Practices, drivers and barriers of implementing green leases: lessons from South Australia

Abstract

Purpose

This paper aims to investigate the practices, drivers and barriers which influence the implementation of green leases in South Australia. Despite some efforts on legal aspects of green leases, only a few studies have examined these aspects from an operational perspective. In addition, very little empirical evidence was presented in previous studies to show how green leases work in real-life settings.

Design/methodology/approach

Data were collected using semi-structured interviews with landlord and tenant representatives who have considerable experience in green leases. These interviewees were selected via a purposive sampling technique that identified buildings which use green leases in South Australia. The concept of interface management (IM) was used to operationalize this research.

Findings

The green leases were found to be mainly initiated by tenants while government involvement, economic and environmental benefits are the main drivers in South Australia. Drivers such as staff retention, well-being and corporate social responsibility are found to be more relevant to tenants. Lack of awareness and transaction costs are the main barriers to the implementation of green leases.

Research limitations/implications

This study focuses on the South Australian context and mainly covers dark green leases. There are implications for the government’s continued involvement and the promotion of lighter shades of green leases to overcome operational issues and barriers identified in this study.

Originality/value

This study contributes to the body of knowledge on the subject of green lease implementation from an operational perspective. In addition, the study introduces a conceptual framework via IM that could be used in future research endeavours.

Citation

Rameezdeen, R., Zuo, J. and Stevens, J. (2017), "Practices, drivers and barriers of implementing green leases: lessons from South Australia", Journal of Corporate Real Estate, Vol. 19 No. 1, pp. 36-52. https://doi.org/10.1108/JCRE-04-2016-0018