Asset managers underestimate property ESG transition costs

A leading property investor has warned that many fund managers are ignoring future costs of reducing building emissions, resulting in artificially inflated valuations, as property analysts at a leading investment bank suggest such costs in some countries could reach 4% of a portfolio’s total value.   Toby Selman, who is in charge of property investment strategy at the New Zealand Superannuation Fund (NZ Super), a sovereign wealth fund with NZ$60 billion ($40.5 billion) in assets u…