Owner-Tenant Engagement in Sustainable Property Investing

Abstract

When it comes to sustainability, improving existing buildings is arguably more important than developing better new facilities. But that can be more difficult because it requires cooperation between owners and tenants. Fortunately, owners are finding ways to cooperate thru green leasing, incentives, and educational programs. This paper presents eight examples from the United States, Europe, and Australia. They demonstrate that property firms can work with new and existing tenants toward greater cooperation around sustainable real estate concerns. Transformation to sustainable property investing will be a "sociotechnical" process. It will require technical skill to improve eco-efficiency, but also new social capabilities that facilitate cooperation among owners and their tenants. Fortunately, the cases presented illustrate ways this can be done.