By James McCurdy
Even before the COVID-19 Pandemic, e-commerce was growing dramatically across America. As delivery of food and other essential products became a literal lifeline for millions of families, e-commerce merchants expanded their warehouse and logistical capacity to meet rising demand. A warehouse might not be the most obvious example of a “green” building, but an increasing number of e-commerce merchants and the logistical companies that serve them are seeking to maximize their energy and water savings while minimizing their environmental and carbon footprints.
Recognizing customer preferences and investor concerns regarding sustainability, industry leaders are strengthening their environmental, social and governance (ESG) goals. Argento/Graham’s work on green industrial buildings has expanded rapidly over the past two years, signaling a growing commitment to environmental responsibility in the space. On the ground, we are helping companies navigate solar array installations, reduce water, and leverage numerous other strategies to make their warehouses and industrial spaces as efficient as possible. Many are also using aspects of wellness standards to ensure their employees are working in buildings designed for safety and the support of health and well-being.
Our work with Clarion Partners, one of the largest owners and developers of logistics properties in the U.S., is a powerful example of the practical impact these strategies can deliver. We helped Clarion develop a prototype for the certification of new development projects under the USGBC LEED v4 for Warehouse and Distribution Centers Volume Program. Using this prototype, Clarion has more than 7 million square feet of new industrial development underway or soon to begin that is expected to achieve LEED certification, with a pipeline of more than 13 million square feet of additional planned developments currently under review. Clarion has implemented a standard review for all new industrial developments to evaluate the feasibility of LEED certification, finding that the vast majority can achieve the certification with a limited impact on overall project costs. “We believe that achieving LEED certification for new developments will help us to attract and retain tenants who share our commitment to meeting ESG priorities in their supply chain,” according to Dayton Conklin, Clarion’s Head of Industrial Transactions.
This spring, the Trammell Crow Company (TCC), also an A/G client, announced a strategic partnership with Altus Power to bring Altus Power’s clean electrification solutions to TCC’s real estate development projects. The partnership will focus initially on 35 million square feet of U.S. industrial assets in TCC’s development pipeline, incorporating solar power generation, battery storage and electric-vehicle charging. The partnership is expected to generate 300 MW of building-sited, locally generated solar power across the United States over the next three to four years. “This partnership is directly responsive to our capital partners and occupier clients who expect us to deliver sustainably built real estate,” according to Mike Lafitte, CEO of TCC. More and more, forward-looking logistics, industrial and real-estate development companies are recognizing that doing the right thing for the environment is smart business.
More information: Guide to LEED Certification: Volume