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Going Green in Commercial Leasing
The Millennial generation has ushered in an era of environmental awareness. Now constituting the largest generation in the United States, Millennials have started altering consumer trends and pushing for sustainable offerings. In response, companies have not only begun to offer more environmentally conscious products to consumers, but have also become more environmentally responsible in the way their entire businesses are being operated. In this environment, it becomes important for landlords and tenants alike to make a large, positive environmental impact by constructing and leasing facilities that are more energy efficient.
The U.S. Energy Information Administration (EIA) has determined that residential and commercial buildings accounted for 40% of the total energy consumption in the United States in 2015. How much energy is consumed in residential and commercial buildings in the United States?, U.S. Energy Information Administration, April 6, 2016, http://bit.ly/2bR16gh. Leasing green commercial spaces will reduce a company's environmental footprint, attract Millennials, and offer numerous benefits to commercial landlords and tenants. However, green leases can present a few obstacles for commercial leasing attorneys.
The following discussion highlights some of the benefits of going green for both landlords and tenants, and addresses important provisions attorneys must consider when drafting a “green lease.”
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