Intelligent Investment Strengthening Value Through ESG | Survey of Global Property Professionals Features that reduce energy consumption are most important FIGURE 9: How would the presence or absence of the following energy-related green when evaluating a property transaction. Investor and occupier building features change your company’s real estate decisions? sentiment is somewhat split between respondents who would pay a premium vs. seek a discount if a building had or lacked features that reduce energy consumption. Occupiers appear most likely to Percent of Responses reject buildings without such features, likely because of less 70% ability to demand them once a lease is signed. Features that reduce Smart technology to adjust building On-site renewable More than half of survey respondents are willing to pay a 60% energy consumption operations and reduce energy generation premium for buildings that already have on-site renewable energy environmental impact generation and/or smart technology that adjusts building 50% operations to reduce environmental impact. This sentiment is led by investors who might have to invest significant capital to make 40% these improvements if they were not already present. As they did for instituting ESG initiatives, rising energy prices and 30% government regulation most likely influenced respondents’ 20% choices of which environmental features they consider most important when valuing a transaction. 10% 0% If present, we’d If absent, we’d seek a If absent, we’d exit If present, we’d If absent, we’d seek a If absent, we’d exit If present, we’d If absent, we’d seek a If absent, we’d exit consider paying a discount from or reject the consider paying a discount from or reject the consider paying a discount from or reject the premium building premium building premium building All Investor Occupier