Value Beyond Cost Savings - Green Building Finance Consortium

Value Beyond Cost Savings: How to Underwrite Sustainable PropertiesCourtesy Wikimedia Commons, CalderOliverd) Public Sustainable Property Benefits AnalysesPublic sustainable property benefits analyses are financial analyses used to quantifypotential public sector benefits. The concept is simple—if a building owner can clearly andfactually articulate the public benefits that arise from their building, they are more likely toconvince regulators, tenants and investors to pay for those benefits.Such “monetization” of public value is created from governments or utility companiesthrough enhanced entitlements/permitting, public grants, favorable financing, tax benefits,and carbon credits or payments, and from private companies through their contribution toEnterprise Value and resulting increases in space user demand.Sophisticated sustainable property investors and developers will conduct their own detailedassessment of the public benefits of their projects to enable clear articulation to regulators,potential tenants, employees, and capital sources. A starting point for clearly articulatingpublic benefits is to have a framework for thinking through and organizing public benefits104