Southern California Green Real Estate Blog

REAL ESTATE RETROFITTING STATISTICS

Edited by Jodi Summers

* Residential and commercial buildings consume 40 percent of the energy and represent 40 percent of the carbon emissions in the United States. Building efficiency represents one of the easiest, most immediate and most cost effective ways to reduce carbon emissions and save money on energy bills while creating new jobs.

* Existing techniques and technologies in energy efficiency retrofitting can reduce energy use by up to 40 percent per home and lower total associated greenhouse gas emissions by up to 160 million metric tons annually.

* Residential and commercial retrofits also have the potential to cut energy bills by $40 billion annually.

**

http://www.energy.gov/news/8870.htm

http://www.matternetwork.com/images/Matter/house_insulation_installation_3251.jpg

http://apolloalliance.org/wp-content/uploads/2010/04/evergreen_solarmed2.jpg

http://content.usatoday.com/communities/greenhouse/post/2010/04/white-house-awards-452-million-to-retrofit-homes-businesses/1

Poll Finds Rising Awareness of Concrete Systems

Poll Finds Rising Awareness of Concrete Systems

Thirty percent of recently surveyed home owners said they believe that concrete is a more environmentally friendly material than wood or steel, according to a survey by the Portland Cement Association (PCA). [more]

Concrete Wall Systems Can Assist with a Tight Thermal Envelope [more]
In Down Market, Builders Look To Concrete Solutions [more]
Saving Energy = Saving Money for Concrete Show Home [more]
NAHB Resources Promote Home Buyer Tax Credit [more]
Residential Concrete Remains Solid at World of Concrete [more]
National Green Building Standard Approved [more]
Events & Webinars [more]
Publications [more]

For more information or to contact us directly,
please visit www.nahb.org l ©2009, National Association of Home Builders

REAL ESTATE PRICES ARE STILL UP THIS MILLENIUM IN LOS ANGELES

REAL ESTATE PRICES ARE STILL UP THIS MILLENIIUM IN LOS ANGELES

by Jodi Summers

A recent report on Forbes.com citing the 10 Best and 10 Worst U.S. Housing Markets noted that in Los Angeles, if you bought in 2000, paid your mortgage on time and are still in your home, you’ve seen a 71.5% price appreciation.

Up north, San Francisco’s prices are up 30.12% from 2000. It still has the potential for a further fall, given the 31% drop for 2008.

Forbes analyzed monthly declines and year-over-year declines in home prices to determine where prices were falling fastest and where those drops were picking up momentum. They noted, “It’s not a good thing for San Diego that prices from November 2008 to December 2008 fell 2.13%, but as prices declined by 2.29% from October to November, and 2.44% from September to October, the speed with which prices are falling is slowing.”

The information is based on an S&P/Case-Shiller home price index, which measured metro home prices in 20 cities through December 2008.

Info courtesy of:

http://www.forbes.com/2009/02/24/housing-cities-ten-lifestyle-real-Estate_home_prices.html?partner=alerts

THINK GREEN - REAL ESTATE IS STRONGER NEAR METROPOLITAN AREAS

By Jodi Summers

The statistics are in – properties closer to cities with thriving economies and mass transit will outperform outer-ring suburbs and “exurban areas,” where high gas prices are making long car commutes prohibitively expensive and rising energy costs mean higher utility bills. We’re thinking and spending green.

This information comes courtesy of a report released by the Urban Land Institute and PricewaterhouseCoopers LLP. The study interviewed more than 600 real estate experts, including investors, developers, lenders and real estate brokers.

The report, Emerging Trends in Real Estate 2009, projects that the worst of the national housing downturn may be over, with the bottom of the market being confirmed by the end of this year.

The report is focused on commercial real estate such as commercial, office, industrial and apartment properties, but includes an overview of housing markets and how they may be affected by macroeconomic trends and changing regional conditions. Some interesting observations:

· Seattle, San Francisco, Washington, D.C., New York and Los Angeles are expected to be the top five markets for investment in commercial property in 2009.

· Wall Street layoffs and office vacancies will help Seattle and San Francisco to reclaim top rankings for commercial investment from New York.

