Upcoming Research: Value Enhancing Improvements in Environmental Sustainability

Environmental sustainability is top of mind for many developers as ESG (environmental, social, governance) strategies attract a growing share of institutional investment; more local jurisdictions incentivize or require new construction to meet sustainability goals; and more tenants express a preference for sustainable design features. But not all investments in environmental sustainability are created equally. Cost, return on investment, and impact on a building's environmental footprint can vary substantially between different interventions. 

The Research Foundation has commissioned NAIOP Distinguished Fellow Jim Clayton, Ph.D., Schulich School of Business at York University | Professor and Timothy R. Price Chair, Brookfield Centre in Real Estate & Infrastructure, and Avis Devine, associate professor for real estate finance and sustainability at the Brookfield Centre in Real Estate and Infrastructure, to identify cost-effective and value-enhancing approaches to sustainable building design and environmental retrofits as well as operational interventions that enhance sustainability and maximize rental income. The report will draw from interviews with tenants, investment managers and local government officials, and will analyze market-level and building-level data to provide insight into the costs and benefits of different sustainability strategies. It will also provide an overview of recent trends in ESG investments in commercial real estate and will feature lessons learned from specific buildings and development projects. 

View the Foundation’s current research.