Measuring Awareness and Preferences of Real Estate Developers for Green Buildings over Conventional Buildings

The demand of eco-friendly or ‘green' products and services has experienced considerable growth rates in recent years ranging from agricultural produce, clothing, and consumer electronics to real estate. Various studies for these products have identified that there is increasing willingness of customers to pay a price premium. This trend is supported by increased level of awareness regarding the environmental impact of production and consumption patterns. Real Estate sector consumes higher level of resources, during construction and thereafter hence, contributes in carbon dioxide emissions. Green building construction primarily involves the design, construction, and operation of buildings and other facilities in ways that preserve natural resources and protect the environment for generations to come. The real estate development industry's rapidly growing interest in green buildings in many parts of the world confirms that market forces are leading more developers to adopt sustainable building techniques. Green buildings not only produce substantial operating savings, but also contribute in creating market value, improve health of building occupants and increase productivity. However, the greatest challenge faced by developers and buyers is lack of awareness about the benefits and opportunities of green buildings. This research paper uses primary research analyses and reveals the awareness and preferences of real estate developers to adopt green building designs. It also investigates the issues and challenges they face regarding factors like premium pricing, lack of awareness, consumer interest, etc