If solar power wasn’t on the agenda for more CRE owners, operators, and developers before the pandemic, it should be now. The Inflation Reduction Act, passed in 2022 as an attempt to slow the growth of inflation, has provided many billions in potential tax credits for smarter energy use and generation, with solar a big part.

And there are many ways to using solar, including having panels installed directly for the owner, renting space out to third parties, providing power to tenants, using it only for internal purposes and cutting utility bills, or selling power back to the grid. Installation costs of PV dropped by 90% between 2010 and 2020, as JLL notes. Life expectations of the systems have also grown to a range of 25 to 40 years. Then there are the ESG benefits at a time when the chances of having to report on greenhouse gas emissions either directly or through tenants is a distinct probability for CRE firms.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Erik Sherman


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.