Utility costs and indoor air quality shape commercial real estate sustainability trends

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Utility costs and indoor air quality shape commercial real estate sustainability trends

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Kevin Sears President | Official website

Commercial real estate clients are increasingly prioritizing building performance, with a focus on operating costs, indoor air quality, and energy efficiency. These findings come from the National Association of REALTORS (NAR) 2025 REALTORS Commercial Sustainability Report.

"Commercial real estate agents recognize the importance of sustainability when purchasing, leasing, or selling properties," said NAR Deputy Chief Economist Jessica Lautz. "Properties with green building certifications tend to have higher property values and are more energy efficient than buildings without a certification."

Lautz also noted a trend toward adaptive reuse in the industry. "More commercial practitioners are exploring adaptive reuse to transform vacant or underused properties into new spaces, often for residential use," she said. "Repurposing buildings can be an innovative way to sustainably increase both housing supply and new community spaces."

The report is based on an August 2025 survey of NAR’s commercial-focused members regarding sustainability issues. According to the survey results, utility and operations costs were identified by 32% of agents as very important factors for clients when deciding where to buy or lease. Indoor air quality was cited by 26%, energy-efficient windows and doors by 25%, concerns about extreme weather events by 21%, and efficient lighting by 16%.

Other key findings include that 55% of agents and brokers believe promoting energy efficiency in listings is valuable. Additionally, 30% say that green certifications raise commercial building property values in their markets. The report notes that 37% of respondents have completed some form of training related to sustainable elements in commercial properties, such as energy-efficient appliances or renewable energy systems.

Furthermore, 32% of brokerage firms have experience working with repurposing commercial buildings. Among top market issues cited by agents and brokers are improving the energy efficiency of existing buildings (38%), valuation of solar panels (35%), and understanding how solar panels impact transactions (34%). These percentages reflect shifts from previous years’ data.

The National Association of REALTORS is engaged in various aspects of both residential and commercial real estate. The organization offers consumer guides about homebuying and selling processes at facts.realtor.

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