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REPORT: Green lending programs offer financial incentives for energy-efficient developments

Visit: https://www.erisinfo.com/green_lending/

Report and Webinar An Overview of agency green lending programs text over Read more button

By Keely Felton, CEA, CMVP, Vice President Nova Energy Group

February 12, 2020

Climate change concerns are driving important real estate lending industry changes. Major “green” lending programs help to offset the costs of such sustainable and energy-efficient improvements.

While the impact of agency green-lending programs is expected to be positive in both environmental and financial terms, of particular interest to lenders are the financial benefits which include:

  1. Reduction in building operating costs (resulting in higher Net Operating Income or “NOI”)
  2. Increase in building valuation and sale price
  3. Reduced maintenance time and costs
  4. Management of the risk inherent in variable utility costs
  5. Ability to charge rental rate premiums and improve tenant retention

Do you or your clients want to know more about them?

While green lending programs can be of major benefit to developers and the environment alike, there’s a learning curve for borrowers wanting to implement green measures. Our green lending report explains it all!