New report maps opportunities to align real estate investment with affordability and climate goals

The Taskforce on Affordable and Sustainable Housing (TASH) warns that across Europe institutional investment in housing remains concentrated in speculative models - with negative consequences for affordability, the environment and social stability. A new report identifies existing alternative approaches for policymakers and investors.

As institutional capital investment continues to grow across European housing markets, a new report launched today (Tuesday 24 March 2026) on the housing rights and climate impacts of real estate investment warns that prevailing approaches may be intensifying economic and societal risks.

Living at the Crossroads: Affordability, Climate, and Real Estate Investment, the inaugural report from The Taskforce on Affordable and Sustainable Housing (TASH), maps how institutional real estate investors influence issues of housing rights and climate change in Europe’s housing markets - both positively and negatively. 

As the EU faces a housing crisis, with 8.2% of Europeans spending more than 40% of their disposable income on housing, the report provides investors and policymakers with evidence to rethink housing investment:

• Investor model determines outcomes: The report maps three housing investment pathways, showing how different capital structures directly affect social cohesion, climate risk, and market stability.
• Speculative models dominate: The report finds that most institutional capital in European housing remains concentrated in short-term, asset-level risk management models that can exacerbate unaffordability, poor climate outcomes and market volatility.
• Alternatives exist: Innovative system-level and impact-led investment models aligned with housing rights and climate goals already operate across Europe – ready for policymakers to set clear frameworks that incentivise returns alongside housing affordability and for investors to de-risk their portfolios.
• Social risk is investment risk: For investors, integrating affordable, energy-efficient, and resilient housing into portfolio strategy is essential to social stability, economic resilience, and market integrity. 

TASH is a collaborative initiative to integrate human rights and climate considerations into housing investment and policy. Convened by the Predistribution Initiative (PDI), IHRB, and The Shift, with the International Union of Tenants (IUT) and the World Benchmarking Alliance (WBA), TASH supports the co-creation of standards and accountability mechanisms for sustainable, affordable, and rights-based housing solutions.

Giulio Ferrini, Head of Built Environment at the Institute for Human Rights and Business, said: “As the EU’s Affordable Housing Plan seeks to attract hundreds of billions in private investment to address Europe’s housing cost crisis, now is a pivotal moment to distinguish between investment models that exacerbate unaffordability and emissions and those that solve them. This report marks an important step in providing investors with evidence to assess their real estate portfolios, recognising that housing rights and climate resilience are not just ESG considerations - they are critical to managing long-term financial risk and contributing to stability.”

Raphaele Chappe, Director of Economic Research at the Predistribution Initiative, said: “Trillions in institutional capital are reshaping housing markets, yet the pathways through which this capital affects affordability, emissions, and systemic risk remain poorly understood. This report begins to close that gap. Investing with housing affordability and climate resilience in mind is not a niche impact strategy but a core approach to mitigating systemic risks that erode long-term returns. For policymakers, the report provides the evidence base to ensure that private capital flowing into housing serves long-term public benefit.”

Marta Ribera Carbó, European Project Director at The Shift, said: “It is necessary to underscore the impacts of treating housing as a financial asset rather than a human right, but also to point out the opportunities we have to tackle financialisation and the twin housing and climate crises across Europe. Through exhaustive research, "Living at the crossroads" analyzes how different housing systems address housing affordability, sustainability, habitability and security of tenure, and highlights paths towards investment models aligned with existing legal frameworks on the right to housing.”

Barbara Steenbergen, member of the Executive Committee and Head of the International Union of Tenants' Liaison office in Brussels: “Housing is a human right, not a commodity. This report clearly shows that the way institutional capital is deployed has direct consequences for affordability, security of tenure, and living conditions across Europe. At a time of growing inequalities and a deepening housing crisis, with millions of people across Europe and beyond struggling to access adequate housing, we need investment models that support tenants, strengthen protections and safeguards, and deliver genuinely affordable and adequate housing for all.”

Sibora Dhima, Partnerships Lead at the World Benchmarking Alliance said: “Housing markets are being reshaped by global capital flows, yet transparency on their real-world impacts remains limited. By bringing together perspectives from investors, policymakers and civil society, this report helps clarify how different investment approaches affect affordability, resilience and stability. At the World Benchmarking Alliance, we see this shared evidence base as essential for aligning capital with outcomes that work for both people and planet.”

To download the full report, please visit: https://www.ihrb.org/resources/living-at-the-crossroads-affordability-climate-and-real-estate-investment