Any investor pays more and more attention to their environmental, social and governance qualifications, which in some cases promotes the demand for more “green” Office Space.
According to the latest research by real estate agent Knight Frank, London office buildings meet the highest standards Sustainability Can achieve a premium of up to 12.3% rent.
The company studied the impact of the BREEAM certification, which is a global building sustainability assessment method used in more than 3,000 locations in the capital, on rental performance.
It found that BREEAM’s “very good” rating, which recognizes advanced good practices on issues such as energy performance, health and well-being, resulted in an average rent premium of 3.7%.
The “excellent” rent premium is 4.7%, while less than 1% of the assessed buildings meet the “excellent” standard, and the rent premium is as high as 12.3%.
landlord Some people in the commercial real estate industry believe that sitting on older stocks and having a narrower desk area may lead to the loss of tenants to some newer properties.
Knight Frank’s research looks at rent data for 2,700 London assets from the first quarter of 2010 to the first quarter of 2021.
Kate Horton, partner of Knight Frank’s London Capital Markets team, said: “Determining a clear rental premium for high-end BREEAM ratings is an important factor for investors who want to differentiate their buildings from the rest of the market.”
The company’s Victoria Ormond said: “This type of analysis transforms the conversation about sustainability from “owning it is a good thing” to “we can quantify this investment,” which will help make it an asset business The core part of planning and investment decisions.”
Baring and the developer are planning a new office plan
/ BaringThe two said that the new office space has approximately 150,000 square feet of space, which will be constructed in accordance with the highest sustainability standards, with the goal of creating a net-zero carbon building.
