Search results

The purpose of this paper is to determine if there is an impact of sustainability on the market in terms of a green premium or a brown discount on the price of commercial and residential real estate. It also seeks to identify the incentives and barriers for sustainable developments perceived by real estate professionals.

The paper investigates the impact of sustainability features on the valuation of buildings in the United Arab Emirates (UAE). The study uses a qualitative structured questionnaire to determine the views of certified real estate valuers and advisors on this subject.

The results suggest a green premium of at least 1% in the UAE, coming from both supply-side and demand-side, and in commercial and residential sectors. Key barriers for the recognition of green building value include availability of reliable market data, lack of relevant technical skills and apparent client disinterest. Initiatives that would encourage green buildings include financial incentives for key stakeholders, raising and enforcing building standards, and higher energy prices. This paper identifies policy measures that local authorities may consider in transforming to a more sustainable economy. It is expected that such changes would convey to the real estate industry and affiliated stakeholders the financial benefits to be gained from investing in green buildings.

The UAE is not a transparent environment in terms of building prices and rents, and it can be challenging even for experienced professionals to determine whether an observed higher value can truly be considered a green premium. The second issue is that the results may be affected by a “voluntary response bias”, whereby recipients who are interested in sustainability are more likely to have responded to the survey.

This paper identifies policy measures that local authorities may consider in transforming to a more sustainable economy. It is expected that such changes would convey to the real estate industry and affiliated stakeholders the financial benefits to be gained from investing in green buildings.

Most research exploring the value of green buildings originates from developed economies and its applicability to the Middle East is questionable due to its differing origins and unusual development path. This article offers new insights into an under-researched market.

This chapter aims to examine the linkages between urbanisation, real estate investments and sustainability in Turkey. To do so, theoretical and conceptual frameworks were discussed based on literature review. Through mixed-methods research, primary data were collected via questionnaires from relevant 248 company executives while secondary data were collected from relevant institutions. Data on two case study green buildings were also collected through documents from building owners and project and construction managers. The results show that many urban development, transformation and real estate projects are executed without considering sustainability principles. Thus, nationally, mixed-use real estate and green building projects are limited even though a majority of the companies surveyed (85%) designed and executed projects based on a green structure approach. Generally, the costs of green buildings are higher compared to traditional buildings. There is the need for strategic spatial plans based on reliable cadastre systems, targeting national and regional development in using existing resources efficiently and paying attention to the importance of environmental quality. For the efficiency of real estate markets, advanced real estate market and financing systems and the integration of sustainability principles into decision-making process in planning, design, construction and operation phases of projects should be considered.

The benefits of sustainability and green building practices in facility management are well established. Reduction in energy consumption, productivity increases, waste reduction, and many other beneficial effects of sustainability can be quantified and presented to an organisation's leadership in order to defend sustainable practices and their positive effect on the bottom line. Many of the positive economic effects do not show up immediately, however. One must take a long‐term view of most sustainable practices and carefully evaluate green alternatives to traditional construction, operating and maintenance methodologies. Once the life‐cycle cost (LCC) and total cost of ownership (TCO) are taken into account, an organisation can develop a much clearer picture of the benefits of sustainable practices. The facility manager is in a unique position to view the entire process and is often the leader of the only group that has influence over the entire life cycle of a facility. Therefore, the facility manager often becomes the proponent of sustainable and green practices. Armed with the proper financial and strategic planning tools, the facility manager can create long‐lasting value to the organisation by developing, implementing and maintaining sustainable facility practices.

Green buildings have proven to be essential contributors to the sustainability of buildings in the construction industry. However, in developing economies, the rate of green building adoption is slow. Moreover, the factors linked to a relatively slow adoption rarely feature in the literature. This study seeks to bridge the gap by first exploring factors influencing the adoption of green buildings. Second, analysing strategies and preferences determining the adoption of green building principles and lastly, exploring case-based opportunities for their adoption in Tanzania.

Semi-structured interviews were conducted to collect qualitative data from twelve key informants. The qualitative data were analysed using content analysis.

The findings indicate that the most influential factors in green building adoption are related to key organizational decisions. Moreover, social and environmental factors are more related to green building adoption than economic factors. In addition, energy and water efficiency are the most commonly adopted sustainability features, while certified materials, recycling and reusing are rarely implemented.

Since green building adoption is still in its infancy, this study informs policymakers, professional bodies, developers, and researchers of the empirically supported factors for green building adoption. The conclusions can be amplified within the sustainability movement.

This study provides an in-depth understanding of the precursors of green building adoption, which is increasingly becoming a paradigm shift in the construction sector. The study is the first to present an in-depth analysis of the real-life factors influencing the adoption of green buildings in Tanzania.

The purpose of the study is to mainstream the disaster risk reduction (DRR) and disaster resilience measures into the GreenSL® building rating system in Sri Lanka to demonstrate a more holistic approach in achieving sustainability with resilience.

