Green building research suggests that green companies have much more to show for their efforts than reduced utility bills, a smaller carbon footprint, and lower energy and water usage (although those are very impressive benefits!). Here are just a few of the not-so-obvious benefits of green buildings …
Higher Cash Flow
According to a study from Ernst & Young and Boston College’s Carroll School of Management Center for Corporate Citizenship, green companies that conduct sustainability reporting have higher cash flows than companies that don’t. Why? One reason, according to the report, could be that green buildings (especially those with a sustainability report) open the door to new and less costly sources of capital; investors often prefer to invest in transparent companies. Sustainability efforts also serve as a symbol of business quality because implementing the initiatives can help a business expand data collection efforts and think in new ways about building practices, operations, and processes. This innovative way of thinking may carry over into other parts of the business as well.
Increased Employee Loyalty
In the same survey mentioned above, more than 30% of respondents experienced increased employee loyalty as a result of working in a green building. By proactively communicating a commitment to corporate responsibility and making smart energy-efficiency decisions, companies can have a positive impact on productivity. A reputation for responsibility and disclosure can also help recruiting efforts.
Fewer Sick Occupants
Several managers who work in green buildings report fewer sick days for their employees. For example, a new dental office in Cleveland County, NC, has noticed decreases in allergies and sick days after moving into a LEED-certified building that gives employees access to natural daylight.
Higher Asset Value
According to the World Green Building Council (WorldGBC), as investors and occupiers become even more knowledgeable about the environmental and social impacts of facilities, green buildings will have increased marketability. WorldGBC also says in its The Business Case for Green Building review, there’s a demonstrated link between the green characteristics of buildings and their ability to attract more tenants and command higher lease rates.
McGraw Hill Construction’s Green Retail and Hospitality:Capitalizing on the Growth in Green Building Investments report says that asset value increased by 11% for hotel owners who owned a green hotel building.
What is missing from our list? What other benefits have you experienced from making smart green building decisions?
