Clear Link Between Sustainability, Tenant Satisfaction

WASHINGTON, DC—There are a number of studies showing the link between sustainability in buildings, both their construction and operations, and the performance of said buildings. Little research has been done, however, to establish a connection between tenant satisfaction and sustainability.

For many, of course, the answer to the question of whether there is link seemed to be an obvious yes. DTZ, though, wanted to establish the connection scientifically and set out to do so. Not only did it find a connection, but a very strong one that surprised even the study designers, DTZ Vice President, Sustainability Services, Allison Porter tells GlobeSt.com. "It is really unusual to see the strong linkages that we found," she says.

As part of the study, Porter and DTZ Economist Rebecca Rockey evaluated responses to Kingsley Associates' tenant surveys–the industry standard in measuring tenant satisfaction–relative to common sustainability certifications. The study examined three building-specific certifications: the US Green Building Council's Leadership in Energy and Environmental Design-Existing Buildings: Operations and Maintenance (LEED EB), EPA's ENERGY STAR and the Office of Management and Budget's Sustainability and Energy Scorecard, a sustainability evaluation standard for federal government-occupied buildings. Porter and Rockey analyzed 61 office buildings in the Washington, DC, region.

This is what they found:

• Buildings with at least one sustainability certification had an average Kingsley score 7 points higher than buildings with no certifications.

• Buildings with one certification had slightly higher Kingsley tenant satisfaction scores than those with no certifications, while buildings with two or more certifications had significantly higher scores.

• ENERGY STAR buildings' Kingsley scores averaged 30 points higher than non-ENERGY STAR.

• LEED EB buildings' Kingsley scores averaged 10 points better than buildings without a LEED EB certification.

• The OMB Sustainability and Energy Scorecard did not have a statistically significant impact on tenant satisfaction scores.

As the findings circulate among landlords they will no doubt drive sustainability investment, Porter predicts.

To state the obvious, landlords want to keep tenants in their buildings. If green upgrades will do that – plus add to the building's performance to boot – then green updates it is.

"What we wanted to do is take real data we have about sustainability and compare it with real business drivers. If our clients want to know the measurable impact a sustainability investment will have on their business, we can show them," Porter says.