Revo has created a new social value framework for retail property, intended as a tool to support investment into the sector and improve clarity on measuring socio-economic impact.
The organisation expects it will largely be adopted by owners, investors, asset managers and local authorities.
Under its guidelines, contributions to social value should be delivered and measured in two principal areas: “vibrant community” and local economy.
The primary areas of focus for creating vibrant communities are meaningful community engagement, and open, healthy and inclusive space.
Metrics that can be used to quantify these contributions include green space as a percentage of floorspace; weekly footfall from vulnerable groups and those with disabilities; and the number of amenities related to health and wellbeing.
Where local economies are concerned, contributions should be measured according to support for local businesses; responsible procurement; supporting better employment; and resilience in the workforce.
Measures to ascribe value to impact in local economies include: the percentage of local enterprises in the supply chain; the number of jobs created for vulnerable and disadvantaged groups; the number of people receiving training; and capital invested in local partnerships and charities.
Each area of focus involves goals in three categories: actions in direct control of property owners; actions that can be achieved in partnership with other organisations; and long-term progressive social value.
Revo will update the framework, which is aligned with the UN’s sustainable development goals, on an annual basis.
Vivienne King, chief executive at Revo, said: “Retail property is not only the economic heart of towns and cities, it is part of the urban fabric that binds communities together and is fundamental to our happiness, wellbeing, equality and sense of security and safety. However, the vast social and economic contribution real estate makes is largely invisible to the public.”
She added: “As investors in the property market are becoming more aware of the social impact of their decisions, it’s increasingly important to be able to evidence social value contribution in order to attract capital investment into retail property, and at the same time demonstrate to an increasingly conscientious public how the sector supports communities in very many unseen ways.”
Sophia Cox, sustainability adviser at UK Green Building Council, said: “Retail buildings have a very special role to play in providing value to local communities, and understanding how that value should be measured is a critical step in enhancing those benefits.
“We hope that owners and other key stakeholders will feel confident reporting on these outcomes and start thinking radically about how they bring their communities into the decision-making.”
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