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
| Sep 17, 2013
World's first 'invisible' tower planned in South Korea
The 1,476-foot-tall structure will showcase Korean cloaking technology that utilizes an LED façade fitted with optical cameras that will display the landscape directly behind the building, thus making it invisible.
| Sep 16, 2013
Study analyzes effectiveness of reflective ceilings
Engineers at Brinjac quantify the illuminance and energy consumption levels achieved by increasing the ceiling’s light reflectance.
Smart Buildings | Sep 13, 2013
Chicago latest U.S. city to mandate building energy benchmarking
The Windy City is the latest U.S. city to enact legislation that mandates building energy benchmarking and disclosure for owners of large commercial and residential buildings.
| Sep 13, 2013
Chicago latest U.S. city to mandate building energy benchmarking
The Windy City is the latest U.S. city to enact legislation that mandates building energy benchmarking and disclosure for owners of large commercial and residential buildings.
| Sep 11, 2013
BUILDINGChicago eShow Daily – Day 3 coverage
Day 3 coverage of the BUILDINGChicago/Greening the Heartland conference and expo, taking place this week at the Holiday Inn Chicago Mart Plaza.
| Sep 10, 2013
BUILDINGChicago eShow Daily – Day 2 coverage
The BD+C editorial team brings you this real-time coverage of day 2 of the BUILDINGChicago/Greening the Heartland conference and expo taking place this week at the Holiday Inn Chicago Mart Plaza.
| Sep 4, 2013
Smart building technology: Talking results at the BUILDINGChicago/ Greening the Heartland show
Recent advancements in technology are allowing owners to connect with facilities as never before, leveraging existing automation systems to achieve cost-effective energy improvements. This BUILDINGChicago presentation will feature Procter & Gamble’s smart building management program.
| Sep 4, 2013
Twenty-nine-acre brick building complex in Watertown, Mass., to be renovated as innovation hub
The owner of a 29-acre cluster of brick buildings in Watertown, Mass., wants to reinvent the site as a 21st-century innovation hub.
| Sep 3, 2013
Delinquency rate for commercial real estate loans at lowest level in three years
The delinquency rate for US commercial real estate loans in CMBS dropped for the third straight month to 8.38%. This represents a 10-basis-point drop since July's reading and a 175-basis-point improvement from a year ago.
| Aug 30, 2013
Local Government Report [2013 Giants 300 Report]
Building Design+Construction's rankings of the nation's largest local government design and construction firms, as reported in the 2013 Giants 300 Report.
