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Accacia tackles the real estate industry’s massive carbon emissions problem • TechCrunch

The property and infrastructure sectors contribute around 40% of global carbon emissions, and part of the solution to the climate crisis is to fix how those industries operate. Accacia gives large property owners a way to track their carbon impact in real-time by integrating with ERPs and property management systems like Yardi. It has already deployed to more than 20 million square feet of real estate in Asia and today announced $2.5 million in seed funding that will be used to expand across Southeast Asia, the Middle East, the United States and Canada.

The funding was led by Accel and B Capital. Participants included Blume Ventures, Good Capital, Zerodha’s Rainmatter Fund, Loyal VC and angel investors.

Founded in 2022 by Annu Talreja, Piyush Chitkara and Jagmohan Garg. Prior to Accacia, Talreja worked in real estate for over 15 years, with companies such as AECOM and Marriott.

During that time, she has seen an evolution in how the industry has been affected by climate-related events.

Accacia Founder and CEO, Annu Talreja

Accacia Founder and CEO, Annu Talreja

“Climate change-led flash floods, hurricanes and wildfires have affected real estate prices worldwide and rising energy costs have necessitated the use of alternative energy sources,” she told TechCrunch. “Unlike many other sectors, the impacts of climate change in real estate are ‘here and now’ and as someone who has worked in building design, construction and investments, the combination of my skills has enabled me to look at these impacts in a holistic way.”

Accacia’s target customers are large property owners and asset managers, including REITs, pension and sovereign funds, and developers. Most own and manage real estate AUMs in excess of $1 billion. Accacia’s platform can track carbon emissions from all investment asset classes, including commercial, retail, multi-family housing and data centers. It is also used by consulting firms serving real estate and infrastructure companies that have set net-zero goals.

Emissions tracked by Accacia include Scope 1 (direct emissions), Scope 2 (indirect emissions from the purchase of generated energy) and Scope 3 (emissions from a company’s value chain) for real estate, including embodied carbon, financed emissions and emissions from business operations.

An example of how Accacia can be used is a commercial real estate fund that has more than 10 million square feet of assets. After deploying Accacia, it was able to reduce its direct emissions by 20% within the first six months of using the platform. Another client, a listed hotel company with more than 100 assets, used Accacia to reduce its Scope 3 emissions through the platform’s supplier recommendation engine.

In a statement about the investment, B Capital partner Karan Mohla told TechCrunch: “As an industry, real estate and infrastructure require a nuanced and focused approach to climate reporting, adaptation and mitigation. Accacia is taking a leadership role in building ‘ a global platform to solve this challenge. AB Capital. We believe in their vision to build a technology-led and scalable SaaS platform to reach zero targets for property owners and asset managers.”

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