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Earning trust: Real estate developers and investors can heed lessons from how the social licence to operate has become a vital component of delivering successful infrastructure projects
- April 1, 2025: Vol. 19, Number 4

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Earning trust: Real estate developers and investors can heed lessons from how the social licence to operate has become a vital component of delivering successful infrastructure projects

by Kali Persall

When it comes to delivering infrastructure projects, establishing trust and goodwill with local communities and stakeholders is paramount.

Cultivating strong relationships is even more important when large projects could potentially strain local resources or affect the environment or communities where people live and work.

The social licence to operate is an unwritten contract of trust and ongoing approval between an operator and the local community or other stakeholders, which is being increasingly applied to large infrastructure projects. Although there is no legal binding to this intangible framework, its importance should not be underestimated. As the manager PATRIZIA puts it: “Ongoing community acceptance and support is hard to define, difficult to get, easy to lose and, if lost, near impossible to get back.”

Indeed, the presence or lack of a social licence could mean the difference between a project’s success or failure, and it could either enhance o

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