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2020 Vol.11, Issue 3

General Article

Spillover effect of LEED-Energy Star certified office buildings on market values in New York city
MinJae Suh1*
,
Annie R. Pearce2
,
Yang Zhang3
,
Kenneth S. II Sands4
,
Yonghan Ahn5
,
Kyungki Kim6
1Assistant Professor, Department of Engineering Technology, Sam Houston State University
2Associate Professor, Department of Building Construction, Virginia Tech
3Associate Professor, School of Public and International Affairs, Virginia Tech
4Assistant Professor, Department of Construction Management, Florida Gulf Coast University
5Associate Professor, Department of Architectural Engineering, Hanyang University-Erica
6Assistant Professor, Durham School of Architectural Engineering and Construction, University of Nebraska
* Corresponding Author
29 September 2020. pp. 111-141
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Abstract

Although the LEED and Energy Star certifications are designed primarily to protect the natural environment and promote the quality of life, they also produce positive economic benefits for the stakeholders of certified buildings. These economic benefits are expected to extend to some extent to their immediate neighboring buildings, thus encouraging growth in the local real estate market and partially satisfying the triple bottom line of sustainability. This study examined the impact of a LEED and/or Energy Star certified office building on the median unit market value of neighboring buildings in New York City based on five different proximity bands relative to the certified office building. Both spatial and statistical methods were utilized. LEED and/or Energy Star certified office buildings were found to exert various spillover effects on the median unit market value of buildings in each sub-neighborhood depending on the proximity of each building to the LEED and/or Energy Star certified office building. These spillover effects support the mutual growth of LEED and/or Energy Star certified office buildings and their neighborhoods from a socio-economic standpoint.

Keywords
spillover effect
market value
LEED certified office building
Energy Star certified office building
sub-neighborhood; proximity
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Information
  • Publisher :Sustainable Building Research Center (ERC) Innovative Durable Building and Infrastructure Research Center
  • Publisher(Ko) :건설구조물 내구성혁신 연구센터
  • Journal Title :International Journal of Sustainable Building Technology and Urban Development
  • Volume : 11
  • No :3
  • Pages :111-141
  • Received Date : 2020-02-04
  • Accepted Date : 2020-07-14
  • DOI :https://doi.org/10.22712/susb.20200010
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