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April 30, 2025

CSR in Real Estate: How Developers Can Build for Impact

The built environment space, which plays a crucial role in affecting both the natural world and human habitat, has undergone significant transformation over the years. In the last ten years, this transformation has led a select group of developers to prioritize creating and supporting communities that emphasize sustainability.

Consequently, practices focused on sustainable community development and design have become more prevalent during various phases such as planning, designing, constructing, and managing these spaces. The overarching goal is to contribute positively to society while fostering long-term socio-economic growth opportunities.

Therefore, sustainable development is often closely linked with Corporate Social Responsibility (CSR) and Corporate Environmental Responsibility (CER) across numerous sectors. The importance of these elements is recognized in many industries, with real estate being a notable example where these principles are increasingly integrated.

But why real estate?

Developers can play a crucial role in influencing the future of urban areas and communities, which underscores the importance of their involvement in CSR. With the rise in urban populations and escalating environmental and climate challenges, real estate developers face increased expectations to prioritize projects that serve societal and ecological interests, rather than merely focusing on financial gains. By doing so, they can significantly contribute to creating spaces that are financially viable, socially accountable, and environmentally sustainable.

What is happening on the ground?

Developers are integrating CSR into their work and making a lasting impact by various methods:

Embracing sustainable building practices

Sustainability has become a key factor for the real estate construction segment. Developers have an opportunity to create environment-friendly spaces by utilizing sustainable materials, energy-efficient designs, and low-impact construction practices. By prioritizing eco-friendly features, such as the use of renewable sources of energy like solar panels, efficient insulation, and water-saving technologies, developers can help reduce the carbon footprint of their projects.

Certifications like LEED (Leadership in Energy and Environmental Design) can guide developers to ensure their buildings meet high environmental standards. Sustainable practices in real estate development contribute not only to reducing the negative effects on the environment but also to long-term operational savings for the building owners and tenants.

Since builders are recreating habitats by building communities in the areas where they are developing projects, it becomes their responsibility to keep these places sustainable for future generations.True impact arises when developers address genuine community needs—such as improving water and energy systems—while preserving the natural habitat and protecting local biodiversity.

Developers must strive to minimize the use of natural resources and take a holistic approach to understanding how their projects affect the ecosystem. Whether creating new developments or restoring existing habitats, it’s essential to assess and respect the local natural resources being utilized. By designing interventions that align with both environmental integrity and the needs of the surrounding community, developers can create meaningful value—not only for their customers but also for the broader community where these projects are rooted.

Achieving environmental sustainability through CER initiatives is possible by incorporating eco-friendly construction techniques, effective waste management, and energy-saving measures across projects. Real estate developers can strive to reduce their ecological footprint. Simple initiatives like encouraging tree planting and conducting awareness campaigns on sustainable living can greatly contribute to environmental preservation.

Going beyond construction – Building a resilient community

A deep dive into pandemics and natural calamities reveals valuable insights into the critical importance of designing communities and shelters that are both autonomous and resilient. These structures must be capable of withstanding not only the forces of nature but also the challenges posed by human-made threats. Resilience, however, extends beyond mere environmental responsibility and construction efforts; it involves fostering a community that is both socially conscious and economically robust. Consequently, the focus for companies striving to make a meaningful impact has been on cultivating resilient communities.

In the same way that the strong definition of sustainability outlines—meeting the needs of the present without compromising the ability of future generations to meet their own needs—developers play a crucial role in designing and operating buildings as examples of strong sustainability. These buildings must prioritize long-term impact. Strong communities are foundational to strong sustainability—achieved through the creation of facilities that support sustainability, raising awareness among all stakeholders, and investing in essential infrastructure tailored to the needs of local communities through CSR and CER efforts.

Urban planners, developers, and other stakeholders in design, such as architects, have grasped this concept and are committed to generating enduring value for society.

Companies aiming to make a significant impact can partner with local governmental entities to improve critical infrastructure like roads, drainage systems, community centres, police stations, primary healthcare facilities, and gram panchayat offices. This strategy not only improves residents’ quality of life but also stimulates economic growth by generating jobs and aiding local enterprises.

What would take us ahead?

Real estate projects often bring new economic opportunities to the local area. Developers can support local economies by hiring locals, sourcing materials from local suppliers, and encouraging the use of regional contractors and businesses. This not only stimulates job creation but also helps retain financial resources within the community. Mixed land use provides opportunities for local entrepreneurs and small businesses to thrive. By providing space for small businesses to operate, developers help cultivate a vibrant, diverse local economy.

CSR in real estate is not just about building and completing a project but also about creating lasting, positive legacies for the community. The integration of CSR into real estate development is no longer just a “nice-to-have” but a critical factor in creating sustainable, livable, and inclusive communities. Real estate developers who take a proactive approach to CSR not only can help address pressing societal challenges but can also build a foundation for future success, ensuring that their projects leave a positive legacy for generations to come.

Views of the author are personal and do not necessarily represent the website’s views.

Kalakuntla Jeevana is the Head Sustainability & CSR at Sumadhura Group. She has been the driving force behind CSR at Sumadhura for more than a decade. As the Head of Sustainability and CSR at Sumadhura Group, she is dedicated to leading initiatives that drive lasting impact. Her focus on green building certifications, including IGBC and USGBC, ensures that Sumadhura group’s projects are not only environmentally responsible but also practical, adoptable, and easy to maintain. She is passionate about creating a sustainable future, where every initiative—whether in construction or community development—leads to positive, long-term change.

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