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Sustainability in the Built Environment SUSTAINABILITY IN THE BUILT ENVIRONMENT Green Market Study 2014 Finland and the Nordics WWW.RAMBOLL.FI WWW.RAMBOLL.COM 2 SUSTAINABILITY IN THE BUILT ENVIRONMENT CONTENT INTRODUCTION 3 FROM 2010 TO 2014 4 TRENDS YESTERDAY, TODAY AND TOMORROW 5 FROM DATA MONITORING TO DATA UTILIZATION 6 EFFICIENT COMMUNICATION 9 ENGAGEMENT IS NEEDED BETWEEN TENANTS AND OWNERS 10 SMART CITY AND TENANTS’ NEEDS 11 SERVICE PROVIDER’S PERSPECTIVE 12 ECONOMIC DOWNTURN CONTINUES TO CHALLENGE REAL ESTATE OWNERS 13 GREEN PREMISES ARE MORE COMMON IN THE NEAR FUTURE 14 GREEN VALUES FROM DIFFERENT PERSPECTIVES 16 GREEN TOOLS 17 BUILDING DEVELOPERS ARE ADDRESSING GREEN BUILDING REQUIREMENTS 20 AREA AND REAL ESTATE DEVELOPMENT CHALLENGES 22 NORDIC COUNTRIES TRUST IN LEGISLATION AND EDUCATION IN PROMOTING SUSTAINABILITY 23 STRONG TRUST IN SOLAR ENERGY AND BUILDING INFORMATION MODELING (BIM) GLOSSARY 24 GLOSSARY 26 SUSTAINABILITY SERVICES AT RAMBOLL 29 HOW GREEN MARKET STUDY 2014 WAS CONDUCTED 31 GREEN MARKET STUDY 2014 3 INTRODUCTION Ramboll Green Market Study (GMS) 2014 is the fourth insight of the real estate business trends and development related to sustainability and green building in the Nordic countries since 2008. This time we focused on business models developed to support sustainability and data management. New innovations and sustainability communication were included also as topics of interest in our study. The results indicate clearly that the industry has a common understanding and trust in technology and technological development. Innovations are seen as an essential part of the industry’s evolution into truly Challenging economic environment, sustainable construction and “evergreen” new technological innovations and more building stock. Additionally, increased significant role of communication have environmental awareness of tenants and reflected in the recent development of the their need for more information are evident real estate and construction industry. This findings. Deeper co-operation between development has resulted in more efficient tenants and owners is mutually beneficial use of resources, increased significance of in supporting the parties in their widening green buildings and deeper co-operation environmental efforts. Respondents’ between stakeholders. underline the Nordic countries’ strong trust in legislation to promote the sustainability Sustainability is already integrated in the within the industry. Other influencing strategic decision-making of the companies. possibilities are seen in development of It will be interesting to see how and when future expertise and through education the innovations and business opportunities and sharing the information in international recognized by our respondents begin to conferences and through expert become reality. associations. We hope you find GMS 2014 useful and The role of tenants has been emphasized interesting to read. in recent years due to the market development. This also resulted in the We highly appreciate any feedback and large number of respondents in the tenant comments to [email protected]. group. Total number of respondents was also larger than in the previous surveys. Mikko Hyytinen Therefore, we warmly thank all respondents Director, Real Estate consulting for their contribution. Ramboll Finland Oy 4 SUSTAINABILITY IN THE BUILT ENVIRONMENT FROM 2010 TO 2014 ENVIRONMENTAL VALUES A GREEN BUILDING IS ARE PART OF THE EASILY ACCESSIBLE, OF COMPANY STRATEGY HIGH QUALITY, HEALTHY AND ECONOMICAL TO USE 71% • Tightened legislation and regulation has • Premises are selected raised sustainability as based on the location, 71% of the respondents vital part of everyday cost, modification reported that environmental values are part of the company operations. Pioneering potential and access to social responsibility strategy. companies have already public transportation gained a competitive network. advantage and generated • Premises are built based new business focusing on location, energy on environmental use efficiency, cost, values and services. modification potential • 70% of the respondents and access to public 30% see environmental transport network. values as a part of company social 30% of the respondents responsibility strategy. are a part of the green building network. • 45% of the respondents monitor their environmental impacts due to requirements of STAKEHOLDER environmental legislation. COMMUNICATION OFFERS • 40% of the respondents BUSINESS BENEFITS see environmental values as an opportunity for • Dialogue between tenants, business development owners and operators and growth. is considered ever more necessary and important. • 30% of the respondents are members of national • New business can be Green Building Councils. developed through