Hong Kong, Sydney among Asia-Pacific cities facing ‘unprecedented shortage’ of green office buildings: JLL
- Sydney is expected to face an 84 per cent shortfall of green grade A office space in the next five years, while Hong Kong is likely to see a 68 per cent supply deficit
- Leasing office space in green-certified office buildings is becoming a must for companies striving to achieve their net-zero targets, JLL says
Cities in Asia-Pacific are staring at an “unprecedented shortage” of sustainable office buildings as companies strive to meet their net zero targets, according to JLL.
Office tenants will be looking beyond green certification and making decisions based on sustainability metrics, including energy efficiency and green energy procurement as part of corporate commitments to meeting their net zero carbon goals, according to the property consultancy.
“Leasing office space in green-certified office buildings is becoming non-negotiable for occupiers, but currently there is very little correlation between these certifications and a building’s energy performance,” said Kamya Miglani, JLL’s head of ESG research for the Asia-Pacific in a statement on Monday.
“Demand for high-quality, low-carbon workplaces will inevitably grow when lease expiries approach. Occupiers risk being stuck with limited options if they fail to plan ahead and re-evaluate the sustainability credentials of their current premises.”
Cities in the Asia-Pacific are set to face an undersupply of net zero carbon buildings over the next five years, according to JLL’s analysis of lease expiries for top occupiers and supply pipelines for sustainable office buildings pre-registered for the highest grade of green certification credentials until 2028.
