FOR IMMEDIATE RELEASE
Contact: Chris Potter, 202-525-2883 x.311 / firstname.lastname@example.org
BROKERS AND COMPANIES RECEIVE TOP HONORS FOR USING THE LEASE TO SLASH ENERGY AND WATER USE IN COMMERCIAL BUILDINGS
Washington, D.C. (May 27, 2015) — Today, the Institute for Market Transformation (IMT) and the U.S. Department of Energy’s (DOE) Better Buildings Alliance announced the 2015 Green Lease Leaders at the Better Buildings Summit in Washington, D.C. Established in 2013 with support from leading real estate practitioners, the recognition program distinguishes property owners, tenants, and brokers who are effectively using the lease as a vehicle to drive energy and water savings in commercial buildings.
The clauses ushered forward by Green Lease Leaders encourage collaboration to improve energy efficiency and align incentives, saving tenants and building owners on average up to 20 percent each month on a building’s energy and water bills. A study released by IMT last week showed that green leases could deliver nearly $3 billion in annual savings for the U.S. office sector alone.
"Because of this recognition program, brokers, landlords, and tenants now have a blueprint for writing leases that remove impediments to efficiency and align interests so landlords and tenants both benefit from improving building performance. IMT and the Better Buildings Alliance are proud to see that many of today’s Green Lease Leaders are using the lease transaction to lay the foundation for working together to boost sustainability on a major scale," said Cliff Majersik, Executive Director for IMT.
The 2015 Green Lease Leaders are:
Meade Boutwell (CBRE)
Randy Harrell (CBRE)
Laurie McMahon (DTZ)
Greta Garner (Green Coast Realty)
Brant Smith (NEO Realty Group)
Sally Wilson (NGKF)
This year, Green Lease Leaders own or lease 415 million square feet in North American buildings, bringing the grand total to over 800 million square feet of commercial space since the creation of the program. This year’s leaders also represent nearly every major property type, including offices, retail space, and manufacturing sites.
“Increasingly, we are noticing that more markets and tenants are amenable to green leases, and we’ve had great success in some of the largest markets, including New York City, where many tenants understand and demand energy-efficient space,” said Nicholas Stolatis, Senior Director of Global Sustainability and Enterprise Initiatives for TIAA-CREF.
Those selected for Green Lease Leader designation use lease clauses that improve sustainability on several key fronts such as allowing for sharing of the costs of energy-saving improvements, ensuring spaces are built out to green or energy-efficient standards, and increasing transparency by obtaining and sharing access to energy consumption data and ENERGY STAR scores between tenants and landlords—a factor that will assist the growing number of buildings that must comply with energy benchmarking and transparency laws around the U.S. and abroad.
“Through the Green Lease Leaders program with the Better Buildings Alliance and co-organizer the Institute for Market Transformation, this effort is showing that cooperation on energy efficiency is no longer just a niche practice,” said Dr. Kathleen Hogan, Deputy Assistant Secretary for Energy Efficiency at DOE, during a presentation at the Better Buildings Summit.
Historically, real estate owners and tenants have had difficulty integrating sustainability into the lease process due to tension between owners and tenants over responsibilities and cost-sharing arrangements. The Green Lease Leaders program is helping to shine a light on replicable solutions that can be employed by others to get past this split incentive.
“As a contractual arrangement, the lease is a powerful tool to help landlords and tenants increase building energy efficiency. The Green Lease Leaders recognized today are redefining the role that leasing space can contribute to the triple bottom line and setting a standard for the industry,” said Kristen Taddonio, Manager of DOE’s Better Buildings Alliance.
This year’s program included the addition of a Green Lease Leader designation for brokers. “In addition to so many forward-thinking property owners and tenants this year, we’re excited to be celebrating commercial brokers too as they play such a vital role in real estate transactions,” said Adam Sledd, Director for IMT’s commercial real estate engagement program. “Brokers facilitate many interactions between landlords and tenants, and are relied on to identify and add sustainable best practices into the lease—this year’s Green Lease Leaders show a clear sign of the mastery of proven measures to reduce operating expenses and lessen the impact of buildings on the environment.”
ABOUT THE INSTITUTE FOR MARKET TRANSFORMATION
The Institute for Market Transformation (IMT) is a Washington, D.C.-based nonprofit organization promoting energy efficiency, green building, and environmental protection in the United States and abroad. IMT's work addresses market failures that inhibit investment in energy efficiency and sustainability in the building sector. For more information, visit imt.org and follow us on Twitter at @IMT_speaks.
ABOUT THE BETTER BUILDINGS ALLIANCE
The Better Buildings Alliance is a U.S. Department of Energy (DOE) effort to promote energy efficiency in U.S. commercial buildings through collaboration with building owners, operators, and managers. Members of the Better Buildings Alliance commit to addressing energy efficiency needs in their buildings by setting energy savings goals, developing innovative energy efficiency resources, and adopting advanced cost-effective technologies and market practices.