Half of the City's Office Buildings Are Green

Robert Peddicord is a senior managing director at CBRE.

LOS ANGELES—Los Angeles office owners are answering the call to go green. The city ranks sixth on the Green Building Adoption Index, according to a report from CBRE, meaning that more than 50% of the office buildings in Los Angeles have a green certification. Green buildings are becoming increasingly popular, and in some cases can command higher rental rates and are in higher demand among tenants than those that don’t.

“Being in a green building or owning a green building is sensitive and important to both tenants and investors and often not optional,” Robert Peddicord, executive managing director at CBRE, tells GlobeSt.com. “The green initiative continues to escalate as an important social and economic issue with both groups. Tenants of and investors in office space alike are much more conscientious today than ever before. It is part of corporate responsibility to be in buildings that are considered green, and there’s also a certain amount of social and economic pressure. Everyone wants to have the reputation of being a green company, and it is the actions that matter.”

San Francisco ranked number one on the list, with 73.7% of office buildings holding green certification, and Chicago came in a close second with 72.3% of its office buildings holding a green certification. With the demand for green buildings so high, Los Angeles is well on the way to increase its ranking. “Everyone is doing it and everyone is becoming more aware of it,” adds Peddicord. “All sectors of development must continue to push green initiatives and continue to develop the technology that provides more energy efficient buildings.”