Invested In Climate

Reshaping real estate with Pearl & Clean Energy Ventures, Ep #51

May 9, 2023

48:52

You probably know that buildings and the built environment account for 40% of our emissions and about 40% of our energy use. Many bright minds are working on this problem, but it remains a tricky one. In the residential market, homeowners are often reluctant to undertake renovations, and when they do, they usually lack the information and contractors they need to consider energy-efficient and climate-positive options.

Now, imagine a world where all homes were rated based on their energy efficiency and environmental impact, and that rating influenced their financial value. Furthermore, imagine if the rating included a recommended retrofitting strategy. That would be a game-changer, right? This is the world that a start-up called Pearl Certification is attempting to create. I have to say, I really love this systems change approach that could shift incentives and behavior in real estate.

In this episode, I'm joined by Pearl CEO and Founder Cynthia Adams, as well as one of her investors, Lou Schick from Clean Energy Ventures. We discuss Cynthia and Lou's extensive experience in the built environment and real estate markets, Pearl's growth and potential, how this space will evolve in the future, what we need to do to get there, and much more. Enjoy!

In today’s episode, we cover:

[3:29] Pearl, Cynthia’s role & why she got involved in climate work
[6:37] Clean Energy Ventures, Lou’s role & why he got involved in climate work
[7:43] CEV’s investment thesis, their approach to potential climate investments & what led to their investment in Pearl
[9:26] The business opportunity with Pearl
[11:00] Pearl’s climate impact through certifying buildings
[12:38] Pearl’s demand, target market, reach & the evidence for demand
[16:12] Consumer interest in retrofitting homes & investing in clean energy products
[19:17] Partnerships to Pearl’s growth
[22:10] How Pearl’s helping homeowners in the next phase
[23:59] What Lou is excited about in these spaces
[25:32] The gaps in electrification
[31:15] The future outlook in 5-10 years
[36:02] The most concerning problems within the built environment
[41:01] The government’s role in building markets
[43:10] How the Inflation Reduction Act benefits homeowners
[47:09] Call to action for listeners who want to support the built environment transition