Multifamily Editorial

Five Reasons to Keep Thinking & Building Green

… with the next generation in mind
Although Millennials may hold off on making major life decisions such as purchasing our first home or having children, we are more than the EDM-travel-social media-obsessed generation that many people assume we are.

We like to think of ourselves as the “Green Generation,” and our inclination is towards achieving a more sustainable culture through practices such as purchasing non-GMO produce at the grocery store, living close to urban centers and biking to the nearest restaurant, or buying sustainable fashion. These things contribute to our effort to be the change we wish to see in the world.

Growing up with the Internet, our generation has grasped the ability to seek for knowledge and truth through our fingertips. And, truth be told, we want to support companies that strive towards eco-friendly values that align with our own—now a standard for our environmentally conscious generation.

Here are five reasons from the World Green Building Council to think forward with our future generations in mind and join the green building movement:

  1. Green building construction costs are declining1

The facade of going green being a high cost is diminishing, and the minimum standards for building codes are becoming stricter. This essentially starts to close the gap between the cost of code compliant buildings and the cost of green buildings.

  1. Buildings with better sustainability credentials will enjoy increased marketability2

This means higher rental/lease rates, lower operating costs, and higher occupancy rates. Building green leads to a slower depreciation and avoids the need to offer “brown discounts” where non-green buildings rent or sell for less.3

  1. Reduce operation and maintenance costs4

Going green and reducing waste go hand in hand. In this case, operation and maintenance costs will decline for green buildings as energy efficiency retrofits are implemented as a response to increasing energy bills. As the concept of going green is ever expanding, property owners and tenants can collaborate together to reach better energy performance. This then leads us to our 4th reason to build green.

  1. Risk mitigation

Taking initiative towards thinking and building green will mitigate the risks illustrated below and help avoid the possibility of “… lower income, smaller capital receipts, higher costs and the possibility of legal action …”5 Instead, “… by future-proofing their assets, investors should be able to reap the rewards flowing from more secure cashflows, greater liquidity of their assets and an increased ability to access debt and equity funding.”6

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  1. Green indoor environments improve occupant health and well-being

On a humanistic level, building green results in improvements to indoor air quality, which in turn leads to improved health and well-being.7 Natural lighting and an outside view have also shown a positive effect on resident physical, emotional, and mental health.8 These green building benefits lead to healthier residents and longer lease agreements.

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So, will you keep not only our generation and the next in mind, but yours as well when building or upgrading your next apartment building? If you are in need of some convincing, read more into the World Green Building Council’s The Business Case for Green Building: A Review of the Costs and Benefits for Developers, Investors and Occupants.

Reference: World Green Building Council. http://www.worldgbc.org/ 2013. The Business Case for Green Building: A Review of the Costs and Benefits for Developers, Investors and Occupants.

http://www.worldgbc.org/files/8313/6324/2676/Business_Case_For_Green_Building_Report_WEB_2013-03-13.pdf

 

  1. World Green Building Council, The Business Case for Green Building,19.
  2. World Green Building Council, The Business Case for Green Building, 33.
  3. World Green Building Council, The Business Case for Green Building, 33.
  4. World Green Building Council, The Business Case for Green Building, 49.
  5. World Green Building Council, The Business Case for Green Building, 90.
  6. World Green Building Council, The Business Case for Green Building, 90.
  7. World Green Building Council, The Business Case for Green Building, 65.
  8. World Green Building Council, The Business Case for Green Building, 73.

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