Does Retrofitting Pay Off? An Analysis of German Multifamily Building Data. Issue 1 (31st December 2022)
- Record Type:
- Journal Article
- Title:
- Does Retrofitting Pay Off? An Analysis of German Multifamily Building Data. Issue 1 (31st December 2022)
- Main Title:
- Does Retrofitting Pay Off? An Analysis of German Multifamily Building Data
- Authors:
- Groh, Alexander
Kuhlwein, Hunter
Bienert, Sven - Abstract:
- Abstract: Several studies have investigated the relationship between the energy performance of buildings and housing prices. First, this paper identifies a price premium for energy efficiency within the German rental market. Then, the indexed price differences and associated marginal benefits are compared with the marginal costs of energy retrofits. An extensive database of Germany's largest online platform for housing over a time span from 2016 to 2020 is used in a hedonic regression approach. In addition, to extract the marginal costs of energy consumption abatement, a dataset of 1048 rental units regarding green-retrofit measures is utilized. Although a significant green premium is identified in the rental market, the findings suggest that it is not high enough to compensate landlords for the money they have to spend to retrofit. The marginal costs exceed the marginal benefits by far. Furthermore, it is found that the German government's recent plans to split the carbon tax between landlords and tenants do not change this because the price per metric ton of carbon is insufficiently high. Limitations with respect to the data basis and consequently to the interpretation of the results exist. Nevertheless, the findings can help both tenants and landlords in their decision-making, as well as policy makers in the implementation of decarbonization efforts.
- Is Part Of:
- Journal of sustainable real estate. Volume 14:Issue 1(2022)
- Journal:
- Journal of sustainable real estate
- Issue:
- Volume 14:Issue 1(2022)
- Issue Display:
- Volume 14, Issue 1 (2022)
- Year:
- 2022
- Volume:
- 14
- Issue:
- 1
- Issue Sort Value:
- 2022-0014-0001-0000
- Page Start:
- 95
- Page End:
- 112
- Publication Date:
- 2022-12-31
- Subjects:
- Economic viability -- energy performance certificates -- generalized additive model -- hedonic pricing model -- marginal cost
Real estate development -- Environmental aspects -- Periodicals
Sustainable construction -- Periodicals
Sustainable buildings -- Periodicals
333.73150286 - Journal URLs:
- https://www.tandfonline.com/toc/rsre20/current ↗
- DOI:
- 10.1080/19498276.2022.2135188 ↗
- Languages:
- English
- ISSNs:
- 1949-8276
- Deposit Type:
- Legaldeposit
- View Content:
- Available online (eLD content is only available in our Reading Rooms) ↗
- Physical Locations:
- British Library HMNTS - ELD Digital store
- Ingest File:
- 24870.xml