Corporate carbon reduction commitments will have a significant impact on office leasing over the next few years.
Businesses that have pledged to reduce their organization’s impact on climate change must ensure their next lease allows them to show material progress on their goals, according to a report by JLL. This factor will have a significant impact on the office market over the next 12 to 24 months and beyond.
“Tenants are prioritizing buildings that are energy efficient, free from onsite fossil fuels and powered by clean energy,” JLL says. “For construction projects, occupiers are beginning to focus on lower embodied carbon designs.”
With the increasing adoption of work-from-home and hybrid models, demand for new commercial real estate construction drastically slowed since the Covid pandemic, and low-carbon office space supply is struggling to keep pace with an uptick in demand. So, businesses will be challenged to find space that meets their corporate environmental goals.
“Today, rightsizing and ‘flight to quality’ are driving leasing decisions,” JLL says. “The concept of 'flight to quality' is evolving to encompass energy performance and sustainability credentials.”
Related Stories
Office Buildings | Apr 5, 2021
FXCollaborative selected to create new lobby, amenity space for 3 Times Square
FXCollaborative designed the original building in 2001.
Office Buildings | Apr 5, 2021
Innovation One completes at University Research Park in Madison, Wis.
Valerio Dewalt Train designed the project.
Office Buildings | Mar 30, 2021
WELL Institute certifies a gigantic office complex with its highest health and safety rating
Poland’s Olivia Business Center one of the first to install ion air purification devices.
Office Buildings | Mar 26, 2021
Finding success for downtown office space after COVID-19
Using the right planning tools can spur new uses for Class B and C commercial real estate.
Office Buildings | Mar 24, 2021
JEA Headquarters tops out in Jacksonville
The building has recently topped out.
Energy Efficiency | Mar 23, 2021
ASHRAE’s new headquarters walks the talk about net-zero energy
The conversion of a 1970s’-era building demonstrates how older structures can be made more efficient and sustainable.
Office Buildings | Mar 22, 2021
Make-A-Wish Foundation of Southern Florida unveils design for new chapter HQ
Arquitectonica is designing the project.
Office Buildings | Mar 16, 2021
Perkins&Will unveils design of its New York Studio
The studio supports hybrid work models with agile layouts and integrated broadcast technologies.
Laboratories | Mar 10, 2021
8 tips for converting office space to life sciences labs
Creating a successful life sciences facility within the shell of a former office building can be much like that old “square peg round hole” paradigm. Two experts offer important advice.
Office Buildings | Mar 4, 2021
1905 industrial building set to become Acciona’s new office in Madrid
Foster + Partners is designing the project.