Energy efficiency refurbishment is "best bet" for property sector
- Published on Monday, 04 February 2013 11:26
- Posted by Vicki Mitchem
A report published by Urban Land Institute and PwC named "Emerging Trends in Real Estate, Europe 2013" has described how the refurbishment of existing buildings to the new standards could make them effective green assets for the property sector over the next year.
The report sought the views of Real Estate Investment Trusts, residential developers, investors and bands. For investors, the green itinerary is key to refinancing risks and so sustainability continues to be at the top of their agenda.
The report found that lenders were keen to see green buildings as a method of reducing refinancing risks. Properties that are receiving the higher rents and values are more often sustainable properties as the result of the Government's progression to increase the energy efficiency of buildings.
The key finding of the report was that sustainability was a top business issue for 96% of respondents in the year ahead. One interviewee described the refurbishment process to create green properties as "the only things tenants want to talk about." Paul Davies, Partner in PwC said:
"There is no doubt that environmentally sound properties will attract the best tenants and score plus points with lenders and investors. The Green Deal scheme is a great opportunity for businesses to make the investment cost – neutral, with increased energy efficiency being matched by a reduction in energy needs." Malcolm Preston, Global Lead, Sustainability and Climate Change at PwC said:
"The property sector's view of sustainability is maturing. The next stage of the debate is a conversation not just about the environmental performance of the building, but the role the buildings play in the economic growth and social well-being of the communities around it. It's sustainability in its broadest sense."
Source: ©Green Energy UK