The Building Stock of Swiss Real Estate Investment Vehicles: Characteristics and ES Scores

Executive Summary

This report provides an in-depth analysis of Swiss Real Estate Investment Vehicles (REIVs), focusing on building-level Environmental and Social (ES) scores and portfolio characteristics. Using data from Quan­thome and the PRESS Scores methodology, the report evaluates over 20,000 buildings across 136 portfolios, representing CHF 200 billion in assets under management.

Physical Characteristics: REIV portfolios are heavily concentrated in Zurich, Basel, Lausanne, and Geneva, with over 40% of properties built between 1950 and 1980. These older buildings are prime candidates for retrofitting to meet energy efficiency standards.

Environmental Performance: Basel leads in CO₂ efficiency, driven by strong regulations and coordinated planning that promote renewable heating systems. In contrast, Geneva and Lausanne lag due to older buildings and less effective regulatory frameworks.

Social Factors: Accessibility, rents, and amenities vary less regionally, but Lausanne’s low new resident rates and high relative pricing indicate a tight market, potentially restricting growth and affordability.

ES Scoring Model: The report presents a scalable ES scoring framework that combines environmental and social indicators into a standardized metric. Basel and Zurich achieve high scores, while French-speaking cantons lag in environmental performance, highlighting opportunities for targeted sustainability improvements.

Conclusions and Recommendations: ESG scores can guide investments in two ways: rewarding high-scoring REIVs for sustainability or targeting lower-scoring ones to drive transformation. Prioritizing only the former risks a two-speed transition, while the latter requires active engagement to ensure real progress. Investors can choose their approach based on the impact they seek to achieve. The ES scoring framework offers a practical tool to support both strategies in advancing Switzerland’s 2050 climate goals.