Portfolio greenness and the financial performance of REITs
This paper investigates the effects of the energy efficiency and sustainability of commercial
properties on the operating and stock performance of a sample of US REITs, providing
insight into the net benefits of green buildings. We match data on LEED-and Energy Star-
certified buildings with detailed information on REIT portfolios and calculate the share of
green properties for each REIT over the 2000–2011 period. We estimate a two-stage
regression model and document that the greenness of REITs is positively related to three …
properties on the operating and stock performance of a sample of US REITs, providing
insight into the net benefits of green buildings. We match data on LEED-and Energy Star-
certified buildings with detailed information on REIT portfolios and calculate the share of
green properties for each REIT over the 2000–2011 period. We estimate a two-stage
regression model and document that the greenness of REITs is positively related to three …