PR Newswire: news distribution, targeting and monitoring
Nov 13 2012

NEW YORK, Nov. 13, 2012 /PRNewswire/ -- Around the world, the green building marketplace is accelerating, according to a new study being released by McGraw-Hill Construction in partnership with United Technologies today at the Greenbuild International Conference and Expo in San Francisco.

The study indicates a shift in the global construction market, now viewing green as a business opportunity rather than a niche market. Overwhelmingly, firms report that their top reasons to do green work are client demand (35 percent) and market demand (33 percent) -- two key business drivers of strategic planning. The next top reasons were also oriented toward the corporate bottom line -- lower operating costs (30 percent) and branding advantage (30 percent). In contrast, the top reason in 2008 motivating the green building market was doing the right thing (42 percent) and market transformation (35 percent), followed by client and market demand.

"This research confirms that green building advances environmental stewardship while providing value to the market," said Geraud Darnis, president and CEO, United Technologies Climate, Controls & Security.  "It also confirms that we now see more pull than push for green buildings."

In the next three years, the sectors with the largest opportunity for green building around the world include new construction and renovation projects. Sixty three percent of firms have green work planned in new commercial projects and 45 percent in new institutional projects by 2015, and 50 percent have plans for green renovation work. In the United Kingdom and Singapore, green renovation projects were planned by the greatest number of firms at 65 and 69 percent respectively. In Brazil and UAE, new projects pose the largest opportunity. In Brazil, 83 percent of firms are planning to work on new green commercial projects over the next three years, and in the UAE, 73 percent have new green institutional projects planned.

"It is notable that over the next three years, firms working in countries around the world have green work planned across all building types, incorporating both new construction and renovation," said Harvey M. Bernstein, vice president, Industry Insights and Alliances for McGraw-Hill Construction. "The existing building market is a ripe opportunity for green building, and we are seeing that play out in the market. It is clear that green is becoming an important part of the future landscape of the global construction marketplace, and firms will need to be prepared for that transition."

Green buildings are also expected to garner business benefits for building owners. For new green building projects, firms report median operating cost savings of 8 percent over one year and 15 percent over five years, as well as increased building values of 7 percent (according to design and construction firms) and higher asset valuation of 5 percent (according to building owners).

For green retrofits, operating savings are higher than for new buildings with operating costs reported to decrease by 9 percent over one year and 13 percent over five years. Asset valuation is also expected to increase, though at more moderate levels than for new green buildings -- design and construction professionals expect 5 percent increased building value from green retrofits, and owners expect higher asset valuation of 4 percent. For green projects, payback on efforts is expected within 8 years for new projects and 7 years for retrofit/renovation work.

Other significant findings include:

  • Human factor benefits are driving green building more today compared to three years ago -- 55 percent cite greater health and well-being as the top social reason for green (tied with encouraging sustainable business practice), up from only 29 percent in 2008.
  • Energy use reduction tops the environmental reasons for green building -- 72 percent say it is the important environmental reason to engage in green building.
  • Water use reduction is more important today. 25 percent of study respondents cite reduced water consumption as the top reason, up from only 4 percent in 2008. It is particularly important in the UAE (64 percent cite it as a top reason), Brazil (39 percent), and the U.S. (32 percent), ranking as the second most important environmental factor in these countries.
  • Improved indoor air quality is also more important today -- 17 percent cite it as a top reason to engage in green building, up from only 3 percent in 2008.
  • For firms not currently doing any green project work, the primary driver that they think will motivate future green activity is the desire to do the right thing. This is in sharp contrast to those involved, suggesting this market is not as familiar with the business case for green building.

"We've been on the ground watching the markets shift to green around the world. Today, there are green building councils in 92 countries around the world -- more than double what it was when we first looked at the green building market globally in 2008," said Jane Henley, president of the World Green Building Council. "The business case is helping move the markets, and this study underscores the importance of measuring and reporting those benefits."

"This study validates what we've experienced the past couple of years -- that the business community has fully embraced green building as a strategic business imperative that also happens to have a strong societal benefit.  We see this as a success of LEED and all the rating systems that have helped drive green building movement globally," said Rick Fedrizzi, president, CEO and founding chair, U.S. Green Building Council.

The study also revealed that approximately 48 percent of the work by U.S. respondents was green -- with that share expected to increase to 58 percent by 2015. These results are consistent with McGraw-Hill Construction's 2013 Dodge Green Construction Outlook that sized the green building share of new construction starts in the U.S. to be 44 percent by value, and up to 55 percent by 2015.

The findings are drawn from a McGraw-Hill Construction survey of firms across 62 countries around the world. Firms include architects, engineers, contractors, consultants and building owners. The sample was drawn from firm members of the World Green Building Council in 62 countries, other global industry associations, and the ENR Top Lists. Of the respondents, 92 percent are members of Green Building Councils around the world. The results include a feature of 9 countries around the world with sufficient sample for statistical analysis. The study expands and contrasts against McGraw-Hill Construction's 2008 Global Green SmartMarket Report study. Given the survey sample source, McGraw-Hill Construction compared the sample against a non-GBC member audience, which was comparable in terms of involvement in green and planned activity. Further, the U.S. sample was consistent with McGraw-Hill Construction's extensive analysis of the U.S. construction market through its Dodge project data.

