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Energy efficiency in buildings has an impact on the evaluated market values. According to a study of the US department of Energy (DOE), commercial buildings waste 30% of the energy paid for on average. This wasted energy was estimated at around 61 billion dollars for 2007. Based on a capitalization rate of 8%, the lost asset value amounts to approximately $750 billion.

Buildings with a certification of high energy efficiency generate a rent about 7 percent higher than otherwise identical buildings and realize an increase of selling prices by 16 percent.

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Capitalization of energy efficiency on corporate real estate portfolio value
Ingrid Nappi-Coulet; Aurélien Décamps, 2013
Summary
The purpose of this paper is to investigate whether energy efficiency is capitalized in rent and asset value on corporate real estate portfolio. This approach contributes to the research on green buildings by using hedonic regression modelling on a portfolio of existing buildings in the French corporate real estate context. The corporate real estate portfolio under investigation is composed of industrial, commercial and office buildings. The analysis reveals two main results: energy efficiency is more capitalized in rent than in asset value and this relationship differs regarding buildings' type. The model suggests that premium for energy efficiency is stronger for commercial and office buildings than for industrial buildings.
Measuring multiple impacts of low-carbon energy options in a green economy context
DianaÜrge-Vorsatz, Agnes Kelemen, Sergio Tirado-Herrero, StefanThomas, Johannes Thema, Nora Mzavanadze, Dorothea Hauptstock, Felix Suerkemper, Jens Teubler, Mukesh Gupta, Souran Chatterjee, 2016
Summary
The paper identifies a few key challenges to the evaluation of the co-impacts of low-carbon options and demonstrates that these are more complex for co-impacts than for the direct ones. Such challenges include several layers of additionality, high context dependency, and accounting for distributional effects.

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Documents

Capitalization of energy efficiency on corporate real estate portfolio value

Measuring multiple impacts of low-carbon energy options in a green economy context

Additional asset value in services compared to 2000 [kﾀ]