The Value of Green Spaces in All Real Estate

Green spaces are highly sought after for their aesthetic appeal in a community. However, they also play a role in enhancing the value of all real estate. I will share how green spaces weigh in on the marketing of both commercial and residential properties. 

The Overall Importance of Green Spaces

Green spaces refer to areas with vegetation, such as parks, gardens, and tree-lined streets. They can be on a smaller scale, such as terraces, rooftops, pocket parks, green walls, and more. All of these provide a range of environmental, social, sustainability, and economic benefits. They help reduce air pollution, mitigate urban heat island effects, provide habitats for wildlife biodiversity, and recharge the local watershed. Socially, green spaces provide a place for physical activity, mental well-being, and community engagement.

  In Real Estate, urban green spaces are powerful value enhancement, with few agents missing the opportunity to mention them to prospective clients. Yes, for both commercial and residential real estate it is an added value to promote.

For Commercial Properties...

Enhancing Employee Productivity and Well-being

  Incorporating green spaces in commercial properties can profoundly improve employee productivity and sense of well-being. Studies have shown that employees with access to natural environments are more productive and experience lower stress levels. Such positive benefits can lead to reduced absenteeism and higher job satisfaction.

Attracting Tenants and Investors

Green spaces are also attractive to tenants and investors. A well-designed commercial property with green spaces can command higher rental rates and attract high-profile, long-term tenants.

Case Study Highlight

A Propmodo article (Green Space is Good for the Soul, and for Commercial Property Values, Too)

Here is one article that highlights a successful case where green spaces significantly boosted the value of a commercial property. A business park in the heart of a bustling city incorporated extensive green spaces, including landscaped gardens and rooftop gardens. This addition enhanced the property visually and attracted high-profile tenants, substantially increasing rental income and property value. Source

Corporate Sustainability Initiatives

Reducing energy use by the cooling effects of trans-evaporation and shade from plants, street sound buffering, and stormwater management can serve a commercial building owner well and set an example for being proactive on sustainability practices

Residential Real Estate

Improving Quality of Life

For residential properties, green spaces are synonymous with an improved quality of life. Homeowners enjoy similar benefits as in commercial (air quality, reduced noise pollution, and opportunities for outdoor activities) but on a customized level to their personal needs. These factors contribute to an overall common sustainable tone and desirability of a neighborhood and can significantly impact property values.

Increasing Property Values

Homes located near parks or with access to green spaces often see an increase in property values. Buyers are willing to pay a premium for homes that offer connections to nature. According to research by BDP Development, properties adjacent to green spaces can see an increase in value by up to 20%. This is Another compelling reason for why real estate developers should prioritize green space in their residential projects. Source

  The health of homeowners is enhanced when they have views of trees and landscaped areas. Transitional spaces such as porches and lanais provide connections with passive light and greenery. Street sounds are buffered along with reducing energy costs with heat and sound absorbing greenery.

Parks, walk paths, and playing fields are common urban green design elements. Yet there are many smaller-scale versions for all buildings to add to your property marketing efforts. A designer or architect may be a great resource to more hidden values in grey-to-green design.

Below is a list of smaller-scale Versions:

1.  Courtyard Gardens: Small, enclosed gardens within the property, a quiet retreat for employees or simply create an office view.

2.  Roof Gardens (Green Roofs): Gardens planted on the roofs of buildings can help reduce energy costs, manage stormwater runoff, and provide recreational space.

3.  Terraces are outdoor spaces on the upper levels of buildings that provide plants, seating areas, and often small trees or shrubs.

4.  Plazas are open spaces on the ground level that may include landscaping, seating, fountains or other water features.

5.  Pocket Parks: These are tiny parks or green areas within or adjacent to the property for a natural environment for relaxation and recreation.

6.  Bioswales: Landscaped areas designed to manage stormwater runoff and filter pollutants, often planted with native vegetation. Doing double duty.

7.  Green Walls: Vertical gardens attached to exterior or interior walls of buildings, providing aesthetic appeal and potential air quality benefits. Freestanding outside a window, they can provide a fresh view and block an undesirable one.

8.  Permeable Paving: allows rainwater to filter into the ground, often interplanted with grass or other vegetation to enhance permeability and a softer aesthetic.

9.  Short Nature Trails: Peaceful walking paths can be made through landscaped areas or natural habitats around the property, providing opportunities for exercise and connection with nature.

10.    Sculpture Garden: Green spaces featuring sculptures or other art installations, combining artistic expression with natural surroundings.

End…

Whether it is a building with existing greenspaces or one that needs updating, this added value is not to be missed. Exterior spaces are too often not creative enough in green opportunities. You might find this is not a large expense, as in many other interior/exterior upgrades or renovation projects.