· The thriving energy industry is expected to boost commercial investment prospects for “long-forlorn” Texas markets, but Midwest factory towns are expected to lose even more ground,

· “24 hour cities” like New York, Boston, Chicago, San Francisco, and Washington, D.C., should also benefit from mass transit systems that can free residents from car dependence.

But, gains in the attractiveness of 24-hour cities could be “squandered” if cutbacks in police, fire and sanitation result in less safe and appealing environments. Falling property values and the economic slowdown are expected to cut into tax revenues, forcing cities to reduce services.

“Nothing would undermine 24-hour dynamics more quickly than rising crime rates,” the report warned.

· “24 hour cities” like New York, Boston, Chicago, San Francisco, and Washington, D.C., should also benefit from mass transit systems that can free residents from car dependence.

But, gains in the attractiveness of 24-hour cities could be “squandered” if cutbacks in police, fire and sanitation result in less safe and appealing environments. Falling property values and the economic slowdown are expected to cut into tax revenues, forcing cities to reduce services.

“Nothing would undermine 24-hour dynamics more quickly than rising crime rates,” the report warned.

http://www.ulisf.org/imgManager/1000000877/Cover%20-%20EmergingTrends2009.jpg

http://www.ulisf.org/imgManager/1000000025/maps.png

http://4.bp.blogspot.com/_ERJ3VTs4Tho/STMgbiE4PcI/AAAAAAAADOE/Os15Z_s-TBI/s400/iStock_000002504258XSmall.jpg

http://exitrealestate540.com/files/2008/12/thefutureroadsign.jpg

GLOBAL USE OF GREEN BUILDING PRODUCTS SKYROCKETING

GLOBAL USE OF GREEN BUILDING PRODUCTS SKYROCKETING

By Jodi Summers

Keep studying those lists of top rated green building products, because global purchasing of green building products will grow to $571 billion by 2013. This growth is more than tenfold from the $455.3 billion spent on green materials in 2008, notes the study by Allied Business Intelligence Research.

“Innovation, particularly in wood and insulation, is a key driver behind the growth of green building products,” observes Larry Fisher, research director of ABI Research’s next generation practice.

“The most significant driver of growth in the green building materials sector is concern for the environment. While environmental preservation has been a topic of discussion for decades, only recently has the level of concern for the environment driven governments, manufacturers and consumers to respond.”

The study notes that businessmen and builders will look toward products with greater energy efficiency produced in an environmentally-friendly manner. Preferred lumber and wood products will come from well-managed forests.

Now if we can only figure out an efficient way to make drinkable ocean water.

**

http://www.purchasing.com/article/439362-Buying_of_green_building_products_to_increase.php

http://www.mossgreenchildrensbooks.co.uk/wp-content/uploads/2009/10/iStock_000001111800Small-2.jpg

ALTERNATIVE ENERGY POLL – SOLAR RULES

ALTERNATIVE ENERGY POLL – SOLAR RULES

Edited by Jodi Summers

An overwhelming majority -92% of Americans polled - Support Solar Energy Development, according to the 2009 Schott Solar Barometer. The Schott Solar Barometer is a national survey conducted by independent polling firm Kelton Research.

The overwhelming support for solar power is consistent across political party affiliation with 89 percent of Republicans, 94 percent of Democrats and 93 percent of Independents agreeing that it is important for the U.S. to develop and use solar power.

Furthermore, close to eight in 10 (77%) Americans feel that the development of solar power, and other renewable energy sources, should be a major priority of the federal government, including the financial support needed. This sentiment also remains the same since June 2008 (77%).

If only given the opportunity to support one source of alternative energy, 43 percent of Americans would opt for solar over other sources such as wind (17%), natural gas (12%) and nuclear (10%).

Almost half of all Americans (49%) say they’re currently pondering solar power options for their home or business – and another three percent already have solar power. Among those who would like to take advantage of solar power at home or at work, seven in 10 (70%) envision they would make the change within the next five years.

