How to implement ESG strategies that create measurable value for investors
In real estate, the conversation around ESG has shifted. A global survey by the United Nations Environment Programme Finance Initiative (UNEP FI) found that the vast majority of real estate investors now take ESG criteria into account when making acquisitions. However, ESG creates measurable investor value only when companies approach it with honesty, long-term planning, and consistent, stakeholder-driven execution. This has meant many leaders are now confronting a familiar challenge: they struggle to articulate to investors how sustainability efforts translate into concrete financial outcomes.
By making this connection explicit through data, risk mitigation strategies, and transparent progress tracking, companies can turn ESG from an abstract concept into a credible driver of long-term value. “Investors don’t just want promises, they want clarity. When you show them the risks you’re reducing and the progress you’re making, ESG stops being theoretical and becomes a real value proposition," says Alicia Silva Villanueva, Director and Founder of Revitaliza Consultores.
For more than 25 years, sustainability strategist Silva Villanueva has been helping real estate owners, investors, and institutions bridge that gap. At Revitaliza Consultores, specializing in ESG strategy, decarbonization roadmaps, green building certifications, climate resilience planning, and regenerative consulting for real estate and industrial portfolios, she has guided more than 100 projects across Latin America toward decarbonization, resilience, and long-term performance. “Progress beats perfection. The value comes from deciding where you are, where you want to go, and taking consistent steps in that direction," she says.Understanding Why ESG Drives Long Term Value
For Silva, ESG strategy is fundamentally about understanding what a company contributes to its community and stakeholders. She believes the businesses that endure are those that see themselves not only as economic engines, but also as problem solvers.
“Companies that only think profits are their guide usually don’t last long,” she says. “Organizations that have lasted more than 100 years tend to understand their clients and communities. That is exactly what ESG helps you do.”
This perspective is especially relevant in real estate, where assets face increasingly complex pressures. Industrial portfolios may struggle with electricity reliability, water scarcity, or social tensions around their operations. ESG provides a structured way to identify those challenges and turn them into long-term opportunities.
Her experience has shown that the secret is consistency. "When stakeholders see that you are listening and improving step-by-step, trust grows. And trust is the foundation of both market strength and investor loyalty,” she says.From Paper to Performance: What Investors Actually Look For
The first step is finding the courage to reveal an honest baseline. “A lot of companies are afraid to say where they’re starting. But no one begins perfect. Honesty and transparency beat everything,” she says. Investors, she adds, are less concerned with flawless scores than with evidence of risk mitigation. They want assurance that portfolios can withstand climate events, resource shortages, or regulatory pressure.
This transparency must be paired with ambition. Investors want to see where a company is heading, not just where it currently stands, which is why setting long-term goals signals seriousness of intent. Those goals then become meaningful only when supported by a clear, actionable plan. “When you show how each year builds on the last, investors see that you are not just hoping for progress, you are managing toward it,” she explains.Three Practical Steps for Building an ESG Strategy That Works
Many leaders starting their ESG journey want clear guidance. Silva Villanueva offers three essential steps that any organization can take.
1. Conduct a Double Materiality Assessment: This process identifies the issues most important to stakeholders and the company. With IFRS now integrating sustainability into financial disclosure, double materiality is quickly becoming a must. “It gives a deep understanding of what matters most and how to build a plan around it,” she says.
2. Develop Roadmaps for Decarbonization and Resilience: These roadmaps outline actionable, multi-year paths forward. They address not just energy consumption, but also transportation, logistics, and mobility. “Roadmaps are the step-by-step system that makes ambitious goals achievable,” says Villanueva.
3. Establish a C Suite Sustainability Board: This ensures accountability and authority at the highest level. “If the C Suite is not responsible for the success of ESG, it will not succeed." She even encourages linking incentives to sustainability performance to drive real alignment.
The ESG Metrics That Matter Most for Portfolio Strength
While ESG spans many dimensions, some indicators more directly influence asset performance. At the top of Silva Villanueva’s list are decarbonization and climate resilience. The global focus on net zero targets has placed decarbonization at the center of long-term value. Climate resilience, meanwhile, reassures investors that risks are understood and addressed.
She also highlights a fast-emerging third metric: biodiversity. Energy transitions require minerals that are often found in biodiversity-rich regions, creating complex tradeoffs. “We have seen temperature drops of two or three degrees simply by adding trees. Nature based solutions are cheaper, more efficient, and longer lasting. But they are often forgotten,” she says.
Silva Villanueva continues to influence sustainability policy and practice across continents, serving as a LEED Fellow, WELL Faculty member, and advisor on global ESG committees. Her work shows that when strategy is grounded in transparency, ambition, and community value, ESG becomes a catalyst for long-term investment strength.
