The investment goals of institutional investors and high net worth investors have shifted from exclusively financial considerations to a more expansive approach known as the Triple Bottom Line. This shift in priorities comes from the business world. The Harvard Business School Online explains:
The triple bottom line is a business concept that posits firms should commit to measuring their social and environmental impact—in addition to their financial performance—rather than solely focusing on generating profit, or the standard “bottom line.” It can be broken down into “three Ps”: profit, people, and the planet.
In the investment context, businesses that demonstrate a track record in ESG (Environmental Social Governance), deliver an enhanced return on the investment by furthering goals that are important to the investor. High net worth individuals want to make their money work for causes that matter to them, and institutional investors are fulfilling their own mandates and answering to constituencies that are calling for responsible investment strategies.
At the Neighborhood Development Company (NDC), we offer a Triple Bottom Line investment that is an excellent addition to a diverse portfolio. According to NDC CEO and Founder, Adrian G. Washington, “We are more than a real estate development company; we invest in the community and commit to socially and environmentally sustainable outcomes.” Here’s how NDC does it:
Profit
Washington, DC has always been one of the largest, stable and prolific economies in the U.S. with the Federal Government being the backbone of the local economy which gives D.C a disproportionate boost in a downturn. D.C Metro Area is fast on its way to become the tech hub of the east coast. The area is also a hub for biomedical research and biotechnology, anchored by the presence of the world’s largest research funders. All of these factors make real estate a dynamic, lucrative investment space for knowledgeable investors.
NDC focuses its development on designated Opportunity Zones that provide investors with tax incentives that add to the financial return. Through Public-Private partnerships, NDC removes a layer of risk due to the support and partial financial backing of local mission-driven DC agencies such as DHCD & LISC. Finally, the investment tracks each project timeline, which creates a foreseeable, moderate lock-in time for the investment. As a result, NDC has been able to establish a solid track record of meaningful financial returns for its investors.
People
Our projects aim to improve the existing community by offering opportunities for members of the community to continue to live, work, and contribute. We identify specific housing, retail, and commercial needs that will benefit the community at large and design projects that will enhance and improve the lives of residents.
Planet
Rated best green city, Washington D.C has the most LEED-certified space, which likely contributes to the city’s low carbon dioxide emission rates. NDC participates in this accomplishment by using leading-edge sustainable and environmental building techniques into every one of our projects.
NDC has a number of exciting opportunities for investors. Contact us today to learn more about our pipeline of upcoming investment opportunities.