The commercial real estate industry (CRE) is at a crossroads. Industry players are posting average growth. Technology is changing the way in which real estate business is done. Client needs for physical space are also changing due to increased use of technology and enhanced environment consciousness, among other things. This in turn is changing the nature of demand for physical real estate space. As such, new development activity is at record lows across most property types, except multifamily and hotels.
So what can CRE players do to break out of the old mold? Sustainability may be the answer.
CRE players need to answer the big questions: Why do we do it? What is the goal? They need to evaluate sustainability adoption in the context of the environmental impact of buildings and the benefits that accrue to property owners in terms of growth in top line, bottom line and asset valuations and to tenants in terms of operational efficiency and productivity.
Read this paper to learn about the demand for green buildings, myth versus reality in sustainability, and what’s next for sustainability in real estate.