What is the payback period for green buildings?
Though the initial costs of building green may be higher than those of conventionally designed buildings, the savings generated in energy, water, maintenance, operations, and health costs offer quick investment returns, and ultimately revenues. “The Costs and Financial Benefits of Green Buildings,” report produced by the Massachusetts Technology Collaborative for the State of California Sustainable Building Task force presenting a definitive cost benefit analysis of green building based on a review of LEED-certified buildings, states: “While the environmental and human health benefits of green building have been widely recognized, this comprehensive report confirms that minimal increases in upfront costs of about 2% to support green design would, on average, result in life cycle savings of 20% of total construction costs — more than ten times the initial investment. For example, an initial upfront investment of up to $100,000 to incorporate green building features into a $5 million pr