First, a comprehensive literature review was carried out on green building practices and rating tools, natural hazards and DRR and global and local frameworks. Next, criteria were developed incorporating the disaster resilience aspects through eight expert committee meetings and included the rating tool in three levels. Finally, 11 green-certified buildings from the Green Building Council of Sri Lanka were reevaluated using the new disaster resilient GREENSL® rating system for built environment as a validation for the new tool and to analyze the new certification levels.

All the green-certified buildings in hazard-prone areas dropped their certification by one level while the buildings in nonhazard-prone areas remained in the certification after being evaluated by the new DRR-incorporated rating system, which recommends the use of new tool for the buildings in hazard-prone areas. But due to the rapid changes in climate and the unpredictable trends of natural hazards, the use of new DRR incorporated GREENSL® rating system for built environment for the certification of buildings is highly endorsed.

This is the first research study based on the GREENSL rating system. And it is the first effort to incorporate DRR aspects to any rating tool in Sri Lanka. The projects that were evaluated for the validation of the new tool are the actual projects which obtained green building certification. Also, it is apparent that this study has gone some way towards enhancing the understanding of blending the sustainability and resilience in rating systems for built environment.

The research investigates valuers' understanding of the value of sustainability in property and its' consideration in valuation practice in Australia. This paper explores valuers' perceptions of the relationships between sustainability and market values, sustainability and valuation variables, and the value influence of industry sustainability certification schemes. Further, this paper tracks prevalence of certified buildings in Australian commercial markets and the evolution of valuers' knowledge of sustainability certifications used in Australia.

This paper reports on the next rendition of a longitudinal study examining valuers’ practice in Australia. This research explores the evolution of Australian valuers' perception and knowledge of sustainability in valuation practice. The survey data has been periodically collected from practising valuers from 2007 to 2021. The survey questions investigate valuers' knowledge development, understanding, reporting and consideration of the relationship between sustainability and market value.

The results have identified the evolution of the influence of normative research on valuers' perceptions of the relationship between sustainability and value; with a clearer understanding emerging over time of where the value relationships are identified in valuation variables. Greater alignment between empirical Australian studies and valuers' perceptions of the influence of sustainability ratings on value, demonstrate the value connection for higher rated buildings under NABERS (energy rating) and Green Star. Whilst only 41% of the study's participants are including sustainability in their valuation reports, they include a higher level of commentary on building descriptions and initiatives, building ratings, and reporting of owner and tenant objectives, than in previous studies. Knowledge development relating to sustainability certification tool, NABERS was identified. This is likely linked to the introduction of mandatory disclosure legislation. This has also led to increased awareness and valuers' knowledge of the differences between the two key rating tools used in Australia.

The research has several limitations: firstly, recruitment of valuers and the number of valuers' responses has varied over time; secondly, due to collection methods respondents have a greater likelihood of having an interest in and knowledge of sustainability creating potential for positive bias; thirdly, respondents may have responded to the survey in different years, but due to anonymity there has been no ability to track this. The results provide insights into the Australian valuation profession but may not be fully representative of the profession overall in Australia.

The broader agenda of net zero, climate change, mitigation and carbon requirements, whether driven by market forces or government legislation, are generating changes in property markets as investors' reconsider their positions and model the implications of carbon emissions on their bottom lines. Introductions of policy and legislation over time in the Australian context have led to changes in valuation practice and increasing consideration of energy efficiency and ratings in the valuation of assets. However, further guidance and research still is required in Australia to assist in the knowledge development of valuers, and their ability to consider the emerging effects of sustainability, net zero and other market driven objectives including legislation, and how these may affect or influence their evaluation of market evidence and thus property values.

The research has tracked valuers' understanding, knowledge, and consideration of sustainability and energy efficiency in valuation practice since 2007. In that time the research has found that, as the market has evolved and more rated buildings are built (or retrofitted), so too has valuers' knowledge and consideration in valuation practices evolved. Valuers are more engaged with industry rating tools such as NABERS. This suggests that the Australian mandatory disclosure policies have contributed to changes in the market, which are then interpreted by valuers and reflected in their perceptions and consideration of energy ratings in valuation practice.

Green building is a relatively new concept with limited applications in property development in South Africa. The objectives of this study are therefore threefold: identify key green building principles considered by property developers, establish the benefits of implementing the principles and determine the barriers to its applications.

The study adopted a case study of two Green Star South Africa (SA)-certified buildings in Sandton, Johannesburg. These are Alexander Forbes building, and Ernst & Young Eris Towers. The two certified buildings were purposefully selected because of the insightful information they provide regarding application of green building principles. The main themes investigated in the cases are environmental awareness, green building principles applications, as well as benefits and barriers of green building. A total of six interviewees from the contractors', property developers', environmental/green building consultants' and sustainability consultants' organizations who were involved in the implementation of green building principles in the two cases provided the qualitative data for the study. The qualitative data were supplemented with data relating to the two case studies obtained from the ‘Earth Works for a Sustainable Built Environment’. The interviews were arranged over a period of two months, and each interview took between 20 and 30 minutes. Analysis of the data was done through a phenomenological interpretation of the qualitative opinions expressed by the interviewees.

