SEATTLE-Sustainable buildings are expected to generate stronger investment returns than traditionally managed properties, according to an ongoing study of a national office portfolio managed by CB Richard Ellis. The study found that owners of sustainably managed buildings anticipate a 4% higher return on investment than do owners of traditionally managed buildings, as well as 5% [more] increase in building value.

Roughly 79% of owners surveyed believe that sustainable properties perform well in attracting and retaining tenants, yielding a 5% increase in building occupancy and 1% increase in rental income, according to the study. The findings are part of the second phase of a multi-year study initiated in 2009 by CBRE and the University of San Diego’s Burnham-Moores Center for Real Estate. This year, CBRE also collaborated with McGraw-Hill Construction to expand and publish the survey.

The ongoing analysis measures green building benefits and resulting economic outcomes as a framework of investment criteria for retrofit activity. The study’s initial findings were made public recently at the USGBC's Greenbuild as part of McGraw-Hill’s the Business Benefits of Green Buildings: Building and Occupant Performance Driving Green Investment in Existing Commercial Buildings SmartMarket Report. A full update to the study’s 2009 report Do Green Buildings Make Dollars and Sense? is expected to be released later this year.