Green Building is still recession-proof

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The consulting firm Yudelson Associates predicts that green building will continue to grow in spite of the global credit crisis and the ongoing economic recession in most countries.

“What we’re seeing is that more people are going green each year, and there is nothing on the horizon that will stop this trend,” explains Jerry Yudelson, the principal of Tucson-based Yudelson Associates.

Some of the drivers and trends for this forecast include cumulative growth (80% in 2008) for new LEED (Leadership in Energy and Environmental Design) projects; incoming benefits from the new Obama administration; the switch from new buildings to greening existing buildings; water conservation in buildings; use of alternative energy in buildings (e.g. solar); zero net energy designs for new buildings; large number of new green housing developments in the U.S. and Canada; and European green building technologies becoming more widely adopted in the U.S. and Canada.Consulting firm McGraw Hill Construction agrees with this forecast and estimates that green building will continue to grow over the next five years to $96-$140 billion market despite current negative market conditions. The global green building market today is said to be at around $36-$49 billion for residential and nonresidential buildings compared to the 2005 value of $3bn for nonresidential and $7bn for nonresidential.

“Since that time, green building has expanded rapidly due to a number of factors such as growing public awareness of green practices, heavy increase in government interventions, and recognition by owners of the bottom line advantages,” says McGraw Hill. “In fact, green building has grown in spite of the market downturn. Green seems to be one area of construction insulated by the downturn, and we expect green building will continue to grow over the next five years despite negative market conditions.”

For more on how the chemical industry is benefiting from the green building trend, read this article from ICIS Chemical Business.

5 Responses to Green Building is still recession-proof

  1. Mitch 8 January, 2009 at 3:54 pm #

    I’m not so sure. I am working to supply some reclaimed SiO2 to a company that purifies Silicon and supplies it to the big names in photo cell manufacturing. And guess what happened last week. The orders from the photo cell manufacturing companies just stopped! They sighted the economic downturn along with a glut of supply. So here’s an example of ‘green’ being affected by the recession at the base level (unfortunately).

  2. WoW Gold 27 February, 2009 at 2:16 pm #

    These tips are great specially with the economic crisis ongoing. The recession really is affecting everyone globally. Everyone should be helping each other to make it through, specially the government.

  3. mara woloshin 8 July, 2010 at 11:22 pm #

    We would like to know who did the tree image on your site and what fees might be associated with it’s use. Likewise, we would love the name of the artist.
    II work with LiveLight Energy in Oregon and we are doing a fundraiser for the Home Building Foundation.
    503-241-3834.

    Many thanks.

  4. Doris de Guzman 16 April, 2013 at 7:58 pm #

    Hi Mitch,
    Recession is definitely to blame although there have been reports of over-investing especially within the photovoltaic solar market this year which is why some are predicting slight slowdown within the clean tech industry. You can check out my recent post on clean tech investment predictions this year.

    Doris

  5. Doris de Guzman 16 April, 2013 at 7:58 pm #

    Hi Mara,
    Unfortunately, we do not own this photo and I actually forgot what site it came from. I’m sorry I can’t help you more about the graphic. I normally attribute graphics to a website but I must have forgotten to put one for this.

    Best Regards,
    Doris

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