Businesses can increase the value of their business and reduce costs by implementing green building maintenance techniques. The Journal of Sustainable Real Estate (JOSRE) posted a paper entitled “Facility Sustainment and Firm Value: A Case Study Based on Target Corporation” (Beach, 2011), which presents data that supports the idea that increasing the money spent on maintenance and upkeep of a facility, known as “sustainment funding,” actually increases the firm’s value. Mathematical proofs show that under certain financial circumstances, Target Corporation’s value may be over 10% higher in 30 years if the company allows 100% sustainment funding. Target’s historic funding is 51.7%, meaning that only 51.7% of necessary maintenance and upkeep is not deferred. With this data, Target knows that despite having to spend money on building maintenance now, it will help the company gain value in the future.
Companies cannot sustain themselves by ignoring necessary building maintenance and upkeep. If your goal is to own and operate a sustainable, successful business, implementing green building tactics is extremely important. The following are some of the benefits you can earn by using sustainable, responsible green building maintenance techniques:
- Happier Employees
- Equipment and Property Has a Longer Useful Life
- Lower Risk for Catastrophic Financial Events in the Future
- Higher Perceived Value by Clients and Potential Investors/Buyers