iecvaluers –

SUSTAINABILITY ON THE PROPERTY DEVELOPMENT PROCESS

SUSTAINABILITY ON THE PROPERTY DEVELOPMENT PROCESS

What truly is sustainable property development process? Do we care? Does it matter?  How does it affect us? Does it affect your profit? Is it expensive? Is it beneficial? If beneficial, to what stakeholders in the property development process? These are the frequently asked questions and this articles will provide an in-depth analysis on them.

Sustainability has been defined in many ways but generally, all definitions relate to the below parameters:

  1. The relationship between the environment, the society and the economy.
  2. Equal distribution of opportunities and resources
  3. Living within defined limits (controlled and not wasteful)

The definition established by the United Nations World Commission on Environment and Development states that; “sustainable development is a development that meets the need of the present without compromising the ability of future generations to meet their own needs”.

The World Business Council succinctly puts the definition thus:  ”sustainability development involves the simultaneous pursuit of economics prosperity , environmental quality and social equality. Companies aiming for sustainability needs to perform not against a single financial bottoms line , but the triple bottom line.

In summary; sustainable development represent a duty to care in general, avoiding wastefulness and not depleting the resources currently available by keeping the future the future in mind. In addition, it is business execution from a broad viewpoint, considering  the impact of development on social, economic and environmental issues, as opposed to considering only the financial impact.In other words, it is thinking about the visible/invisible stakeholders that are affected directly or indirectly, asides shareholders.

In Nigeria today,  a typical business owner ( property developer in this case) is primarily after financial gains. This is extremely important, giving the added obstacles of giving the added obstacles of government policies, tax regulators, building control regulators, safety regulators, poor access to infrastructure, unpredictable prices of building raw materials, investors pressure, source of funds and the list goes on.

The question now  becomes, why is sustainability relevant? How does it affect business? To answer these question  properly, we need to understand CORPORATE SOCIAL RESPONSIBILITY (CSR)…Let’s expand our thought process a little bit.

SUSTAINABILITY ON THE PROPERTY DEVELOPMENT PROCESS

CSR is know to many as an activity done by a business or entity outside her primary tasks, to help or contribute to society, it can be viewed as philanthropy, supporting community, donating to charitable causes or in some cases even public relation(PR). While this description is correct, however, CSR goes beyond this.

CSR is also a company’s obligation to be accountable to all stakeholder in all its operations and activities with the aim of achieving sustainable development not only in the economical dimension but also in the socio-environmental dimension. This is basically taking a broader approach to business activities, considering internal processes and operations, and not only external. This shows that there is indeed between  sustainability and  CSR.

In the light of this, the following describes how CSR may affect property development(PD);

  1. Direct employment of staff i

Leave a Reply