The general consensus is that many Americans feel they lack information – fewer than one in five (12%) - can claim that they’re extremely informed about the subject of solar power in general. What’s more, almost three in four (74%) Americans admit they wish they knew more about solar power options for their home or business.

http://www.cleanedge.com/news/story.php?nID=6455

http://www.resourceactionprograms.org/blog/index.php/tag/southern-california/

http://saferenvironment.wordpress.com/2009/02/02/solar-power-%E2%80%93-sustainable-green-energy-to-protect-our-economy-and-environment/

http://www.geni.org/globalenergy/library/articles-renewable-energy-transmission/solar.shtml

http://www.sunandclimate.com/images/solar-power-dallas.jpg

http://www.generatormart.com/200806092224444674.shtml

http://earth911.com/blog/2007/10/15/pros-and-cons-of-solar-power/

More than $1Trillion Invested In Green Development

More than $1Trillion Invested In Green Development

By Jodi Summers

Did you know that Toyota, Boeing and Samsung have each invested more than $4 billion in green technology? They’re part of a growing trend. Experts say that more than $1.248 trillion has been invested in green projects since 2007. Tallies are now available from the Global Climate Prosperity Scoreboard, which tracks private investment in companies growing the green economy globally.

This newly calculated number shows $1,248,740,645,993.00 in total investment in solar, wind, geothermal, ocean/hydro, energy efficiency and storage, and agriculture since 2007. The details indicate how investors and entrepreneurs are leading governments in promoting sustainable growth.

The scoreboard, posted by Ethical Markets Media and The Climate Prosperity Alliance

indicates which investments have been publicly announced and committed by major companies for 2010 and beyond. For example, the Egyptian company Desertec, is behind a 400 billion Euro plan to power Europe with sunlight from North Africa and the Middle East. If their project goes as planned, Desertec could supply 15 percent of Europe’s power needs by 2050.

“Private capital investment is now leading globally in promoting technological innovation and resource efficiency that will accelerate environmentally and socially sustainable industrial growth and economic development throughout the world,” noted Dr. Marc A. Weiss, Chairman and CEO of Global Urban Development and Chair of the Climate Prosperity Alliance.

The Climate Prosperity Alliance uses the Climate Solutions 2 computer model of Australia’s Climate Risk Party, concludes that if $1 trillion is invested every year for the next 10 years can assure the global transition to sustainable prosperity and job growth.

Check out the Global Climate Prosperity Scoreboard @ http://www.ethicalmarkets.com/wp-content/uploads/Global-Climate-Prosperity-Scoreboard.pdf

**

http://greeneconomypost.com/over-1-trillion-invested-in-green-since-2007-6922.htm?utm_source=feedburner&utm_medium=email&utm_campaign=Feed%3A+TheGreenEconomyPost+%28The+Green+Economy+Post%29#ixzz0ZcXw0j5h

http://greeneconomypost.com/over-1-trillion-invested-in-green-since-2007-6922.htm?utm_source=feedburner&utm_medium=email&utm_campaign=Feed%3A+TheGreenEconomyPost+%28The+Green+Economy+Post%

http://af.reuters.com/article/investingNews/idAFJOE5B10JG20091202?pageNumber=1&virtualBrandChannel=0&sp=true

http://www.ethicalmarkets.com/wp-content/uploads/Global-Climate-Prosperity-Scoreboard.pdf

http://4.bp.blogspot.com/_naalMdATcl8/SkfBq4wjMkI/AAAAAAAAAIs/3orGtK1ww14/s400/booker-28060_1_1432371c.jpg

http://ec.europa.eu/cyprus/images/drought.jpg

http://www.sodahead.com/living/this-is-what-a-trillion-dollars/question-288213/?link=ibaf

http://lbslibrary.typepad.com/.a/6a00e008d6ce2788340120a5293a61970b-800wi

http://www.theodoresworld.net/pics/0309/climateplanImage4.jpg

FINANCAL IMPACT OF WIND AND SOLAR ON YOUR BUILDING

FINANCAL IMPACT OF WIND AND SOLAR ON YOUR BUILDINGS

 By Ernst Diener

People are asking for hard numbers on how wind or solar energy can impact building

and business values.

Financial Impact of Wind or Solar on your Building

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

Increase Earnings with Wind Power

For Office Buildings:

Each dollar invested in energy performance improvements in commercial real estate

at a 20 to 30% savings rate, is equivalent to increasing Net Operating Income by

 3 to 4% and increasing Asset Value by $2.50 to $3.75. So consider the impact if

 you produce $250,000 per year for your building, with wind power.

