NATURAL CAPITALISM
Summary
This report chapter explores 'green development,' demonstrating how the integration of resource efficiency, environmental sensitivity, and human well-being can lead to superior financial performance in real estate. Through various case studies of commercial buildings, residential developments, and hotels, the text argues that intelligent design reduces operating costs, increases labor productivity, and enhances property value while restoring community and ecological health.
Key insights
- The economic value of labor productivity gains from green design far outweighs direct energy savings. A 1% increase in labor productivity provides the same bottom-line benefit as eliminating a building's entire energy bill.
- Traditional real estate incentive structures often penalize efficiency. Architects and engineers are frequently paid based on a percentage of construction costs, which encourages the specification of larger, more expensive, and less efficient mechanical equipment.
Cite the original document
- APA
- RMI (n.d.). NATURAL CAPITALISM. https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_NCchapter5.pdf
- Chicago
- RMI. NATURAL CAPITALISM. n.d. https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_NCchapter5.pdf.
- Wikipedia
- {{cite report |author=RMI |title=NATURAL CAPITALISM |url=https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_NCchapter5.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{rmindnatural, author = {{RMI}}, title = {{NATURAL CAPITALISM}}, institution = {RMI}, url = {https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_NCchapter5.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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