Sustainable Development

Environmentally sustainable real estate assets, more often than not, require developers to pay a financial premium, but on the upside, the same assets tend to have lower long-term operating costs. Lower operating costs allow buildings to have higher net operating incomes, or NOIs. For example, the operating costs for a traditionally built asset is typically higher than that of a more environmentally friendly asset. The capitalization rate for traditionally built assets, in turn, can have relatively higher capitalization rates than their more environmentally sustainable counterparts. Therefore, there is value to be found in developing sustainable real estate assets. This value is also referred to as the sustainability dividend. 

Cradle to Cradle: Remaking the Way We Make Things by William McDonough and Michael Braungart was the course book, for LDEV 671 - Sustainable Development. The authors of Cradle to Cradle argue that the goal of society and industrial manufacturers should be to create a better quality of life through the practice of replenishing, restoring, and nourishing the world we live in. A cradle to cradle cycle is stressed to be the ideal way to live in a sustainable society where waste and materials are continuously recycled for the preservation and respect of the natural environment. Sustainability should be approached at the local level with the goal of achieving local and regional diversity. My first assignment for LDEV 671 was to submit a report of Cradle to Cradle. My final assignment for LDEV 671 was a group presentation that stresses the need for innovation and design in sustainable development. Both assignments for this course are displayed below: