The Real Deal Miami

National study finds that green buildings yield greater investment returns

November 17, 2010 04:29PM

Sustainable buildings are expected to generate stronger investment returns compared to traditionally managed properties, according to an ongoing study of a national office portfolio managed by CB Richard Ellis. The study found that owners of sustainably managed buildings anticipate a 4 percent higher return on investment than do owners of traditionally managed buildings, as well as a 5 percent increase in building value. About 79 percent of owners surveyed believe that sustainable properties perform well in attracting and retaining tenants, resulting in a 5 percent increase in building occupancy and 1 percent increase in rental income. The study also found that tenants in sustainably managed buildings reported increased productivity, satisfaction and health. The study defined a green building as those with LEED certification at any level or those that have an energy star label from the Environmental Protection Agency. TRD