4 Reasons Commercial Property Owners Should Go Green
Property owners talk about their efforts to go green all the time–but what are the actual benefits to doing so? There are several, including tax and government-benefit advantages, increasing a property’s appeal to tenants, savings on energy bills, and conservation of water. Read on to find out more about each.
When a company or property owner decides to go green, federal and state governments offer financial rewards. For example, in Maryland, it’s often possible to obtain “a property tax credit for buildings equipped with a solar, geothermal or qualifying energy conservation device.”
As with solar power, businesses can often obtain financial credits for efforts to save money. For example, the Saving Water Partnership in Washington state offers rebates to apartment and condominium owners who go green by replacing older toilets with new, efficient models. Additionally, cutting back on water usage can reduce operating costs if the building is billed each month for drawing from municipal water.
Increased Rent Value
The decision to go green can make your property more attractive to tenants, which in turn means you can be more selective about renters and charge higher rates. For example, the U.S. Green Building Council reports that in San Diego, “the overall vacancy rate for green buildings was 4 percent lower than for non-green properties” and that “LEED-certified buildings routinely commanded the highest rents.” (LEED certification is awarded to resource-efficient buildings.)
Lower Energy Costs
Companies that go green typically find themselves with much lower energy costs. Moreover, a steady power source such as solar panels can freeze your energy costs in place for months and years to come, making expenses more predictable. Keep in mind that while solar-powered systems can look expensive at first, tax credits can greatly reduce the overall cost in the long run.
This article still hasn’t mentioned the biggest benefit to going green: It helps sustain the planet. Add in all the financial benefits, and the decision to go green is an easy one for many property owners.