In today’s rapidly evolving business landscape, sustainability and social responsibility are not optional—they’re essential. At Centrick, we’re proud to be on a journey to achieve B-Corp certification, a status that underscores our commitment to environmental, social, and governance (ESG) principles. Recently, Chris Whiley, our Group Projects Director, joined a webinar hosted by the Association for Rental Living to discuss how B-Corp certification benefits the Build to Rent (BTR) sector and the broader property industry. In this blog we’re delving into what is empowering Chris and the team when it comes to B-Corp certification, what B-Corp certification means, and why it’s a game-changer for the property sector.
What Is B-Corp Certification?
Firstly, what is B-Corp all about? In essence, B-Corp certification is a designation that verifies a company meets high standards of social and environmental performance, transparency, and accountability. Unlike traditional corporations, which primarily focus on financial profitability, B-Corps consider the interests of all stakeholders, including employees, communities, customers, and the planet.
To earn this certification, a company must score at least 80 points on B Lab’s rigorous assessment, which evaluates various aspects of a company’s impact on society and the environment. Additionally, B-Corps must amend their legal governance documents to ensure they are accountable to all stakeholders—not just shareholders. B-Corp status is something Centrick is currently on a journey to achieving, and we hope to gain this status by December 2024.
The Power of ESG
B-Corp certification has been around since 2007 and has become an increasingly important standard for businesses across the globe to aim for ever since. This is only bolstered by the boost to green sentiment we’ve seen over the last decade and expect to accelerate over the coming years. In fact, 86.5% of adults in Great Britain have made lifestyle changes to address environmental issues, and over half of UK consumers are ready to boycott brands that fall short on ESG standards.
This shift in consumer behaviour is why B-Corp and similar certifications have become so crucial. Deloitte reports that 34% of consumers would trust a brand more if it were recognized as ethical or sustainable by an independent third party. B-Corp certification serves as a powerful testament to a company’s dedication to going above and beyond mere profit, proving to clients, customers, and employees that the business is committed to making a positive impact on the world.
B-Corp and the Property Sector
B-Corp businesses span a variety of sectors, and there are now over 2,000 in the UK, from fashion to transport, publishers to engineering businesses. However, the property sector is at a particularly pivotal point in its ESG journey. With a broad industry ambition to achieve carbon neutrality by 2035, B-Corp certification has the potential to be a game-changer across the property sector. Property businesses striving for B-Corp status is a clear signal to builders, planners, developers, purchasers and residents that the properties of the past, present and future need to be built or restored sympathetically, constructed with minimal negative or even positive environmental impact, and prioritises the highest ethical standards at every single stage.
At Centrick, our pursuit of B-Corp status is rooted in our belief that it’s the right thing to do with regards to our commitment to our people and the planet. We recognize the importance of aligning with developers and investors who share our vision of sustainability and social responsibility. By becoming B-Corp certified, we’re not just ticking boxes; we’re setting a higher standard for ourselves and the industry. As a strong voice across the BTR sector, we’re championing the abundance of opportunities for B-Corps to have a strong impact on the growing build to rent sector via operational impact, strengthening stakeholder relationships, and helping BTR operators gain a more competitive edge.
Operational Impact
Achieving B-Corp certification is more than just a badge of honour—it’s a commitment to continuous improvement. This certification can significantly enhance daily operations within BTR organisations by promoting best practices in sustainable and ethical business operations. However, the true value of B-Corp lies in the mindset it fosters: a drive to do better, not just for the bottom line but for everyone involved.
During the recent ARL event, Chris Whiley emphasised that “B-Corp is more than a badge: we see it as a commitment to up our standards and to accept that we as a company have social responsibility.” This philosophy has driven Centrick to go beyond conventional recycling schemes and social activity incentives. We’ve partnered with charities, invested in employee well-being through initiatives like Perkbox and company healthcare schemes, and focused on understanding and reducing our carbon footprint. Our journey towards B-Corp certification is a testament to our commitment to operational excellence and social responsibility.
Strengthening Stakeholder Relationships
B-Corp certification also plays a crucial role in enhancing relationships with tenants, employees, investors, and other stakeholders. It signals to everyone we work with that Centrick is a company that genuinely cares about its impact on the world. This certification provides a structured approach to tracking and improving our social and environmental impact, offering stakeholders the transparency they need to feel confident in their partnerships.
Gaining a Competitive Edge
In an increasingly competitive market, B-Corp certification offers strategic advantages that go beyond improved brand perception. It can lead to increased tenant loyalty, stronger relationships with investors, and a more robust position in the BTR market. As consumer sentiment continues to shift towards environmental consciousness, BTR residents are not just looking for a place to live—they’re searching for homes they can be proud of, properties managed by a company that puts ESG at the forefront of its operations.
Centrick’s commitment to sustainability has already resonated with our tenants, as evidenced by the feedback from the Love Where You Live survey. This research revealed that energy efficiency is a top priority for our tenants, not just for cost savings but because it reflects a commitment to sustainability. By pursuing B-Corp certification, we’re meeting this demand head-on, ensuring that our properties are not only comfortable but also aligned with our tenants’ environmental and social values that don’t just ensure the BTR properties we manage are energy efficient, but homes to be truly proud of.
Centrick’s Commitment to B-Corp Certification
At Centrick, our journey to B-Corp certification is well underway, with a target to achieve accreditation by December 2024. But our ambitions don’t stop there. We aim to set a new standard for sustainability in the property sector, encompassing all areas of our business—not just our BTR offerings. Our vision includes achieving net zero carbon status, minimising our carbon footprint, reducing waste, fostering a diverse and supportive workplace, and building meaningful, thriving communities.
We believe that B-Corp certification is not just a goal but a pathway to making a lasting positive impact on our industry and the world. If you’d like to learn more about our ESG strategy or discuss how we’re working to transform the property sector, please download our ESG strategy document below or reach out to Chris Whiley at chris.whiley@centrick.co.uk. Join us on this journey to make the property sector more sustainable, responsible, and forward-thinking. Together, we can build a better future for everyone.
