Flexible workspace and co-working operators are still in the early stages of their ESG journey, according to a survey of operators conducted by technologywithin.
The company’s survey found 19% of operators currently have no ESG policy with 22% in the process of developing one. Nearly half (47%) of survey respondents said they have created a combined ESG policy and 25%-28% have introduced additional policies focused on areas such as DE&I and sustainability.
A significant portion (41%) have only developed their policies within the last two years, while just 19% have had an ESG policy in place for more than three years.
When it comes to new client demands, 51% of operators reported that no more than 20% of their new clients request ESG credentials. However, this trend is shifting, with 27% stating that 40%-80% of new clients ask ESG-related questions before signing a deal.
When asked about factors that would accelerate ESG adoption, financial incentives emerged as the top motivator (71%), followed closely by enablement from knowledge-sharing initiatives, including industry best practices and peer discussions (63%). Occupier demand is also a factor, with 56% of operators stating they would be influenced by tenant expectations.
Samuel Warren, sales and marketing director at technologywithin said: “At its heart, ESG means having a well-run, ethically guided business, which is thoughtful about its impact on the planet and community. Practically it means having meaningful policies in each of these areas, setting objectives and creating clear plans to deliver.”
He added: “Alarmingly, 18% of respondents report that no one in their senior leadership is responsible for ESG, while only 9% indicate that responsibility is shared across the board. The most common roles overseeing ESG initiatives are the managing director/CEO and the operations director, both at 27%. To bridge the leadership gap, some operators are appointing dedicated ESG specialists (24%), a trend that is expected to grow.”
