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Urban Land.- Reinventing Real Estate Page 5 of 5 affordable h' oulsin�g was considered to be the sulm total of socially responsible real estate investments, III says Sanitos-WMest., "'Today, thie basic attribultes thiat make for souln real estate investment heave evolved an�d expan ed to in�clulde investment's in workforce h�oulsin , transit - oriented and urban development, and sulstain�able development initiatives.''' It is one th' in�g to dedicate a portion of one 11 s portfolio, or entire portfolio, to responsible real estate. Bult does it add valule, or at least match th' e retulrn�s of investment real estate? In th' eir sturdy "Income, Value, an�d Returns in Socially Responsible Office Properties,"' Gary Pivo an�d Jeffrey Fish' er examine d 1,200 office properties in th' e National Council of Real Estate Investment Fiduciaries (INCREIF) database-accouln�tin�g for total market valule of aboult $100 billion -to determine wh' eth' er elements now considered cornerstones of responsible real estate development added asset valule. Th' e sturdy, pulblish' ed in th' e Jully/September Journal of Real Estate Research, found th' at with some exceptions, over th' e past ten years, properties th' at were Energy Star labeled, close to transit, an�d located in redevelopment areas "'h�ad net operatin incomes, market valules, price appreciation, and total retulrn�s th' at were h�igh' er or th' e same as conventional properties, with lower cap rates.''' Th' e real estate in ulstry is at a powerfull inflection point in th' is pain�full recession, bull th' erein lies th' e opportunity. To h' arn�ess th' e potential of th' is moment, th' e in ulstry mulct be willing to work differently and fix th' e in�stitultion�alized impediments h�amperin�g broader adoption of responsible real estate as a core class. , Th' is moment presents a won erfull opportuln�ity to retool th' e profession, reteach company teams, and expand th' e definition of valule. If th' e in ulstry more deeply embraces th' e potential of its collective skill set and its responsibility to society, it h' as th' e ch' an�ce of a lifetime to become the profession th' at positively resh' aped th' e bulilt environment. See Six Recommendations for Making the Most of the Recession [h' ttp: Hu�rbanr lanr .,u�li.,org/articles/201�l /rear/h'h' idsixrecession�] for ch' an�ges in practices, th' au� th' or states, th' at will lay th' e fouln ation for a more sulccessfull oultcome wh' en th' e market returns. jue;g, N11 2,0,11 Urban Laird Institute. Permission grainted for up to 5 colpies.. All irii ghts it eserved.. ;BrYou forward this article or get additional permissioins lby typing 1"). 1. J.. cc,"r.1 L ccq,Y:1 r ..'j 1"). L I . ..... - Ll I.L", lint o airy welb lb irowse r. U r1ba in Laird I institute aired irl ba in Laird Ilogos afire ire i ste ired trademarks of Urban Laird Institute .. The Copyright Ilogo lis ire gistered trademark of Copyright, Inc. http://license.icopyright.net/user/viewFreeUse.act?fuid=MTM4NzgOMTU�/�3D 09/14/201 1