The study was produced in partnership with United Technologies with support from the World Green Building Council and the U.S. Green Building Council. Other research association partners include the Chartered Institute of Buildings, International Federation of Consulting Engineers (Federation Internationale Des Ingenieurs-Conseils), Association for Consultancy and Engineering, Conseil International du Batiment (International Council for Building), Architect's Council of Europe, and the Royal Institution of Chartered Surveyors. A separate survey of global manufacturing firms was also conducted.

The results of the study will be presented today in San Francisco at the International Summit at the Greenbuild Conference and Expo at the Moscone Center -- West Building, with remarks by Geraud Darnis, president & CEO United Technologies Climate, Controls & Security at noon pacific time and presentation by Harvey Bernstein at 4:15 p.m. pacific time. The study will also be discussed at a panel from 11:00 to 11:30 a.m. pacific time on Wednesday, Nov. 14, at the McGraw-Hill Construction Booth #3539 in the Moscone Center -- North Building Exhibit Hall. The panel will feature executives from McGraw-Hill Construction, United Technologies Climate, Controls & Security, World Green Building Council and U.S. Green Building Council.

For more key findings from the 2012 World Green Buildings Study, visit http://bit.ly/ZD4zz5. The full report containing these and other study results will be published as part of McGraw-Hill Construction's SmartMarket Report series, with global release anticipated in the first quarter of 2013.

About McGraw-Hill Construction:  
McGraw-Hill Construction's data, analytics, and media businesses -- Dodge, Sweets, Architectural Record, GreenSource, and Engineering News-Record -- create opportunities for owners, architects, engineers, contractors, building product manufacturers, and distributors to strengthen their market position, size their markets, prioritize prospects, and target and build relationships that will win more business. McGraw-Hill Construction serves more than one million customers through its trends and forecasts, industry news, and leading platform of construction data, benchmarks, and analytics. To learn more, visit www.construction.com.

About The McGraw-Hill Companies:   
McGraw-Hill announced on September 12, 2011, its intention to separate into two companies: McGraw-Hill Financial, a leading provider of content and analytics to global financial markets, and McGraw-Hill Education, a leading education company focused on digital learning and education services worldwide. McGraw-Hill Financial's leading brands include Standard & Poor's Ratings Services, S&P Capital IQ, S&P Dow Jones Indices, J.D. Power and Associates and Platts, a leader in commodities information.  With sales of $6.2 billion in 2011, the Corporation has approximately 23,000 employees across more than 280 offices in 40 countries. Additional information is available at http://www.mcgraw-hill.com/.

About United Technologies  
United Technologies Corp., based in Hartford, Connecticut, is a diversified company providing high technology products and services to the building and aerospace industries.

Media Contact:  
Kathy Malangone, Senior Director, Marketing Communications, McGraw-Hill Construction, +1-212-904-4376, kathy_malangone@mcgraw-hill.com

SOURCE McGraw-Hill Construction



RELATED LINKS
http://www.construction.com

Questions?

Can I help you? Drop me a line and let me know. 

Blogger Services

Customized Newsfeeds

Don't let the name PR Newswire for Journalists dissuade you. This is a great service for bloggers. Any content creator -- whether you're a journalist, freelancer or blogger -- can set up a customized profile to receive releases based on preferences. You also have access to hi-res photos, media-only content such as media advisories and embargoed releases, and experts via ProfNet.

ProfNet

Need expert sources? Check out ProfNet, a service that helps journalists, bloggers, authors, and other content creators connect with experts -- at no charge. Sending a query is easy: Just fill out a form detailing the kind of expertise you need, how you want to be contacted, and your deadline. ProfNet will do the rest. You also can sign up for a weekly "tip sheet" of experts and story ideas. Visit ProfNet for more info or go directly to the query form.

ProfNet Connect

ProfNet Connect is a free, interactive online community where PR professionals, experts, and media professionals can network and engage with one another. Via profiles, forums and blogs, subject-matter experts can position themselves as the go-to source for content creators and journalists. In turn, content creators can search the site by keyword to find the experts they need. The site also features enhanced profile capabilities, allowing users to easily add multimedia components -- photos, videos, white papers and more -- to their profiles.

News Widget

Our widget allows you to display PR Newswire content on your site with very little back-end programming required.  You not only get the headline, but also the body of text of the news release, keeping the user on your site at all times.  In order to do so, the difference between our Widget and other widgets is at the end of the sign-up process, you will be provided with two pieces of source code -- one for the page where the Widget itself will be displayed and one for the pages that will display the body of text of each news release.  In addition, the sign-up process allows you to have 100 percent control over every aspect of the Widget's appearance, so that the Widget can blend in fully with the look and feel of your site. Still not convinced? Here's what one blogger had to say about the widget.

Search
  
  1. Home
  2. News Unfiltered
  3. Blog Posts
  4. Blogger Services
  5. Blogger Events
  6. Contact Us