REDAN urges developers to embrace ESG for efficient housing delivery

The Real Estate Developers Association of Nigeria (REDAN) has urged its members and the general public to adopt Environmental, Social and Governance (ESG) in housing delivery in order to create a sustainable ecosystem that promotes healthy living.

Akintoye Adeoye, president of REDAN, gave the charge recently at a press briefing in Lagos, emphasising that developing homes using ESG principles means a reduction in environmental degradation, thereby contributing to national climate goals.

“For developers, embracing ESG principles offers clear advantages, including enhanced reputation, improved risk management, increased property values, and greater market competitiveness,” Adeoye said.

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“For homebuyers, it means healthier living environments, lower utility bills, and peace of mind, knowing they are contributing to a sustainable future.

“For the nation, it means fostering economic growth, reducing urban poverty, and positioning Nigeria as a leader in sustainable development on the African continent,” the legal professional said.

Adeoye said REDAN, understanding the significance of sustainability and its far-reaching impact on the profession and the nation at large, created a committee to drive “our ESG agenda forward, developing frameworks, conducting audits, and engaging stakeholders across the board.”

Speaking on the efforts of REDAN’s ESG Committee in driving the transformative agenda, Olusola Enitan, the chairman of the committee, said real estate developers need to key into the principles of ESG to reduce environmental footprints while promoting energy efficiency and biodiversity conservation.

Enitan added that the advocacy will enhance social inclusion through affordable housing, community engagement, and equitable practices and strong governance frameworks to ensure transparency, accountability, and ethical business conduct.

Established in 2024, the REDAN ESG committee seeks to promote sustainable real estate development practices; ensure compliance with global ESG standards; facilitate stakeholder engagement on ESG issues through monitoring and evaluating its performance within the sector.

Highlighting the achievements of the committee so far, Enitan said in the last one year REDAN ESG has developed the Nigerian Real Estate ESG Handbook, which is expected to be launched at the Sustainability REDAN-MBAN Conference in April.

It has equally launched capacity-building programs, equipping members with the knowledge and tools needed to implement ESG practices and facilitated partnerships with key stakeholders, fostering collaboration and advocacy for ESG integration.

The committee however seeks to hold a Sustainability Conference in April in partnership with the Mortgage Bankers Association of Nigeria, publish an annual ESG report detailing members’ performance and progress, and expand training initiatives to reach more developers nationwide.

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In the not-too-distant future, it also aims to strengthen stakeholder engagement to amplify the impact of ESG principles.

“We urge all real estate developers across the federation to prioritize ESG principles in their projects. Together, let us build a future where every development enhances the quality of life for Nigerians while safeguarding our shared environment,” Enitan said.

“To support this mission, the REDAN ESG invites collaboration from government agencies, financial institutions, NGOs, and academia. Together, we can unlock the full potential of ESG in transforming Nigeria’s real estate landscape,” he stated.