Turning point "Brown Discount": A turning point for the real estate industry?

Do green buildings achieve higher rents and transaction proceeds? Or do non-green (i.e. brown) buildings have to expect price reductions?

As awareness of environmental protection increases, we are experiencing a significant trend in the real estate sector: the "brown discount" is making itself felt. This discount for non-sustainable buildings shows how important ESG standards are today.

For years, it was said that green brings a premium. But the world has moved on and "green buildings" are now the norm in a positive sense. There is an increasingly clear trend towards brown buildings being penalized with price reductions - the so-called "brown discount".

This is a wake-up call for investors and property owners. Sustainable properties not only offer ecological advantages, but are also more attractive financially. This is reflected in higher demand and better rental and sales conditions.

The "brown discount" is more than just a short-term challenge. It represents a fundamental shift in the real estate industry. Sustainable investments are becoming the norm and offer new opportunities for long-term growth. A rethink is needed to shape the transition to a greener, sustainable real estate world.

This trend is a clear signal to the market that sustainability and profitability go hand in hand. At the same time, it is the credo that we apply to ourselves and the needs of our customers.