The impact of green certifications on rents, prices, and values.
Insight
12 August 2024
Turning Green to Gold
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Sustainability in real estate is becoming a crucial aspect of driving returns for property owners and enhancing asset value.
This report delves into the economic benefits of green buildings and highlights the significance of certifications in boosting property values. With rising ESG demands, now is the time to invest in green-certified properties.
- Green Star 4-6 Star ratings: Assets that achieve the highest levels of Green Star certification command a 3.7% - 7.5% sales premium.
- Occupiers seeking certified space: Vacancy rates for green-certified properties are low, averaging between 1% and 2%, which means more consistent returns for landlords.
- Future-proofing commercial real estate: The rising importance of emissions reduction and ESG credentials as regulations are formalised in the coming years will reinforce the value differential between green-certified and uncertified assets.
Learn more about how embracing sustainability can enhance asset values and keep astute investors ahead in the evolving real estate market. Download our latest research below.