The CSP certification is recognized across the real estate industry, and provides a model for integrating sustainable practices into the management of self-storage properties. It’s also highly valued by investors and owners as a way to communicate their sustainability priorities and enhance annual ESG reporting such as GRESB and CDP.
Property management industry collaboration
Self-storage industry professionals, led by real estate investment management firm Heitman, worked with IREM to develop the CSP certification for existing self-storage properties.
“We recognize the need to clearly communicate the sustainability efforts of our numerous self-storage partners to the investment community,” says Brian Trainor, vice president, Portfolio Sustainability Strategies, Heitman. “Unlike other real estate sectors, self-storage lacked a widely recognized holistic sustainability certification framework.”
To address this, Heitman and IREM spearheaded the creation of a sustainability certification tailored to the unique operations of self-storage, says Trainor. A task force, including representatives from REITs, both large and small private owners, and private equity investors, played a crucial role in guiding IREM to develop a certification meeting the self-storage industry’s specific needs.
This joint effort resulted in a new sustainability benchmark for the sector. Heitman’s early recognition of this gap, and IREM’s leadership in filling it, highlights a joint commitment to sustainability and innovation in the self-storage sector.
Small steps go a long way towards achieving a greener future. First, the property’s sustainability goals must be established, and progress monitored towards achieving these goals.
IREM offers tools, templates, and guidance to help implement best practices that improve performance in the following areas:
Why self-storage property owners and investors are exploring sustainability
The benefits of reducing the environmental impact of self-storage properties go beyond energy, water and waste reduction. Properties that are committed to long-term sustainability strategies also achieve the following benefits:
Risk mitigation. ESG practices can enhance a self-storage facility’s value by mitigating the impacts of climate-related risks such as severe weather and regulations. Investors and buyers are increasingly interested in adding green assets to their portfolios to secure their investments and communicate their ESG priorities to their stakeholders.
Increased NOI. Implementing sustainable practices doesn’t have to be cost-prohibitive. Even small changes can make a big difference. Check plumbing and irrigation for leaks. Switch to LED light bulbs. Establish recycling programs. Install solar panels. There’s so much to explore launching a green initiative, and many projects contribute to expense reduction or enhance customer engagement.
Appeal to younger generations. Younger consumers generally value sustainability and ethical practices. Embracing environmentally friendly practices can differentiate your self-storage facility in a crowded market.
Launch your self-storage property’s green initiative
It’s easy to launch IREM’s CSP program for self-storage buildings. To get started, your property management will essentially follow these 3 steps:
-
Perform guided sustainability assessments of the property
-
Benchmark energy, water use, waste and purchasing
-
Establish a 3 year plan for improvement
To get learn more and get started, visit IREM’s CSP program for self-storage buildings. Your asset’s IREM certification can go a long way in validating your commitment to a cleaner, greener, healthier planet.