The Role Of Property Indices In Promoting Development Of Green Buildings In Emerging Economies

The paper discusses the role of property indices in promoting development of green buildings in emerging economies. This study addresses four critical questions. What are financial benefits of green buildings? How does economic efficiency of green buildings compare to conventional buildings? What is the effect of economic efficiency of sustainable real estate on demand? How can we use property indices in demonstrating economic performance of green buildings in order to increase demand in emerging economies?This qualitative research employs a content analysis approach. It entails detailed and systematic examination of existing literature on demand for sustainable real estate in emerging economies, economic efficiency of green buildings, challenges associated with demonstration of economic viability of green buildings in emerging economies, and role property indices in demonstrating performance of green buildings. A conceptual model of these concepts is used to structure the analysis.Indicative results demonstrate that green buildings offer a better return to investors in the form of higher rent, capital appreciation and cost saving. However, there is a challenge of demonstrating the viability of financial benefits of green buildings in emerging economies leading to low demand. Lack of demand hinders the provision of sustainable property development. Demonstration of economic efficiency through property indices will lead to increased demand of green buildings in emerging economies. The paper concludes with the proposition that major gains in utilisation of property indices is to ultimately enable investors, tenants and buyers in emerging economies to establish economic performance of green buildings. This will lead to increased demand for sustainable real estate in these economies.