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
| May 24, 2018
Accelerate Live! talk: Security and the built environment: Insights from an embassy designer
In this 15-minute talk at BD+C’s Accelerate Live! conference (May 10, 2018, Chicago), embassy designer Tom Jacobs explores ways that provide the needed protection while keeping intact the representational and inspirational qualities of a design.
Office Buildings | May 22, 2018
AAA headquarters embodies a road trip atmosphere
HGA designed the space.
Office Buildings | May 22, 2018
Where fun follows function: New study reemphasizes the value of play in the workplace
Perkins Eastman recommends personalization, access and “linkages,” and variety as design criteria.
Office Buildings | Apr 25, 2018
Cardiff is home to the new BBC Cymru Wales headquarters
Foster + Partners designed the building.
Office Buildings | Apr 23, 2018
Activity-based design takes precedence in new office projects
The latest report by Ted Moudis Associates also finds more space being allocated for amenities and wellness.
Office Buildings | Apr 19, 2018
From fitness to bowling alleys: How commercial office buildings are differentiating themselves through amenities
Here are five ways that amenities can help developers and building owners attract and secure tenants by appealing to their inhabitants.
Office Buildings | Mar 21, 2018
Yeti’s new global headquarters evokes the outdoors
Gensler designed the new HQ.
Office Buildings | Mar 19, 2018
A cost guide to office fit-outs provides comparisons for 59 markets
The new JLL report also finds landlords offering more generous tenant improvement allowances.
Movers+Shapers | Mar 19, 2018
Movers + Shapers: Tech takeover
From Chicago to Charlotte, the tech boom is transforming urban real estate markets and redefining workplace design.
Office Buildings | Mar 19, 2018
The new office has roots in retail
How retail’s focus on brand authenticity, heritage and education are transforming workplace design.
