Protect your assets with green investments and avoid the risk of value erosion

With the ever growing emphasis on sustainability, green investments will become a focus point over the next decade as a means to avoid value erosion. It is clear that green investments are the best way forward. Otherwise, occupiers who look to chase costs through lower rental values will be hit by higher operational costs of non-sustainable buildings.

Sustainable buildings are well on the way to becoming the benchmark of quality buildings – and this line of thought will be followed by the economics of rents, yields and valuation. It can’t be denied that current economic conditions are far from favourable and will probably cause a delay in green investments, however, the industry must continue to drive change to remain at the forefront of the game. After all, by 2020 sustainability variables such as carbon emissions taxes and rising insurance premiums will become reflected in valuations. There is no running away from the fact that more informed occupiers will become better educated about their sustainability requirements and will ensure that their needs are addressed.

The time has come and it is clear, no pain, no gain.

For further details, contact Bill Page on +44 (0)20 3147 1212 to book a workshop; check out Offices 2020 for more information. A great place to keep up to date is our LinkedIn page  for  regular discussions and informal idea sharing.