Reality Check: Debunking Industry Myths on Leased Net-Zero Energy Buildings

This RMI fact sheet debunks four industry myths regarding net-zero energy (NZE) leased buildings, asserting that they are more profitable for developers, attractive to a wide range of tenants due to productivity gains, and achievable in existing buildings through a structured process of data gathering and efficiency upgrades.

• NZE-leased buildings can be more profitable for developers than standard buildings, with potential profitability increases of up to 19 percent for those who retain the property and 17 percent for those who sell immediately. This value is driven by higher occupancy rates (3 to 7 percent higher), rental premiums—evidenced by a 3.5 percent premium for ENERGY STAR-certified properties in a study of over 21,000 U.S. rental buildings—and a market value premium of approximately 13 percent due to lower capitalization rates and operating expenses.
• Tenants in NZE buildings experience benefits beyond sustainability goals, including a 6–16 percent increase in employee productivity and satisfaction resulting from better natural daylight, thermal comfort, and overall building health. Additionally, 67 percent of employees value a company's commitment to a “green workplace,” making NZE buildings a tool for recruitment and retention. Tenants also benefit from lower operating expenses and reduced exposure to utility rate increases.

APA

RMI (2018). Reality Check: Debunking Industry Myths on Leased Net-Zero Energy Buildings. https://rmi.org/resources/debunking-industry-myths-leased-net-zero-energy-buildings/

Chicago

RMI. Reality Check: Debunking Industry Myths on Leased Net-Zero Energy Buildings. 2018. https://rmi.org/resources/debunking-industry-myths-leased-net-zero-energy-buildings/.

Wikipedia

{{cite report |author=RMI |title=Reality Check: Debunking Industry Myths on Leased Net-Zero Energy Buildings |date=24 January 2018 |url=https://rmi.org/resources/debunking-industry-myths-leased-net-zero-energy-buildings/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{rmi2018reality, author = {{RMI}}, title = {{Reality Check: Debunking Industry Myths on Leased Net-Zero Energy Buildings}}, institution = {RMI}, year = {2018}, month = jan, url = {https://rmi.org/resources/debunking-industry-myths-leased-net-zero-energy-buildings/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }