ATLANTA—Atlanta is rising up in the green building ranks. The city has claimed the number three spot on CBRE's and Maastricht University's fourth annual Green Building Adoption Index, up from number five last year.
Fifty-five percent of Atlanta's office space is green certified. The Atlanta office market's buildings performed especially well in Energy Star, with 24.4% of all buildings labeled, the second highest market total in the study, behind only Manhattan and nearly double the national average.
“Atlanta has had a steady increase since 2008 in regards to both LEED certified buildings and Energy Star adoptions, as shown in the report,” Marie Kastens, managing director of CBRE Asset Services in Atlanta, tells GlobeSt.com. “CBRE's 2015-2016 Americas Occupier Survey also revealed 89% of respondents reported that their organization was giving some level of attention to the growing trend of health and wellness in the workplace whether through programs or staples in the physical space.”
Chicago claimed the top spot this year, after placing second last year, and boasts 66% of green certified space. San Francisco slipped to second, while Atlanta, Houston and Minneapolis again claimed spots in the top five in the 2017 report. Green office buildings in the US are defined as those that hold either an EPA ENERGY STAR label, USGBC LEED certification or both.
“During the workweek, the average employee spends 50% of his or her waking hours in the workplace, and the percentage is higher for those who work more than 40 hours per week,” Kastens says. “With that knowledge, a trend on the rise has become creating environments that are more than places to conduct business and are also places that support and improve the employees' well-being.”
Three of the four largest transactions in Atlanta in 2016 all took place in LEED certified buildings. One notable new deal signed within a LEED building was a 293,035-square-foot renewal at One Georgia Center by the Georgia Department of Transportation. (Find out the largest green lease complication.)
Before moving into the 375,000-square-foot, 40-year-old office tower in 2008, the Georgia Department of Transportation worked with property management on an extensive build out. Part of this build out involved the recycled use of many of the building's original materials. This conservation effort helped One Georgia Center achieve its LEED Gold Certification, a designation that it has maintained over time.
In terms of sales activity, Atlanta performed well, with 28 LEED certified buildings trading in 2016. One significant sale was for LEED Silver certified 191 Peachtree, a class A, 1.2 million-square-foot office tower located in Downtown Atlanta. A Banyan Street Capital and Oaktree Capital Management partnership bought the 50-story building from Cousins Properties in October 2016.
Another notable sale was for One Atlantic Center, purchased by Starwood Capital from Hines in September of 2016. The building is a LEED Gold Certified, 1.1 million-square-foot office tower located in Midtown Atlanta. Finally, a large portfolio sale of LEED Silver certified Atlanta Financial Center occurred in December of 2016. The three-building portfolio located in Buckhead was bought by Sumitomo Corp from Hines.
ATLANTA—Atlanta is rising up in the green building ranks. The city has claimed the number three spot on CBRE's and Maastricht University's fourth annual Green Building Adoption Index, up from number five last year.
Fifty-five percent of Atlanta's office space is green certified. The Atlanta office market's buildings performed especially well in Energy Star, with 24.4% of all buildings labeled, the second highest market total in the study, behind only Manhattan and nearly double the national average.
“Atlanta has had a steady increase since 2008 in regards to both LEED certified buildings and Energy Star adoptions, as shown in the report,” Marie Kastens, managing director of CBRE Asset Services in Atlanta, tells GlobeSt.com. “CBRE's 2015-2016 Americas Occupier Survey also revealed 89% of respondents reported that their organization was giving some level of attention to the growing trend of health and wellness in the workplace whether through programs or staples in the physical space.”
Chicago claimed the top spot this year, after placing second last year, and boasts 66% of green certified space. San Francisco slipped to second, while Atlanta, Houston and Minneapolis again claimed spots in the top five in the 2017 report. Green office buildings in the US are defined as those that hold either an EPA ENERGY STAR label, USGBC LEED certification or both.
“During the workweek, the average employee spends 50% of his or her waking hours in the workplace, and the percentage is higher for those who work more than 40 hours per week,” Kastens says. “With that knowledge, a trend on the rise has become creating environments that are more than places to conduct business and are also places that support and improve the employees' well-being.”
Three of the four largest transactions in Atlanta in 2016 all took place in LEED certified buildings. One notable new deal signed within a LEED building was a 293,035-square-foot renewal at One Georgia Center by the Georgia Department of Transportation. (Find out the largest green lease complication.)
Before moving into the 375,000-square-foot, 40-year-old office tower in 2008, the Georgia Department of Transportation worked with property management on an extensive build out. Part of this build out involved the recycled use of many of the building's original materials. This conservation effort helped One Georgia Center achieve its LEED Gold Certification, a designation that it has maintained over time.
In terms of sales activity, Atlanta performed well, with 28 LEED certified buildings trading in 2016. One significant sale was for LEED Silver certified 191 Peachtree, a class A, 1.2 million-square-foot office tower located in Downtown Atlanta. A Banyan Street Capital and Oaktree Capital Management partnership bought the 50-story building from Cousins Properties in October 2016.
Another notable sale was for One Atlantic Center, purchased by Starwood Capital from Hines in September of 2016. The building is a LEED Gold Certified, 1.1 million-square-foot office tower located in Midtown Atlanta. Finally, a large portfolio sale of LEED Silver certified Atlanta Financial Center occurred in December of 2016. The three-building portfolio located in Buckhead was bought by Sumitomo Corp from Hines.
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