“It used to be a nice to have to be seen to be green for properties. Now it is an actual commercial imperative."

Energy has moved to the centre of real estate value. Rising power prices, grid constraints, lender expectations and operational risk now sit behind every investment decision. Buildings that cannot secure affordable, low-carbon energy face higher operating costs, a growing brown discount and an increased risk of obsolescence. Those that can, gain an advantage on running costs, liquidity and access to finance.

Jonathan Cohen explains how this shift has unfolded. As a specialist energy lawyer with more than 20 years’ experience, he advises utilities, project developers, major energy users, real estate owners and funders on clean-energy transactions across rooftop solar, battery storage, district heating, corporate PPAs and private-wire structures. His work sits at the intersection of infrastructure, regulation and property — where long-term value is increasingly determined.

A major part of the discussion focuses on the rapid emergence of zero-capex models for on-site clean energy. Third-party providers now fund, build and maintain rooftop solar and battery systems on long leases. Landlords enhance their asset without deploying capital. Tenants receive cheaper, green power in a high-cost market. Funders gain long-term contracted revenues.

We then turn to the hardest constraint of all: the grid. Connection delays stretching into the 2030s are reshaping development timelines and forcing new due-diligence practices. Jonathan sets out why the system is blocked, how “zombie” connection agreements created a backlog, and how new queue-management rules are designed to prioritise viable projects.

The conversation also explores corporate power purchase agreements and private-wire arrangements. Jonathan explains where PPAs make sense, what lenders look for, and why location, credit quality and load profile determine whether a structure can deliver real savings and bankable economics.

Finally, we examine the growing importance of green leases. Not as broad statements of intent, but as specific, measurable, enforceable clauses that hard-wire energy performance, cost-sharing and change-of-law provisions into the landlord–tenant relationship. The goal is simple: protect asset value, deliver operational efficiency and ensure that sustainability commitments are achieved in practice.

The episode offers a clear picture of how energy, contracts and regulation now shape real-estate performance, and what owners, developers and occupiers must get right to build future-resilient assets rather than stranded ones.

Episode Chapters

00:00 Introduction, context and why energy now sits at the heart of ESG

01:43 How energy and sustainability in real estate have evolved

05:52 Commercial drivers, zero capex clean tech and on site generation

15:27 Grid connection constraints and their impact on development strategy

26:18 District heat networks and the coming heat regulation regime

29:12 Corporate PPAs, pricing, risk allocation and lender expectations

37:10 Private wire arrangements and local energy solutions

38:54 Green leases, "bankable" clauses and aligning landlords and tenants

44:57 Sharing knowledge, collaboration and what comes next for the sector

About Jonathan Cohen

Jonathan Cohen is a Partner at Fladgate specialising in energy and low carbon infrastructure. He advises utilities, developers, major energy users, real estate investors, funders and energy services companies on the full life cycle of clean energy projects, from rooftop solar and battery storage through to district heating, EV charging and complex corporate PPAs.

With more than twenty years of experience in the sector, Jonathan brings a detailed understanding of how regulation, contracts and financing structures shape the economics of energy for buildings, and how the right structures can protect value for both owners and occupiers.

“Risk is often marginalised, especially during bull markets. We believe it should drive decision-making and portfolio construction at all times.”

For Evonite, risk is the foundation of every decision. The firm focuses on medium-risk, value-add investing, built on disciplined underwriting, transparent analysis, and consistent performance for investors, not asset gathering.

Jose Luis Pellicer explains how this philosophy came to define the business. Trained as an applied economist, he began his career analysing industries at Deutsche Bank before moving into real estate, a sector that combined geography, finance, corporate structure, and competition. Working with mentor Nick Tyrrell, he learned to approach property from first principles. That outsider’s perspective still shapes how Evonite challenges convention today.

The Global Financial Crisis reinforced a central lesson: markets are driven by stories as much as by numbers, and people follow the herd. Pricing becomes detached from fundamentals until it no longer can. The skill lies in recognising when that exuberance has gone too far and acting accordingly.

At the centre of Evonite’s approach is the Evonite risk score, a consistent analytical framework that measures and compares every potential investment before capital is deployed. It defines risk as financial downside, the risk of not achieving the underwritten return. Built on three core property risks: depreciation, vacancy, and liquidity, it blends scientific structure with human judgement to create a common scale for all deals.

Evonite launched in 2024 to deliver investor performance in a market dominated by scale, to stay nimble in a changing geopolitical and regulatory landscape, and to bring consistent, transparent risk assessment into every decision.

The conversation challenges consensus views and explores where opportunity may lie in sectors that most investors have written off, and why discipline, rather than conviction alone, will define success in the years ahead.

Episode Chapters

00:00 Introduction to ESG in Property Podcast

02:11 Jose's Journey into Real Estate

09:32 Influential Figures and Learning Resources

19:58 Founding Principles of Evonite

26:18 Understanding Risk in Property Investment

27:06 Evonite A New Approach to Real Estate

28:54 Defining and Managing Risk

33:16 Strategies for Risk Management

36:49 Navigating High-Risk Investments

37:53 Contrarian Views on Investment Sectors

43:37 The Future of Office Spaces

44:52 Researching and Assessing Risks

51:25 Looking Ahead: The Future of Evonite

About Jose Luis Pellicer

Co-Founder and Head of Strategy at Evonite. Applied economist by background and former Global Head of Investment Strategy at an international real estate platform. With more than 20 years’ experience in European markets, his work focuses on risk, pricing, and portfolio construction, challenging the conventions of real estate investing.

“To be green, the numbers have to be green.”

For EGLS, sustainability is not an add-on. It is the business model. The company was founded to create the industrial buildings of the future, with a clear view that long-term value comes from embedding sustainability in every decision.

CEO Ian Worboys explains how this works in practice. Warehouses must stand for 75 years, which means thinking beyond rent levels to lifecycle cost, resilience, and community impact. In a market where a significant proportion of UK logistics stock remains below EPC C, EGLS focuses on repositioning and retrofitting existing assets, proving that preservation and upgrade can protect investor returns while avoiding stranded assets.

Ian outlines how the investment case is shifting. Green assets achieve valuation premiums, reduced voids, and access to favourable financing through green bonds. Occupiers like DHL and Amazon now demand sustainable buildings to meet their own carbon commitments. The job is to win over the CFO as much as the real estate team, by showing that being green protects the bottom line.

At the same time, EGLS pushes the boundaries of new development. Low-carbon materials, advanced construction techniques, solar integration, and hydrogen power are explored across projects, with each scheme treated as a chance to learn and improve. This culture of evolution defines the company’s approach.

Social value is equally central. The “Happy Worker” idea is built on evidence that better air quality, natural light, outdoor space, and amenities reduce absenteeism and improve productivity. From showers and bike sheds to landscaped areas with flowers, the details matter. Happier workers create a positive flow-on effect for families, neighbours, and communities.

Good governance underpins everything. EGLS’s leadership team is built on decades of shared experience and trust, with governance structures in place from day one through parent company Kamco. This combination of cultural alignment, compliance, and long-term thinking ensures the company can scale across Europe while staying accountable.

Episode Chapters

00:00 Foundational Vision: Personal Journeys and the Birth of EGLS

06:18, The Financial Mandate: Proving ESG Value and Stakeholder Education

14:40, Operational Strategy: Repositioning Assets, Supply Chain and Social Design

26:15, Governance, Evolution, and Looking to the Future of Logistics Spaces