building Rating Systems: Energy Benchmarking Study

2020

HK
Decarbonising Hong Kong Buildings Policy Recommendations and Next Step resourceDecarbonising Hong Kong Buildings Policy Recommendations and Next Step resource

Decarbonising Hong Kong Buildings Policy Recommendations and Next Step

2020

HK
Asia’s Powerhouses at Risk: Physical Climate Risk Exposure and Resilience Readiness across Asia’s Electric Utilities resourceAsia’s Powerhouses at Risk: Physical Climate Risk Exposure and Resilience Readiness across Asia’s Electric Utilities resource

Asia’s Powerhouses at Risk: Physical Climate Risk Exposure and Resilience Readiness across Asia’s Electric Utilities

2025

AI
MS
Kitchen of the Future: The economic and environmental benefits of protein diversification in Thailand resourceKitchen of the Future: The economic and environmental benefits of protein diversification in Thailand resource

Kitchen of the Future: The economic and environmental benefits of protein diversification in Thailand

2025

mb
Mapping the Electric Vehicle Ecosystem in Pakistan resourceMapping the Electric Vehicle Ecosystem in Pakistan resource

Mapping the Electric Vehicle Ecosystem in Pakistan

2025

SD