Key green building principles comprising energy efficiency, water efficiency, resource efficiency, occupants' health and well-being and sustainable site development were implemented in the two cases. The fact that the buildings were rated 4-star enabled inference to be drawn that the implementation of the principles was less than 60 per cent. Energy efficiency of 35 per cent indicated in Case I suggests that the level is consistent with the South African green building standard of 25 per cent to 50 per cent. However, the energy and water efficiency assessment of the building were based on projections rather than on ongoing monitoring and evaluation of the buildings' performance. Moreover, perceived saving in operational cost was identified as dominant driver to green building principles implementation. Conversely, lack of government incentives and absence of reliable benchmarking data regarding performance of green buildings were major barriers to its full implementation.

The findings of this study provide important implications to the developers and government on the application of green building principles. In the first place, the evidence that initial high cost premium could be off settled by long- term saving on operational costs as a result of use of local materials, energy and water savings as well as use of recycled material, as implemented in the two case projects, would improve investment decision in green building by developers. The understanding of the drivers and barriers to implementation of green building principles also has implications for guiding government policies and programmes towards green building.

The significance of this study stems from the fact that limited studies, especially in the South African context, have indicated the drivers and barriers to the implementation of green building principles. The case study approach adopted gave a novelty to the study by providing hands-on information from the stakeholders who were known to have played specific roles in the application of green building. The findings indicated that initial high cost premium was not a consideration in developers' choice of green building which justifies the possibility of a costlier product when factors such as environmental sustainability benefit is considered to be ultimate. The study thus suggests further research involving larger cases on energy efficiency, water efficiency and costs of green buildings compared to the conventional type to bring the findings to a broader perspective and assist to benchmark data for green building assessment.

To explore the barriers and motivations to the construction of green buildings at the University of Waterloo (UW) by documenting and analysing the UW building process.

The authors conducted 13 semi‐structured in‐depth interviews with key UW individuals as well as analyzing numerous internal reports in order to document UW's building process. Based on the literature, a set of key ingredients for successful green building projects is developed as a basis from which to evaluate UW's current practices.

Based on the four key ingredients needs for successful green building projects at Institutions of Higher Education (IHE), UW was found to have weaknesses in all four areas including: a lack internal leadership amongst stakeholders with decision‐making power, a lack of quantifiable sustainability targets, an operational structure that does not reward building designs with lower energy costs, and lack of communication between professional designers, facilities management and faculty. While UW has implemented many green initiatives on campus, the current financial and organizational structure of the University's current system does lend itself to the creation and implementation of green buildings on campus.

Most research at IHE document existing green building initiatives and the lessons learned from their design and construction. There has been limited research into the processes by which decisions to proceed with the construction of green buildings are made, particularly within large institutions. As a consequence, the research documents many of the pitfalls, traps, and solutions that are experienced during the construction of green buildings, but have limited knowledge of the reasons why some proposed green buildings never get developed. This research identifies barriers to the construction of green buildings within institutional decision‐making processes and makes specific recommendations for realizing green building construction based on the UW case study.

Real estate sustainability can be best demonstrated through a “green” certification such as leadership in energy and environmental design, but, in markets where little precedent is available, quantification of costs and premiums related to green buildings is still ridden with uncertainty. The aim of this study is to shed some light on market rent and price premiums as perceived by professional operators in Italy.

A survey of two cohorts of real estate stakeholders, either members of the Green Building Council Italia or commercial real estate investors, was carried out by means of an online questionnaire.

Based on 270 responses, it can be inferred that, while the importance of green building is widely acknowledged, caution is still prevalent regarding expected gains. In fact, the majority of respondents perceive the increase in rent and price premiums as being equivalent to additional costs.

This is the first attempt to analyze perceived importance of greenbuilding in Italy.

Despite the construction industry's significant impact on high energy use and a growing carbon footprint, technologies like Green BIM help to optimize natural resources, reduce pollution, use sustainable space and work on human comfort and health. But the trend in a holistic approach is minimal. Thus, the paper aimed to systematically investigate Green BIM research and implementation trends using a mixed-method and also show the prospects of holistic Green BIM implementation.

First, we conducted a Scientometrics analysis on the topic using the Scopus database for the time interval of (2013–present). Secondly, the Qualitative Content Review method asserted the Scientometrics analysis result. Lastly, exploratory research was done on secondary data to compare the AEC industry trend for a comprehensive view.

The merged findings confirmed the partial implementation of Green BIM and of which 43% of research focused only on energy analysis. Despite the potential of BIM and the interrelationship among green building parameters, the result showed other aspects of green building and sustainable design parameters as green material selection, sustainable site, waste management and water-use efficiency not comprised.

The authors propose a new conceptual framework for integrating green building parameters, BIM tools and green building assessment tools in a life cycle of a project that adds into the sustainability of the Architectural, Engineering and Construction sector. The study would help to provoke researchers, software developers and practitioners for further innovative effort in holistic Green BIM implementation.