In the current landscape, it is of utmost importance for various industries in Colombia to contribute towards the government’s ambitious goal of reducing 51% of Greenhouse Gas (GHG) emissions by 2030, with the ultimate aim of achieving total carbon neutrality by 2050. In this context, the real estate sector in the country has succeeded in having 154 sustainable real estate projects certified by the Ministry of Environment, aligning with the objectives of the National Carbon Neutrality Program.
The real estate sector plays a pivotal role in curbing greenhouse gas emissions, currently accounting for 20% of the country’s total emissions. However, this sector holds the potential to significantly reduce these emissions by embracing measures such as sustainable construction and energy efficiency.
According to Leydy León, the sustainability leader at MTS Consulting + Management, “by 2030, new projects will be 100% operational carbon-zero buildings, and existing ones must reduce by a minimum of 30%. By 2040, 80% of new buildings and major renovations in urban areas will be net-zero at the operational carbon level, and existing buildings should achieve a minimum 70% reduction in operational carbon. Finally, by 2050, 100% of new buildings must be net-zero at the operational carbon level, alongside 100% of existing buildings.” The commitment to these targets underscores the industry’s dedication to environmental sustainability and aligns with Colombia’s broader climate action objectives.
Projections indicate that the demand for sustainable real estate projects is set to soar by 2030, reaching a substantial $23 trillion in the global real estate market. In Colombia, this market is expected to grow at an annual rate of 15% in the coming years, as outlined in a study conducted by McKinsey & Company.
According to the Ministry of Environment and Sustainable Development, there are currently 154 certified projects located in the country’s five major cities: Bogotá, Medellín, Cali, Barranquilla, and Cartagena. These projects encompass a wide range of activities contributing to the reduction of greenhouse gas emissions, coupled with several sector benefits such as job creation—projected to reach up to 100,000 in the country in the coming years—due to the development of new sustainable products and services (Deloitte).
Achieving carbon neutrality brings net benefits of up to $140 billion from 2023 to 2050, according to a report by the Inter-American Development Bank. These benefits stem from various sources, including operational savings derived from reduced energy and transportation costs by utilizing renewable energy sources and more efficient technologies. There are also improvements in productivity, as companies become more efficient and competitive by reducing their greenhouse gas emissions. Lastly, income from natural ecosystems, such as forests and mangroves providing essential services like climate regulation and biodiversity protection.
“In understanding both national and global needs, we have developed projects focused on achieving Sustainable Development Goals (SDGs), especially in terms of climate action. We measure corporate carbon footprints with a baseline year of 2022, and this year we are measuring the carbon footprint in assets. Our goal is to contribute to mitigation and ultimately compensation strategies for activities undertaken to also address the requirements of our clients,” affirms Leydy León, the sustainability leader at MTS Consulting + Management.
