Sustainable design can save a commercial property owner (and therefore its tenants) considerable expenses for operating a building. Few people are aware, though, that sustainable design can also reduce absenteeism, increase employee retention, and improve worker productivity.


In fact, green buildings also have been proven to reduce both true illness-related absences and covert absences due to an employee’s dissatisfaction with the workplace. And when workers are in the office, the implementation of green building practices such as natural lighting and controllability of temperature has been shown to increase task efficiency in employees. 


Builders are constantly faced with the challenge of balancing and demonstrating the upfront costs of building a sustainable commercial building with the long-term savings and benefits. But the good news is there is a growing body of research that demonstrates how savings – and other benefits – can be attained in key areas, making the argument easier as time goes on. 


For example, green buildings tend to take in higher rents than their non-sustainable counterparts which may also increase the amount of initial financing available. Despite these higher rents, tenants are eager to move into these buildings and, in many cases, are even willing to be put on waiting lists.





Reducing Churn


This, in turn, causes less churn as the tenants that are able to secure a lease in a building are more likely to renew their lease for an additional term, rather than relocate. At the end of the day, buildings with sustainable designs demonstrate low operating costs and low vacancies, thus increasing the value of a building.


A research report by Eichholtz, Kok & Quigley found that on average green buildings bring in $5 million more market value than their non-green counterparts.





Pro Forma


Another tool to help evaluate savings is the pro forma, a master document that tabulates all costs associated with design and construction. Essentially, it is an innovative, holistic assessment of building costs that gives a concise dollar amount that can be used to approve or reject a project.


The pro forma is able to analyze the bricks and mortar, costs of operation, maintenance, productivity, marketing, retention and eventually deconstruction, with practical monetary results for the full life cycle of the building. 


The discussion between construction and operation costs tends to focus on energy efficiency, however, costs for energy and maintenance make up a small portion of the lifelong economy of a building. An overwhelming majority of the life-cycle cost of a project is typically post-construction, yet less than three percent of that is operational budgets. 


Over the next 30-40 years, 50 percent of our nation’s building stock will need to be replaced or significantly upgraded to become more efficient. This is why it is so important when evaluating options for green building and renovations to consider if the materials being used are durable. The use of green building materials is only cost-effective if the materials used will not need to be replaced too soon.





Specialized Green Projects


Skanska recently redeveloped the 33-year-old Delta Air Lines’ Terminal A at Logan International Airport. The construction process maximized green technology by implementing recyclable materials, natural lighting, energy-conservation plans, and alternative-fuel utilization. In addition, daylight is a primary focus of the terminal’s design as low-E glass reflects heat away from the windows to maximize heat loss in the winter and heat gain in the summer. As a result, the project was the first airport terminal in the world to receive LEED certification.


Another important project is the development of a prototypical green hospital room, which was conceived to demonstrate that green materials and technologies are economically viable and readily available. It is also a response to studies that have shown that the design and dynamics of a hospital room can contribute directly to patient care and encourage the healing process, creating shorter patient visits and, in turn, increasing the hospital’s bottom line.


The design eliminates materials that could possibly make inhabitants sick, reduces stress, and speeds up the healing process while also allowing caregivers to be more efficient with less chance of error. We’re hoping to see these implemented in the Boston market in the near future.


Overall, developing economical green solutions for clients can be executed efficiently in terms of cost, energy and timeframe, striving to meet the needs of the world today without jeopardizing the needs of the world tomorrow.â–