Calculating the «green value» of Swiss real estate

The volatility of energy and materials prices, the scarcity of resources, the risk of missed delivery dates, possible CO2 taxes, access to capital and legal changes are all risks threatening the real estate sector today. How should these risks and uncertainties be taken into account in the context of the energy transition of the built heritage?

Khephren SA and Signa-Terre SA have created a working group to bring together leading private-sector players and academic organisations and develop a model for the estimation of the «green value» of the Swiss real estate sector.

The research group aims at answering the following questions:

• How can we quantify a green value for real estate that incorporates risks and uncertainties?
• How can this new approach be integrated into the real estate industry’s business lines, in particular that of real estate valuer?

Objective of the Research Project: 

• Communicate the main conclusions of the study to the market.
• Provide tools for calculating green value and, if necessary, an observatory for the green value of real estate.

Timeline:

• Kick-off: February 2023
• Stage 1: Literature review
• Stage 2: Preliminary study based on market data (ex-post premium)
• Stage 3: Construction of the estimation model, definition of the methodology, match between model and real data, definition of the « green value premium »
• Stage 4: Case studies (based on portfolios) and consequences for valuations
• Stage 5: Publication and distribution – January 2025

Discover more about the project on the website valeurverte.ch

Project’s Partners

Watch the video presentation of the research project