Green Trends to Drive Growth in 2011
The rapidly expanding green building market stands as an exception to an otherwise slow U.S. economy, according to a new report released by McGraw-Hill Construction.
The report, Green Outlook 2011: Green Trends Driving Growth, reveals a 50% increase in the value of green building construction starts since 2008 – from $42 billion to $71 billion. Such growth is expected to continue, with construction values projected to reach $135 billion by 2015.
According to building owners interviewed for the report, three business benefits of green building have helped drive the growth.
FIRST.
Green building helps reduce operating costs, such as lighting and heating, by an average of 13.6% for new buildings and 8.5% for retrofits.
SECOND.
Building values increase up to 10.9% by building green.
THIRD.
Building owners have experienced a significant return on investment by building green – 9.9% for new buildings and 19.2% for retrofits.
Other reasons for this growth include owners’ desire for greater differentiation, growing public awareness and increased local and federal regulation.
“It’s an amazing area of opportunity at a time when the construction market is extremely challenged,” said McGraw-Hill Vice President Harvey M. Bernstein. “In today’s economy, firms that specialize in green or serve this market are seeing a tremendous advantage – and they’re doing good at the same time. Green building leads to healthier places for us to live and work in, lower energy and water use, and better profitability.”