For Supermarkets:

A 10% reduction in energy costs for the average supermarket is equivalent to increasing net profit margins by 15%, increasing Earnings Per Share by $.06, and increasing  sales per square foot by $71. Consider what it means if you produce $250,000 per year for your super-market in power savings.

For Churches:

If your church can create $48,000 in electricity savings through wind power or renewable energy it is equal to increasing your church membership by almost 50 members. If  your church can create $250,000 in renewable energy it is equal to increasing your membership by 228 members.

For Convenience Stores:

A 10% reduction in energy costs for your store, is equal to your increasing your

 net profits by at least 15%, plus the wind turbine will drive in additional traffic,

and increase your gross sales within a range of 11% to 19%.

For Schools and Universities:

2 80 kwh wind turbines that can produce a total of $120,000 per year in energy savings

can allow you to hire additional teachers, buy books, increase educational potential.

(note: None of the above take into consideration tax credits, incentives, grants,

or carbon credits, all of which increase your financial gain with renewable energy)

For Hospitals:

Each dollar saved in energy costs is equivalent to generating new revenues of $20

for hospitals, or $10 for medical offices and nursing homes. So if you produce $250,000 per year with a wind turbine it is equal to generating $5,000,000 in new annual revenues for hospitals or $2,500,000 for medical offices and nursing homes.

For Hotels:

A 10% reduction in energy costs for the average full service hotel is equivalent

 to increasing Average Daily Rate by 2.6% and increasing Occupancy Rate by 4.3%.

 For the average limited service hotel, a 10% reduction in energy costs is equivalent

to increasing Average Daily Rate by 1% and increasing Occupancy Rate by 2.4%. Now consider, what this means to your hotel if you can produce$250,000 per year of electricity per year with a wind turbine.

http://rs6.net/tn.jsp?et=1102603433038&s=4010&e=001owYh6s8MtLYbHlWEH7PlMKyKTQNgLqQKM-prqSpVCzJ14ef9r0z2UqjmCYn4KNlVeF-xSliDg5HNEaKWT8ttcAcTf_sus-uXpTw72aCyMjgga9J6Otk2YA==

http://www.ecofriend.org/entry/mixerejector-wind-turbine-to-produce-50-more-power/

http://whenhistoryattacks.wordpress.com/

http://www.ecofriend.org/entry/eco-architecture-solar-powered-laboratory-in-california-makes-the-forensics-green/

http://global.kyocera.com/news/2009/0502_iuoi.html

http://oc-aerial.com/small-aerials/saddleback-church-solar-electric-panels-1-large.jpg

http://www.americanprogress.org/issues/2009/04/img/solar_church_onpage.jpg

GLOBAL DEMOGRAPHICS ARE SHAPING REAL ESTATE TRENDS

GLOBAL DEMOGRAPHICS ARE SHAPING REAL ESTATE TRENDS

Edited by Jodi Summers

Global Demographics: Shaping Real Estate’s Future offers recent research from the Urban Land Institute about the effect of global demographic change on real estate.

“Over the next 20 years, demographic megatrends — and their variations by continent — present the real estate industry with tremendous opportunity to not only grow, but to better serve the people real estate is designed for,” said David Jacobstein, senior advisor to co-sponsor Deloitte LLP ’s Real Estate practice. “Mature economies — especially growing ones — offer attractive investment opportunities, but emerging markets require vast quantities of infrastructure, as well as residential, retail, office, and hotel properties to support their burgeoning populations.”

Findings from the report include:

Aging

The aging of the world’s population is arguably the single most dramatic demographic trend today, with three key trends emerging:

v In 2006, almost 500 million people worldwide were 65 and older.

v By 2030, individuals 65 and older are projected to increase to 1 billion — equaling one out of every eight people on earth.

v The most rapid increases in the 65-and-older population are occurring in developing countries, which will see a jump of 140 percent by 2030.

Real estate implications

v Retirement housing is the primary real estate beneficiary of global aging, with the U.S. senior housing industry set to benefit from the opportunity to produce new products.

v Rapid consolidation of senior housing operators will result in more professional and cost-effective management.

v Investor interest will continue to grow because economic cycles have little effect on dementia and nursing care facilities.

v There is increased demand for affordable senior housing and senior housing options in ethnic communities.

