When Buildings Talk, We Listen.

Why Going Green Makes “Cents”

Green building isn’t just good for the environment, it can be an economic advanage. Scientific research has proven that building, leasing, and purchasing Green buildings is a sound economic investment.

ENERGY AND RESOURCE SAVINGS
LEED-certified buildings deliver the following savings:

• Energy usage: 30-50% savings
• Carbon emissions: 35% savings
• Water emissions: 40% savings
• Solid waste: 70% savings

REAL ESTATE GAINS
Rental Premiums
According to a CoStar study, LEED-certified buildings command rent premiums of $11.24 per square foot above non-LEED counterparts and have 3.8 percent higher occupancy. Rental rates in ENERGY STAR buildings represent a $2.38 per square foot premium over comparable non- ENERGY STAR buildings and have 3.6 percent higher occupancy. And, in a trend that could signal greater attention from institutional investors, ENERGY STAR buildings are selling for an average of $61 per square foot more than their peers, while LEED buildings command a remarkable $171 more per square foot.

Home Sales
According to a report by GreenWorks Realty, new-construction of environmentally certified (ECert) single-family homes sold in 18% less time, sold for 4% more, and were 25% smaller than non-certified homes in the Pacific Northwest region of Kings County. Priced per square foot, ECert homes were 37% more valuable.

	ECERT	NON-CERTIFIED
NUMBER OF SINGLE-FAMILY HOMES SOLD	424	2,113
MEDIAN SALE PRICE	$487,000	$470,000
MEDIAN SQUARE FOOTAGE	1,751	2,322
NUMBER OF CONDOMINIUMS SOLD	100	435
MEDIAN SALE PRICE	$355,475	$345,000
MEDIAN SQUARE FOOTAGE	811	1,011
Information provided by GreenWorks Realty using data from NWMLS

Insurance Savings
Discounts on Insurance Premiums are beings offered for LEED-certified and other Green buildings, ranging from 5 to 10 percent. Insurance carriers believe that Green buildings have lower risks, resulting in fewer losses due to electrical and plumbing. Companies are also providing Green products, including “Green upgrades” to cover the cost of replacing standard systems with Green ones after a loss.

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