Follow by Email

Friday, November 15, 2013

Green Building Construction Accelerates Globally through Economic Downturn

This is great news and not unique to construction (from what we have seen).  The new, growing green economy has some real strength and is accelerating in many areas (take a look at  some of our stories or listen to the shows at:  http://renewablenow.biz/renewable-construction.html

You will notice, too, that LEED and other efficient buildings have enjoyed very high lease occupancy rates. Major cities see side-by-side buildings with clear imbalances between some that are full, others not so much.  Combine that with the fact that the heavily leases efficient buildings and also costs their owners much less in operating expenses.  Makes for some pretty happy owners.

Some of this is driven by more stringent building codes, such as those we reported on in Dallas last week.

Send us any stories--if you find some--that reinforce or conflict with this article's findings:



  • Green building has become a long-term business opportunity with 51% percent of study firms planning more than 60 % of their work to be green by 2015, up from 28 percent of firms in 2012

  • The largest opportunity areas for green building globally are in new commercial construction and renovation of existing buildings


Around the world, the green building marketplace is accelerating, according to a new study being released by McGraw-Hill Construction in partnership with United Technologies today at the Greenbuild International Conference and Expo in San Francisco.

The study indicates a shift in the global construction market, now viewing green as a business opportunity rather than a niche market. Overwhelmingly, firms report that their top reasons to do green work are client demand (35 percent) and market demand (33 percent)—two key business drivers of strategic planning. The next top reasons were also oriented toward the corporate bottom line—lower operating costs (30 percent) and branding advantage (30 percent). In contrast, the top reason in 2008 motivating the green building market was doing the right thing (42 percent) and market transformation (35 percent), followed by client and market demand.

"This research confirms that green building advances environmental stewardship while providing value to the market," said Geraud Darnis, president and CEO, United Technologies Climate, Controls & Security. "It also confirms that we now see more pull than push for green buildings."

In the next three years, the sectors with the largest opportunity for green building around the world include new construction and renovation projects. Sixty three percent of firms have green work planned in new commercial projects and 45 percent in new institutional projects by 2015, and 50 percent have plans for green renovation work. In the United Kingdom and Singapore, green renovation projects were planned by the greatest number of firms at 65 and 69 percent respectively. In Brazil and UAE, new projects pose the largest opportunity. In Brazil, 83 percent of firms are planning to work on new green commercial projects over the next three years, and in the UAE, 73 percent have new green institutional projects planned.

"It is notable that over the next three years, firms working in countries around the world have green work planned across all building types, incorporating both new construction and renovation," said Harvey M. Bernstein, vice president, Industry Insights and Alliances for McGraw-Hill Construction. "The existing building market is a ripe opportunity for green building, and we are seeing that play out in the market. It is clear that green is becoming an important part of the future landscape of the global construction marketplace, and firms will need to be prepared for that transition."

Green buildings are also expected to garner business benefits for building owners. For new green building projects, firms report median operating cost savings of 8 percent over one year and 15 percent over five years, as well as increased building values of 7 percent (according to design and construction firms) and higher asset valuation of 5 percent (according to building owners).

For green retrofits, operating savings are higher than for new buildings with operating costs reported to decrease by 9 percent over one year and 13 percent over five years. Asset valuation is also expected to increase, though at more moderate levels than for new green buildings—design and construction professionals expect 5 percent increased building value from green retrofits, and owners expect higher asset valuation of 4 percent. For green projects, payback on efforts is expected within 8 years for new projects and 7 years for retrofit/renovation work.
- See more at: http://renewablenow.biz/renewable-construction.html#sthash.Vxlo3XW7.dpuf

20 comments:

  1. Hi
    It has been some time since I visited website with such high quality information about regarding . Thank you so much for providing such helpful information. This is really informative and I will for sure refer my friends the same. Thanks.

    ReplyDelete
  2. Hi
    It feels so nice to find somebody with some original thoughts on regarding Really thankful to you for starting this.

    ReplyDelete
  3. I think, we need this kind of edifices today for the world needs more green ideas. The effects of climate change can be devastating. Thank God there people like you who still cares amidst the technological evolution of our era.

    ReplyDelete
  4. Making balance into environment is should be given high priority while going for any big construction project.

    ReplyDelete
    Replies
    1. Particularly given the economic benefits (reduced costs, efficiency, fixing energy costs, etc) that proper construction, and use of renewable energy, brings to commercial buildings today.

      Thanks.

      Delete
  5. Hi
    It’s hard to find knowledgeable people regarding but you sound like you know what you’re talking about! Thanks for sharing this with others

    ReplyDelete
    Replies
    1. It is good to hear from you. Tell us more about your company?

      Are you going to our main site and listening to our radio shows? If not, please do. You may be a great guest to add to a future show.

      Thanks for being part of the RN family.

      Delete
  6. Green building is helping a lot not only in the ecological construction but, it is also helping in controlling the pollution from the environment.
    LEED Commissioning

    ReplyDelete
    Replies
    1. Absolutely. We also find it sets a high standard for employees who, perhaps, take that standard home as well.

      Delete
  7. With all the earth continually establishing in addition to growing after a while, this structure marketplace can be in the process of a moment connected with stability. The actual technicians or perhaps structure organizations frequently manage many initiatives as well as focus on various tasks as well.Construction

    ReplyDelete
    Replies
    1. We'd like to hear more about this. Can you define the structured marketplace you refer to?

      Thanks for your comment and insight.

      Delete
  8. Hi
    Nice post.it will be very interesting and informative to us.we have a news about real estate information.

    ReplyDelete
    Replies
    1. We will try to post more on the real estate side. Send us anything relevant you have.

      Thanks so much.

      Delete
  9. Hi
    Thank you so much for giving us such kind of handy content which will be most useful to me as well.... I will follow your blog always. Thanks

    ReplyDelete
    Replies
    1. Thank you for the positive feedback. Please send us any data/articles you have we can share with our great, very smart audience.

      Delete
  10. The results with the very first strategy may solely possibly be approximated. Nearby These types of Area reported glucose articles involving tough luck percentage along with eleven percentage had been reported anywhere else in the point out. construction companies san francisco

    ReplyDelete
    Replies
    1. Not sure we understand this comment, Could you clarify? Thanks.

      Delete
  11. Every year households seek out a few months wherever both parents as well as children similar usually are free to take trip. By shores to be able to recreational areas to be able to nation's landmarks, the us will be brimming with remarkable spots as well as vacation spots. Because of the volume of options, you could be questioning best places possibly start.travel

    ReplyDelete
  12. The particular query is usually; The way to improve within the period timetabled with regard to structure of this constructing with out sacrificing quality connected with structure? Put simply you intend to finish your current constructing more quickly as compared to actually timetabled.
    commercial construction Gold Coast

    ReplyDelete