The term “primary return is societal” refers to the idea that the primary benefit or return on investment from a particular real estate development or project is not solely financial, but rather benefits society as a whole. This concept is often associated with socially responsible investing in real estate.
Examples of real estate projects with a primary return that is societal might include affordable housing developments, green buildings, or mixed-use developments that incorporate public spaces and community amenities. While these projects may not generate the highest financial returns, they provide important benefits to the community, such as improving quality of life, increasing access to affordable housing, reducing carbon emissions, and promoting economic development.
From an investor’s perspective, investing in real estate with a primary return that is societal can provide both financial and non-financial benefits. While the financial returns may not be as high as some other real estate investments, socially responsible investments can provide investors with a sense of purpose and impact, as well as a potential for long-term growth and stability.
In summary, the concept of “primary return is societal” in real estate acknowledges that the benefits of a particular development or investment go beyond financial returns, and includes benefits to the broader community. By considering the societal impacts of real estate investments, investors can make more informed decisions that align with their values and long-term goals.