This is part one of a series on green leases.
You may be asking yourself – why should I read another article on green leases?
The answer is simple – adapting commercial leases to “green” is likely the most important development in commercial leasing in recent memory. This article will provide you with a snapshot of what landlords and tenants need to know when adopting a green lease.
While energy reduction and sustainability goals are not new, the pressure to adopt green initiatives and standards in the real estate sector has never been greater. Across the country Canadians are implementing sustainability practices to reduce their carbon emission, energy consumption and energy waste. In fact, the Canadian government is aiming to become a net zero economy by 2050 and to increase energy efficiency so that by 2025 buildings are using 47 per cent less energy than in 2019.
Today’s commercial leases are being redefined to reflect this evolving legal and social discourse. However, what “makes” a green lease is not widely understood.
4 key elements of green leases
Green leases are here to stay – they enable long term cost reduction, decrease negative impact on our environment, and build a socially responsible brand. This is just the tip of the iceberg: stay tuned for our next article on the future of smart buildings and their impact on commercial leasing.
BLG Beyond Leasing can assist with your green lease. Our managed legal services have supported both landlords and tenants in the preparation and negotiation of green leases. We would be pleased to hear from you if you’d like further information, please contact us at the following: BeyondLeasing@blg.com.
