While sustainable real estate is not a new concept, it is rapidly growing; you should be taking notice, whether you’re experienced or just starting out. In fact, by 2030, the smart building market is projected to be worth a staggering $24.7 trillion across the globe with the market for green building products already exceeding $250 billion and growing.
What has changed in recent years is the perception of risk directly correlated to climate change, urging investors to steer money towards more environmentally-friendly, higher-performing green assets. With the emergence of making our planet green, also comes the fact that running older, non-sustainable buildings will cost you more in the long run. Older buildings that don’t lower their carbon footprint will likely depreciate in value in as little as five years, so it just makes sense to invest in properties that are green, given your own due diligence.
There are always right or wrong ways to invest in the CRE market, but if one can predict the marketplace and economy, there are ways that you can optimize your investment to ensure that you have the advantage.