Incorporating sustainable and energy efficient designs will soon be an expectation as opposed to an exception in the Irish commercial property market, according to a report by real estate advisor CB Richard Ellis. While market players have yet to fully embrace sustainability and its potential implications, this is set to change as a result of growing awareness of the benefits of sustainable design and the legislative requirement for energy performance certificates after 1 July 2008, the report said.
Incorporating sustainable and energy efficient designs will soon be an expectation as opposed to an exception in the Irish commercial property market, according to a report by real estate advisor CB Richard Ellis. While market players have yet to fully embrace sustainability and its potential implications, this is set to change as a result of growing awareness of the benefits of sustainable design and the legislative requirement for energy performance certificates after 1 July 2008, the report said.
Based on international experience, the report also notes that, it is highly probable that a two-tier investment market will emerge in Ireland over the coming years and that properties with a high energy efficiency rating will ultimately be more valuable than those with a low rating. CB Richard Ellis claim that well-located and well-designed green buildings will offer superior returns in the medium to long term while older buildings will experience accelerated obsolescence and reduced returns.
