Climate Action Roadmap (CAR)
A CAR is a data-based strategic analysis and action plan. Its purpose is to identify, plan and implement measures that reduce CO2 emissions, improve energy efficiency and integrate sustainable solutions across a property’s entire life cycle. It is a tool for property owners to transition to net-zero before a set deadline.
An important step towards future-proof solutions
The real estate industry accounts for a significant part of global greenhouse gas emissions. Both through construction, operation and demolition – and especially through the consumption of energy and materials.
By systematically addressing emissions at all stages, a CAR analysis makes it possible to make effective decisions on an informed basis. So, as the real estate sector seeks to align with global climate goals, implementing a CAR is a valuable step towards creating future-proof solutions.
Purpose and benefits of CAR in the real estate industry
The main purpose of a CAR is to help property owners and asset managers systematically reduce emissions while ensuring compliance with ever-changing climate regulations, financial incentives, and market expectations.
By implementing energy-efficient improvements, electrification, using renewable energy and more sustainable materials, property owners can increase property value, reduce operating costs and reduce climate-related risks. Additionally, properties with certifications and high energy efficiency often achieve higher rental income and occupancy rates, providing a competitive advantage in the market.
An example of a CAR case
In the spring of 2025, we prepared two CAR reports for a client’s properties. Based on suggestions identified during onsite inspections and desk studies, several analyses were conducted. This resulted in a plan for the properties’ reduction of CO2 operational emissions (decarbonisation pathway) and potential for the path towards energy reduction (energy reduction pathway).
Assuming the proposed ESG initiatives were integrated into the maintenance plans, the energy reduction pathway indicated a possible decrease of 68% in electricity consumption and 87% in heat consumption for Property A, as illustrated below. For both properties, the greatest energy saving potential was found in heat consumption through optimization of the building envelope.
Table 1: Property A’s energy reduction cycle
Below is the plan for the properties’ reduction of CO2 operational emissions for Property A. The analysis showed that under the current technological and regulatory conditions, the property is not expected to reach operational net-zero CO₂ operational emissions by 2040. However, this may become possible over time as technologies evolve, and legislation adapts.
Table 2: Property A’s CO2 reduction pathway
As shown, the plan for the reduction of CO2 emissions from properties intersects with the target trajectory in 2039, just one year ahead of the CAR’s net-zero target in 2040. At that time, the property’s annual operational CO₂ emissions are expected to be 2,405 kg, corresponding to 0.69 kg CO₂e/m² (CO2 equivalents per square meter). In comparison, the CRREM (Carbon Risk Real Estate Monitoring) tool indicates a target of 1.44 kg CO₂e/m² for similar properties in Denmark by 2050.
Tailor-made CAR for your property
At CEJ, we believe that proactive climate action is not only a regulatory necessity, but also a strategic opportunity. A CAR provides a clear, long-term and data-driven basis for making well-considered decisions that strengthen both the environmental performance and the value of the property.
By identifying tailored CO2 reduction and energy reduction pathways, we help our clients future-proof their properties, meet ESG expectations and stay ahead in a rapidly evolving space. Whether you’re managing a single building or an entire portfolio, a CAR can serve as a powerful tool for navigating the transition towards lower carbon footprints, higher energy efficiency, and sustainable solutions.
If you want to hear more about how a CAR can benefit your properties, or if you want to explore a ‘roadmap’ adapted to your portfolio, we are ready to help. Contact our Energy and Environment Department.