Urbanization

As of 2007, 3.3 billion people — half of the world’s population — live in urban areas. With that number expected to increase to 60 percent by 2030, five key trends are emerging:

v One billion people live in slums, with 90 percent of this population occurring in developing countries.

v At least 133 million city dwellers in the developing world lack durable housing.

v Twenty percent of urban dwellers in emerging nations are overcrowded, with more than three people per bedroom.

v Only two-thirds of the world’s urban population has access to tap water, with only 46 percent having access in their homes.

v More than 25 percent of the world’s urban population lacks adequate sanitation.

Real estate implications of these urbanization trends include:

v Investing in infrastructure — whether new or established — is essential to the viability of long-term commercial real estate projects. Privatization of infrastructure through public/private partnerships with investment funds are becoming increasingly important, with notable examples occurring in the United States, Spain and France.

v Better land use controls should be implemented to prevent high-density, informal communities from developing and reduce outward urban sprawl because both trends present difficulties to residents in terms of infrastructure, safety and lifestyle.

v There is increased demand for housing and retail as a result of a growing workforce.

v In stagnant or shrinking populations, new construction must be viewed as replacement properties — even if that entails older building demolition to maintain vacancy rates — as has occurred in continental Europe.

v Emerging markets can leap from traditional, organic models to contemporary multi-use projects and residential communities if ground level infrastructure is established.

v The lack of mortgage availability in the emerging market is the greatest limitation on new development.

http://www.reuters.com/article/pressRelease/idUS187513+12-Jun-2008+BW2008061

http://totallycebu.com/aging-lecture

http://www.flickr.com/photos/lwr/165513789/

LOS ANGELES IS A BETTER PLACE THAN PARIS TO BUY GREEN INVESTMENT REAL ESTATE

LOS ANGELES IS A BETTER PLACE THAN PARIS TO BUY GREEN INVESTMENT REAL ESTATE

by Jodi Summers

Sacre bleu! Los Angeles is a better real estate…according to Forbes.com.  In a recent top 10 article called World’s Best Places For Real Estate Buys, Ten cities investors will target in 2009 our beloved Los Angeles was #7 – after  San Francisco and before Paris.

Washington D.C. topped the list this year, thanks to the proposed $1 trillion swell of government spending. As Forbes notes, “At present, D.C. has the lowest unemployment rate in the country–4.1%, compared to the 7.2% national average. With President Obama’s stimulus package recommending $1 trillion in new spending, it’s unlikely government jobs–and those they support–will be leaving the District anytime soon.”

Not many investors were looking at L.A. in 2008, as we were hammered by the subprime crisis and a massive volume of foreclosures. As we all know, our perceived property poverty curtailed spending and our whole local economy limped along. We were 19^th on the 2008 Forbes World’s Best Places For Real Estate Buys, so this 12-point rise is a huge boost for real estate morale.

As far as green development goes, the Los Angeles Green Building ordinance –is being heralded as “the most far reaching plan of any big city in America to promote green building practices in the private sector.”  The ordinance intends reduce the City’s carbon emissions by more than 80,000 tons by 2012, the equivalent of taking 15,000 cars off the road – a bolder objective than any other major city in the country. (Now if they’d only find a way get 15,000 cars off the road.) 

“It’s all about perception,” notes a local investor. “If people perceive Los Angeles is a good value, then it becomes a good value, and prices grow strong.”

Good news for local property owners - sales surged 102%in the residential sector, according to Radar Logic, a derivatives firm, and Forbes notes that this wave “has that market hinting at a bottom.”

The 2009 Top 10 Best Places For Real Estate Buys

1. Washington, D.C.

2. London, U.K.

3. New York, N.Y.

4. Tokyo, Japan

5. Shanghai, China

6. San Francisco, Calif.

7. Los Angeles, Calif.

8. Paris, France

9. Houston, Texas

10. Singapore

Please note Forbes’ rankings come from the Association of Foreign Investors in Real Estate, a research association that tracks where member investors are finding the best opportunities around the world.

Get the whole story @ http.//www.forbes.com/2009/01/21/investment-obama-realestate-forbeslife-cx_mw_0121realestate.html?partner=alerts

http://mightyminnow.files.wordpress.com/2007/11/washington-dc.jpg

http://www.pointernet.pds.hu/touristinfo/free_wallpapers_2/France_Paris_Night.jpeg