Forecast: Existing buildings to earn 50% of green building certifications
Green building certifications from programs such as Leadership in Energy and Environmental Design (LEED) and the Building Research Establishment Environmental Assessment Method (BREEAM) are quickly becoming the standard for the construction industry in many countries. While green building certification programs are well-known for their importance in new construction projects, a recent report from Pike Research forecasts that by 2020, nearly half the total certified footprint – 25 billion square feet – will comprise certifications for existing buildings.
“As the new construction market has slowed during the global recession, green building certifications for existing buildings have become an increasing area of focus,” says research analyst Eric Bloom. “Green building has remained robust during the recession, and with evidence that real estate is picking up worldwide, green building is poised for even stronger growth in the next few years. In addition, while financing for energy efficient retrofits remains hard to come by in many regions, green building is being bolstered by its ability to differentiate a building in a tough real estate market.”
Bloom adds that although North America has been the clear leader in green building certification to date, Asia Pacific’s green building market is growing quickly, thanks to a number of popular certification programs in China and India. Certified space in the Asia Pacific region will grow over tenfold between 2010 and 2015, to over 5 billion square feet. Bloom forecasts that this number will exceed 13 billion square feet by 2020.
Pike Research notes that there are dozens of certification programs worldwide, but LEED is and will remain the single largest certification system, covering approximately 22 billion square feet around the world by 2020 and representing over 40% of all green-certified space.
Pike Research’s study, “Green Building Certification Programs”, analyzes the current market and regulatory conditions related to green building certification programs and provides forecasts for the growth of this industry. The report includes an in-depth examination of green building drivers, barriers, and likely shifts in the underlying construction market. It also features profiles of major industry players including commercial real estate companies, trade associations, and green building councils as well as detailed descriptions of dozens of green building certification programs in operation around the world. An Executive Summary of the report is available for free download on the firm’s website.
Pike Research is a market research and consulting firm that provides in-depth analysis of global clean technology markets. The company’s research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Smart Energy, Clean Transportation, Clean Industry, and Building Efficiency sectors. For more information, visit www.pikeresearch.com or call +1.303.997.4619.