Does Green Property Management Pay Off?

Does Green Property Management Pay Off?

Posted on 03. Sep, 2010 by in Greener Properties

Even though we haven’t seen lots of mainstream media stories about the benefits of a “Green” approach to property management, the subject is hot.

Well, maybe not as hot as a story about Geothermal Energy or how to install solar panels on your roof to create your own hot water. But the “Green and Clean” consciousness is growing more than ever.

It may be a big part of the political agenda in the months ahead, according to some unnamed sources I’ve recently heard from. Yes, the Green Movement may be receiving some big economic incentives in the immediate future from Uncle Sam.

So there’s a good way to answer the question posed in the title of this article. The tax breaks and incentives available in many of our local municipalities, at the state government level, or by the federal government are big and about to get bigger.

Just call your local energy utility company and ask to speak to one of their energy conservation experts. I assure you they have people on staff willing to come to your property at no charge and give you a long list of money-saving ways
to go green.

Go to your state’s departments of energy and conservation web sites and see what they’re offering.

In some regions of the country they offer generous reimbursements to home and rental property owners for installing everything from energy-saving windows and hot-water heaters to better insulation in the attic.

It is literally a win-win for everyone involved. There’s an immediate payoff as studies over the last few years show that both commercial and residential rental property that meet the latest LEED (LEED is an acronym for Leadership in Energy and Design) standards have a higher rate of occupancy.

One study completed in 2009 showed that green real estate is more desirable.  Properties managed in a green, energy-efficient manner command higher monthly rental and lease rates.

The same study showed that if the property met the current LEED standards and were put on the market for lease or for sale, they were much more likely to get a higher price-per-square foot.

Much more information on the financial benefits of going green as a property owner or manager can be found at , which also include a Field Guide for Green Property Management.

Also, if you want to explore more of the benefits of retrofitting your properties to the latest LEED standards, a good source of information is found at

At the very least, as responsible property managers we can educate ourselves on why Green Property Management if good for us, our residents, and our community.

There are many ways to familiarize ourselves with the payoffs and current incentives. You’ll find it encouraging and potentially rewarding as you learn about current and pending legislation that rewards those who go green now and for years to come.

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