The incorporation of sustainability into the real estate investment portfolio

The incorporation of sustainability into the real estate investment portfolio

Baas, L.C.

Koppels, P.W. (mentor)
Van den Ham, E.R. (mentor)

Architecture

Real Estate and Housing

Real estate management; Building economics

2013-06-28

Does sustainability influence the financial performance of office buildings in the Netherlands? Are sustainable certification systems helping the commercial real estate market to move forward? Through providing the necessary rules and protocols, they enable the investors to be more connected with their assets. When considering newly constructed office space from an occupiers’ perspective, the demand for office space without a sustainable certificate would be virtually non-existent. Also in the current existing office space, sustainable performance plays a more prominent role than ten years ago. It seems that the energy performance certificate is indeed providing the real estate world with some needed transparency. Although theoretically, the calculation framework seems to align with the energy performance index, the actual energy consumption deviates from the regulatory framework. When these consumption figures are being transferred to energy costs it becomes clear that the technical condition, the office space usage and the nature of the occupier are strongly influencing. Currently, it is up to the real estate sector to embrace sustainability and operationalize this principle through their assets. This report provides both the investor and the tenant with some decisive evidence on the financial side of sustainable performance.

office buildings
real estate investments
sustainability
ecological responsiveness
benchmarking
rental Premium
energy savings

http://resolver.tudelft.nl/uuid:6c26d5ab-9da0-4e96-a3af-97fddec54685

2013-06-28

Student theses

master thesis

(c) 2013 Baas, L.C.