Measurabl Takes Real Estate ESG To The Banks With Quantum Leap

Measurabl Takes Real Estate ESG To The Banks With Quantum Leap

In July, real-estate-focused ESG management provider Measurabl launched a new product suite running off Quantum, its cloud-based data set of aggregated real-world building data. Quantum, as the name suggests, represents a major jump forward in ESG data availability in the real estate market, claiming to provide estimated data on ESG performance for any building in the world. Measurabl is also beefing up its existing offerings, re-dressing tools such as its reporting, utility collection, decarbonization and data manager solutions. In the current climate, most interesting is its suite of ESGx modules: Buildings, Securities and Benchmarks that leverage real-world ESG data from buildings feeding data into Quantum.

The release achieves two major milestones for the market. The first is enabling peer-to-peer benchmarking. Building owners generally struggle to understand their own ESG performance, let alone the ESG performance of the competitor across the street. Measurabl’s launch will enable owners to understand how they compare with the rest of the market, assess their transition-related risks, and inform their portfolio and property management strategies.

The second is that Measurabl is opening data up to a broader group of interested stakeholders. In theory, lenders and insurers can leverage Quantum and ESGx to gather progressively more important insights into relative building performance and risk exposure to inform lending terms, insurance policies and investment practices. This kind of non-financial data is now material to lenders as they get to grips with incorporating ESG into lending terms to satisfy demands of ESG-conscious parent firms and investors. Data are critical to screening borrowers for poor ESG performance. Meanwhile, insurers can gather insight on the risks of underwriting policy holder buildings, and greater data visibility will also help with due diligence scans of potential investments.

Despite increasing competition from a brigade of start-ups aiming to disrupt Measurabl’s market dominance, the announcement of Quantum signals a development that the rest of the competition will struggle to match. While smaller vendors can compete on data capture, verification and analysis capabilities, Measurabl has gone beyond this by creating a new solution providing estimated ESG performance data for any building worldwide. A lack of public disclosure requirements for building owners means that no such data source was previously available on the market. Measurabl is able to draw on 15 billion square feet of real estate data to provide estimates. The vendor's extensive user base has been essential in ensuring the data is of investor-grade quality, as larger volumes of real-world data enhance both accuracy and confidence levels.

Only similarly large ESG data management platform, Deepki, has been able to offer comparable peer-to-peer benchmarking capabilities in this way with its Index solution. For the finance sector, this marks another step toward better availability non-financial data in the real estate sector, which is more crucial than ever.