Key Takeaways
- • Principal Asset Management and Longevity Partners launched REsponsible Asset Solutions (RAS), a platform designed to help institutional real estate owners identify, underwrite, and execute decarbonization initiatives that reduce energy consumption and enhance asset value.
- • RAS combines Principal Asset Management's real estate platform, which manages $108 billion in real estate assets under management, with Longevity Partners' engineering, procurement, and implementation capabilities.
- • The model has been tested across 14 institutional real estate assets, where rooftop solar and demand-side energy initiatives met investment return thresholds and are projected to cut energy consumption by 37% and generate more than $10 million in additional asset value at exit.
- • RAS offers standardized contracting approaches, investment prioritization frameworks, and asset-class and region-specific interventions designed to scale decarbonization across portfolios.
Summary
Principal Asset Management and Longevity Partners today announced the launch of REsponsible Asset Solutions (RAS), a new platform aimed at institutional real estate owners seeking to decarbonize their assets while meeting investment return objectives. The platform is intended to help owners identify, underwrite and execute projects that improve building performance, reduce energy consumption and support long-term asset value.
RAS combines the institutional investment expertise of Principal Asset Management's dedicated real estate platform, which the companies describe as a top-10 global real estate manager with $108 billion in assets under management and more than 65 years of experience, with the engineering, procurement and implementation capabilities of Longevity Partners. Principal Asset Management is the global investment solutions business for Principal Financial Group (Nasdaq: PFG), which manages $601.9 billion in total assets as of June 30, 2026, according to the release.
Rajee Harris, senior managing director and chief business officer of private markets at Principal Asset Management, said institutional investors increasingly recognize that building performance affects asset value, operating income, financing conditions, tenant demand and competitiveness. She said the market has generally lacked firms able to both identify and execute projects that deliver measurable sustainability outcomes alongside financial return expectations.
The companies say the RAS model has been developed through implementation across 14 institutional real estate assets, where rooftop solar and demand-side energy initiatives were identified that met investment return thresholds. Once fully implemented, these projects are projected to reduce energy consumption by 37% and generate more than $10 million in additional asset value at exit. The platform incorporates standardized contracting approaches, investment prioritization frameworks and a suite of interventions tailored to different asset classes and regional markets. Unlike traditional consultancy-led approaches, the companies state that RAS combines investment discipline with technical execution to approve and implement initiatives at portfolio scale.
Jessica Francisco, chief executive officer of Longevity Partners, said the market "does not lack ambition or capital" but lacks execution models that consistently satisfy investment committee requirements. Longevity Partners, founded in 2015, describes itself as a global sustainability partner to real estate investors, developers and occupiers, operating in more than 45 countries.
RAS combines the institutional investment expertise of Principal Asset Management's dedicated real estate platform, which the companies describe as a top-10 global real estate manager with $108 billion in assets under management and more than 65 years of experience, with the engineering, procurement and implementation capabilities of Longevity Partners. Principal Asset Management is the global investment solutions business for Principal Financial Group (Nasdaq: PFG), which manages $601.9 billion in total assets as of June 30, 2026, according to the release.
Rajee Harris, senior managing director and chief business officer of private markets at Principal Asset Management, said institutional investors increasingly recognize that building performance affects asset value, operating income, financing conditions, tenant demand and competitiveness. She said the market has generally lacked firms able to both identify and execute projects that deliver measurable sustainability outcomes alongside financial return expectations.
The companies say the RAS model has been developed through implementation across 14 institutional real estate assets, where rooftop solar and demand-side energy initiatives were identified that met investment return thresholds. Once fully implemented, these projects are projected to reduce energy consumption by 37% and generate more than $10 million in additional asset value at exit. The platform incorporates standardized contracting approaches, investment prioritization frameworks and a suite of interventions tailored to different asset classes and regional markets. Unlike traditional consultancy-led approaches, the companies state that RAS combines investment discipline with technical execution to approve and implement initiatives at portfolio scale.
Jessica Francisco, chief executive officer of Longevity Partners, said the market "does not lack ambition or capital" but lacks execution models that consistently satisfy investment committee requirements. Longevity Partners, founded in 2015, describes itself as a global sustainability partner to real estate investors, developers and occupiers, operating in more than 45 countries.
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