co-operation with stakeholders and digitising of building and services performance data. GREEN MARKET STUDY 2014 5 TRENDS YESTERDAY, TODAY AND TOMORROW In the GMS 2010 environmental the real estate and construction aspects were seen as an industry. However, energy costs opportunity to strengthen increase has not impacted as company brand and image. significantly as it was believed. FROM DATA MONITORING Increasing energy costs, TO DATA UTILIZATION regulation and legislation were According to GMS 2014, the estimated to have strong steering cost of energy is not yet among • Data monitoring will impact to the environmental the three most important be more detailed and approach of the real estate and environmental drivers, but half presented on time. construction industry. Pioneering of the respondents believe that • Consumption of energy, companies wanted to keep up it will become one of the most water and the amount with the industry development. significant factors in coming 5–10 of waste remain as key years with the legislation. Also performance indicators According to GMS 2014, the the significance of customer of building operation. influence of regulation and requirements is expected to legislation as an environmental increase together with the will to • Systematic monitoring, driver in the business has keep up with the development reporting and become more evident. Regulation in the market. Environmental responsiveness to key and legislation has become aspects and risks have therefore performance indicator considerably stricter after 2010. become significant factors in data will increase At the same time, environmental the real estate and construction in the future. values are not seen any more industry. Pioneering companies as a strong opportunity for have already identified relevant strengthening company brand and environmental aspects in the image. Therefore the forecast of industry and developed their own GMS 2010 has realized in part as operational models accordingly. regulation and legislation guide Other companies are forced to the environmental decisions in follow this development. STRONG TRUST IN SOLAR ENERGY AND BIM Which are the three (3) most Currently (2010) important aspects influencing environmental awareness After 5–10 years (2010) • Utilization of solar energy in your organisation? Currently (2014) and BIM is expected to increase the most. After 5–10 years (2014) 100% • Zero-energy building is expected to become 90% more popular. 80% • Tenant and shared use of 70% the premises is still waiting for their breakthrough in 60% the real estate industry. 50% • In the Nordic countries 40% green building is believed to be promoted most 30% effectively by active 20% participation in the EU level decision-making, 10% training and education 0% as well as by influencing Official Will to keep Opportunity Rising energy Customer regulations and up with to develop the costs requirements legislation and regulations. legislation development image or the in the field brand of the company 6 SUSTAINABILITY IN THE BUILT ENVIRONMENT FROM DATA MONITORING TO DATA UTILIZATION Real estate and construction lacking on commuting and business “Tenant satisfaction and industry has been considered to be travel, other emissions into the air, waste recycling rate are in transition since the beginning of greenhouse gas (GHG) emissions the last decade. Increased and monitoring the environmental needed alongside the operating costs of premises has led guidelines of procurement. traditional environmental to closer monitoring of operation monitoring indicators.” and maintenance costs. The Monitored key indicators have economic down-turn of 2008 also still slow or minor impact to the drove the real estate business into decision-making in the companies. a situation in which the cost More than half of the respondents structure needed to be examined reported that deviations are not more thoroughly. Information on checked or are checked only an building operation is gathered annual basis that causes delays more in detail and pioneering for decision making. 25% of the companies already know how to respondents stated that monitoring utilize this information efficiently to the indicators is prioritized and 18% lower maintenance and operation that deviations are addressed costs. when necessary. Only 18% of 18% of the respondents the respondents reported that reported that the indicators are Based on GMS 2014, companies are the indicators to be monitored selected based on company strategy, extensively monitoring energy and are selected based on company a named person is responsible for the water consumption in total and also strategy, a named person is monitoring, and reporting procedures as well as instructions how to act in by tenant. Generally, monitoring
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