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The growing adoption of BREEAM certification in American real estate.
Why BREEAM is Gaining Traction in the USA
The adoption of Building Research Establishment Environmental Assessment Methodology (BREEAM) certification has been steadily increasing in the United States. According to IREI's 2024 year in review, this trend reflects a growing recognition among American real estate professionals and policymakers of the importance of sustainable building practices.
BREEAM is an internationally recognized standard for measuring the environmental sustainability of buildings. It assesses various aspects, including energy efficiency, water management, waste reduction, and indoor air quality. As ESG considerations become more important, achieving BREEAM certification allows developers to demonstrate their commitment to reducing the environmental impact of their projects. The 2023 year in review showed robust certification growth across the country.
Benefits of BREEAM Certification
The benefits of BREEAM certification extend beyond environmental sustainability. It can also lead to cost savings through reduced energy consumption and improved occupant health and productivity. Moreover, BREEAM-certified buildings often attract tenants who prioritize sustainability and are willing to pay a premium for environmentally responsible properties.
As the demand for sustainable buildings continues to grow, developers who adopt BREEAM certification can differentiate themselves from competitors and stay ahead in the market. Additionally, many states and cities in the USA offer incentives for BREEAM-certified projects, such as tax credits or zoning bonuses.
Challenges and Opportunities
While there are benefits to adopting BREEAM certification, there are also challenges that developers must consider. These include higher upfront costs associated with sustainable design and construction, as well as the need for ongoing maintenance and monitoring to ensure continued compliance with BREEAM standards.
See how on-site farms feed the major certifications in our ESG-aligned urban farming guide, and what that means for commercial real estate.
Despite these challenges, the opportunities presented by BREEAM certification far outweigh the costs. As the USA continues to prioritize sustainability and environmental stewardship, developers who adopt BREEAM certification will be well-positioned to capitalize on this trend and create long-term value for their projects, as detailed in our green building certifications guide.
