Industrial market’s move to net zero warehouses is slow, ‘but starting to pick up speed,’ says insider

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Older, unsustainable buildings less marketable, more expensive, for tenants to operate

A Nova Scotia-based developer has built a new group of warehouses that it hopes will deliver the goods when it comes to combatting climate change.

A building must come as close as possible to not emitting any greenhouse gases from its operations or energy use to be considered net zero – for example, by using renewable power. “A green building certification comes with a plaque that you can put on the front door, where people can see it and you can call a press conference to tell everyone. That opportunity for publicity and marketing can get lost when it’s an industrial building,” she says.

The industrial market is starting to become more environmentally friendly, though the move is still slow, says Tracy Macdonald, senior managing director of industrial for the GTA at Colliers Canada. “Slowly, landlords are realizing that while you might not get a return right away, you can’t wait to make your building more sustainable because the discounting adds up. You need to maintain the value of your asset,” she says.

 

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