Over three quarters of European institutional investors have seen a decline in value of their commercial real estate assets of between 20 percent and 40 percent during the past three years due to poor energy performance metrics.
New research released by re:sustain, an energy consumption technology platform, shows buildings that did not use energy efficiently have experienced either reduced capital value, lower leasing levels or future liquidity concerns. After surveying 200 European real estate institutional asset managers in the United Kingdom, Germany, France, Netherlands, Spain and Italy, with combined assets under management of €296 billion, the company says that challenge of tackling poor energy performance is growing for many real estate portfolios.
Two-thirds of those surveyed said 20 percent to 40 percent of the properties in their commercial real estate portfolios use of energy is materially above expected energy benchmarks for those assets’ type and locat
