HOW TO POWER BUILDINGS FOR NET-ZERO FUTURE

FROM POLICY TO PAYBACK THE PUSH TO ELECTRIFY

Electrification is now a critical enabler of asset value and compliance—not a future aspiration but a current operational priority.

REGULATORY PRESSURES

INVESTOR AND TENANT EXPECTATIONS Sustainability demands from investors and tenants are pushing owners to prioritize low-carbon, high performance buildings.

Stricter building codes and emissions standards are forcing owners to track energy use and meet carbon reduction targets.

Across global real estate markets, asset managers and facilities teams face intensifying pressure to decarbonize. Tenant expectations are rising, green leases are tightening, and building rating schemes are evolving to favor electrified systems. Capital markets are increasingly factoring emissions performance into asset valuations. Electrification has emerged as one of the most scalable and practical pathways to reduce emissions and future-proof buildings. It enhances operational efficiency, improves indoor environments, and positions assets to meet regulatory and market expectations. Electrification is accelerating as regulatory pressure, investor scrutiny, tenant expectations, and technology costs converge to reshape capital planning. For commercial buildings, this transition is already underway. Industrial and retail assets will follow, driven by increasing disclosure requirements and tenant pressure. Owners must act now to assess their readiness, identify potential implementation risks, and align electrification efforts with their capital planning cycles. Delaying action increases the risk of stranded systems, non-compliance, and declining competitiveness.

NET-ZERO THROUGH BUILDING ELECTRIFICATION

TECHNOLOGY ADVANCEMENTS Emerging solutions like heat pumps, smart systems and on-site storage are making electrified, efficient buildings more feasible.

CHANGING ECONOMICS Falling electrification costs, rising gas prices and new incentives are making electric upgrades more affordable and attractive.

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