2.0 Why the sector needs to act

The land, construction and real estate sector represents more than half of global wealth. It is also one of the most influential sectors when it comes to impacting the health and well-being of people and the environment.

By providing housing, the land, construction and real estate sector fulfils one of humanity’s fundamental needs. As well as offering homes and educational and recreational facilities for communities, the sector has the potential to positively impact local economies by providing jobs and training. In addition, through their architectural design, buildings can also create cultural value. Figure 2 illustrates the sector´s sustainability impact at every stage of its life cycle and its relevance for implementing the SDG. Global demographic shifts related to population growth, urbanisation in developing countries, changing household sizes and increasing levels of wealth are all bound to further exacerbate this impact.

We are all touched by real estate, as we all live, work and socialise in buildings.

Figure 2

The sector’s sustainability impact and its relevance for implementing the SDGs

Relevant for SDGs 7, 11, 12 and 13 Land-use patterns, planning and design, and construction practices and materials are major determinants of greenhouse gas emissions

Relevant for SDGs 3, 6, 11, 12 and 15 Construction and end-of-life waste generation and disposal affect the environment and communities

Relevant for SDG 16 Corrupt practices in planning, real estate and construction take a social, political and economic toll

Relevant for SDG 11 Availability and quality of housing is a major quality-of-life determinant

Relevant for SDGs 1, 8, 10 and 16 Construction and real estate development traditionally offer a pathway out of poverty through fostering economic growth and employment opportunities, but the processes involved often do not have built-in human and labour rights safeguards