Perceptions of value premiums and workplace productivity in India

With India experiencing a construction boom, and with an estimated 66% of property stock required by 2030 yet to be built, this timely piece of research investigates the perceived market demand, value premiums and workplace productivity gains associated with green buildings in India. The research also looks at green rating systems and current policy initiatives in India.

Research design

This research is based on surveys of developers/investors, tenants and employees working in green rated buildings in India. The research explores participants’ perceptions of various aspects of property performance of green certified buildings compared to conventional buildings and seeks to answer the following questions:

• What are the cost, rent and value premiums for green buildings in India?
• What are the motivations for developers to build and occupiers to occupy green buildings over conventional? 
• How do employees perceive working in green buildings?

Key findings

The survey provides a detailed breakdown of developers’/investors’ perceived risks associated with conventional buildings compared to green, and looks at the challenges identified with green building. Estimations are given for green premiums for the office, retail, industrial and residential sectors, along with the perceived rise in cost of green residential buildings in comparison to conventional for these sectors.

The survey also garners tenants’ views on green rental premiums and operation cost savings of green buildings, and the impact of green buildings on employees’ well-being as well as on workplace productivity.

About the RICS Research Trust

This research was funded by the RICS Research Trust. The Trust supports and promotes high-quality independent contributions to knowledge in the disciplines of land, real estate and construction.

The Trust is ready to consider applications from professionals and full-time researchers located anywhere in the world.