Growth in global demand for ‘green’ office buildings slows amid Trump policies | Commercial property

Growth in global demand for ‘green’ office buildings slows amid Trump policies | Commercial property

Global demand for “green” office buildings has seen a slowdown, particularly in the United States, as indicated by a survey conducted among construction industry professionals. This decline has been attributed to changes in U.S. environmental policy. The survey, conducted by the Royal Institution of Chartered Surveyors (RICS), shows that both occupiers and investors in North America and South America reported significantly reduced interest in green commercial buildings, whereas the drop in demand in other regions was less pronounced.

In 2023, residential and commercial buildings were responsible for 34% of global carbon emissions, primarily due to heating, cooling, and powering these structures; the construction process itself contributed to approximately one-fifth of the total emissions. The UN Environment Programme has emphasized the urgent need for action in the buildings sector to meet global climate objectives. However, the RICS survey reflects a trend of stagnating growth in demand for green constructions.

Green buildings employ various methods to minimize their environmental impact, including the use of sustainable materials and energy efficiency improvements that potentially reduce operating costs. Despite the current slowdown, a notable portion of U.S. respondents to the survey still indicated interest in sustainable commercial projects. However, the reported balance of industry professionals witnessing rising demand fell sharply, from 25% to 11%.

Internationally, while 40% of respondents outside North and South America reported demand growth, this figure also decreased from 48% in 2021. RICS analysts have pointed out that government policy greatly influences market confidence, and recent regulatory rollbacks in the U.S. may have undermined interest in green building standards. Furthermore, there has been a notable decrease in construction professionals measuring embodied carbon emissions, with 46% reporting they do not track these metrics—a substantial increase from 34% the previous year.

Source: https://www.theguardian.com/business/2025/nov/10/growth-in-global-demand-for-green-office-buildings-slows-amid-trump-policies

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