As climate pressures intensify and capital becomes more discerning, the real estate sector stands at a pivotal moment. No longer are sustainability credentials a value-add—they are fast becoming core to asset valuation, tenant attraction, and long-term resilience.
This World Environment Day, the spotlight is on real estate’s role in delivering decarbonization at scale. According to the International Energy Agency’s 2024 Global Buildings Tracker, buildings now account for 37% of energy- and process-related CO₂ emissions worldwide. In India, where urbanization is accelerating, this figure underscores a critical truth: real estate can either amplify the climate crisis or actively mitigate it.
A shift is underway. What was once an ESG narrative led by compliance is now an investment imperative. The World Green Building Council’s 2024 Global Trends report reveals that green-certified buildings reduce operating costs by up to 14%, with rental premiums of 6–10% in Indian metros. Institutional investors are taking note. CBRE India’s 2024 Green Real Estate Outlook reports that 72% of investors now factor ESG ratings into acquisition strategies, and 63% of occupiers require green certifications for office space selection.
In Pune, one of India’s fastest-growing real estate markets, this transition is visible across asset classes. Premium residential projects like YOO Pune and YOO Villas, developed in collaboration with global design house YOO, have integrated sustainability into their architectural language. From passive solar design and energy-efficient systems to a 5-acre rainforest and rainwater harvesting, these developments aren’t just aesthetic statements—they’re engineered for performance.
On the commercial front, buildings like EON IT Park, World Trade Center Pune, and Amanora Chambers have embraced LEED and IGBC ratings, focusing on air quality, daylight access, and reduced water usage. This isn’t just about being green—it’s about future-proofing assets for institutional-grade returns.
Even in new commercial development, the sustainability playbook is being executed with intent. Upcoming Grade-A developments, including Omicron Business Landmarks Kharadi NX, are integrating features like high-efficiency HVAC systems, daylight-responsive lighting, and climate-conscious landscaping. These aren’t superficial add-ons—they’re fundamental to asset longevity and lifecycle value.
What’s also changing is the role of landscape. No longer ornamental, green spaces are being engineered for thermal comfort, carbon sequestration, and even stormwater management. Think shaded public courts, rooftop rain gardens, vertical green walls—solutions that serve both people and planet, while also reducing long-term energy intensity.
The financial rationale for all this is clear. According to Knight Frank India’s 2024 ESG Report, commercial green buildings in India experience lower vacancy risks and up to 7% higher yields than non-certified assets. With REITs and institutional funds allocating more capital toward ESG-aligned portfolios, green buildings are quickly becoming the safer, smarter bet.
At the intersection of real estate and climate action, sustainability is now a proxy for value. It de-risks assets, meets rising regulatory standards, and aligns with stakeholder expectations—from tenants and investors to city planners and financiers.
As the built environment redefines its role in climate strategy, developers who integrate sustainability from day one aren’t just responding to a trend—they’re shaping the blueprint for future cities.
India’s commercial real estate sector is undergoing a quiet but powerful shift. While demand for Grade-A buildings, sustainable supply, and infrastructure-led locations continues, there’s a parallel priority that is becoming non-negotiable – Wellness. No longer a soft perk or a branding exercise, wellness is fast becoming the core lens through which commercial spaces are being designed, leased, and marketed.
As India’s commercial real estate market races towards a projected size of USD 106.05 billion by 2029, growing at a CAGR of 21.10% (Puravankara), this rising wave of health-centric office spaces in India signals not just a trend, but a transformation in how occupiers and investors define long-term value. To understand the emergence of wellness as a strategic priority, it is imperative to first identify the market forces and occupier expectations driving this shift./p>
The shift toward wellness-driven commercial spaces is not incidental. It is anchored in three powerful macro and behavioral changes.
These evolving priorities are altering how commercial assets are evaluated. As wellness moves to the forefront, it becomes essential to define what truly sets a health-focused workplace apart from conventional developments.
Wellness-focused commercial projects go beyond traditional aesthetics or green landscaping. They are built around human-centric principles with measurable impact on health, comfort, and performance. Wellness-focused workplaces include:
These features go beyond design — they directly address what today’s occupiers expect and can lead to measurable returns. It is important to assess how wellness integration is influencing both asset performance and tenant experience.
The integration of wellness is not just a peripheral upgrade — it is emerging as a key performance driver for wellness-focused commercial real estate assets. Across markets, wellness-certified developments are demonstrating stronger leasing traction, longer tenant retention, and higher investor confidence (Business Standard).
With the performance advantages clearly established, wellness is no longer positioned as an optional add-on. The next phase of market evolution will see it embedded into core real estate strategy, both as a competitive differentiator and a resilience-building lever.
This redefinition is particularly relevant in a high-growth market like India. As the sector moves toward a USD 106 billion valuation by 2029, wellness-focused assets are expected to lead on rental premiums and become central to institutional investment strategies.
At SQUAREA, we identify and enable access to India’s most forward-looking commercial assets, projects that integrate wellness, ESG, and grade relevance to deliver future-ready performance. To explore wellness-aligned commercial investments that meet global benchmarks and rising tenant expectations, write to us at hello@squarea.io or call +91 90 9641 9641. Let’s align your portfolio with the next chapter of workplace evolution!
Over 195,000 buildings worldwide are now LEED-certified commercial properties – a clear signal that sustainable real estate is no longer just an industry buzzword but the future of commercial real estate (U.S. Green Building Council). Investors and businesses are rapidly shifting towards green buildings, recognising that they offer not just environmental benefits but also green building investment returns.
With the global push for sustainability reshaping commercial spaces, India is emerging as a key market aligning with these trends. As investors and occupiers prioritise carbon-positive buildings, the focus is shifting from why sustainability matters to how it can drive long-term value. At the heart of this transformation lies a globally recognised benchmark—LEED certification. It is often the first step in signalling a building’s commitment to environmental performance and future readiness.
LEED (Leadership in Energy and Environmental Design) is one of the most recognised global certification systems for eco-friendly spaces and sustainable buildings. It evaluates properties based on energy efficiency, water conservation, indoor air quality, and overall environmental impact.
In India, over 13.26 billion sq. ft. of commercial space is now classified as green real estate, placing the country among the global leaders in sustainable construction (Indian Green Building Council). LEED-certified commercial property continues to be a key differentiator in the market, offering:
However, while LEED ensures a building meets sustainability benchmarks, investors are now taking a more comprehensive approach by evaluating assets through the lens of ESG in real estate. Let’s take a closer look at the ESG-driven real estate investment trends.
ESG in real estate—short for Environmental, Social and Governance—is fast becoming a key metric in real estate investment decisions. Beyond certifications, investors now assess real estate sustainability, long-term operating costs, resilience, and governance frameworks before allocating capital. A recent global survey found that 70% of investors have already adopted ESG criteria in their decision-making, with another 10% planning to do so in the next three to five years (Knight Frank). This shift is driving capital towards ESG-aligned assets, which are increasingly commanding premium valuations.
Major global investment firms are rapidly integrating sustainability and eco-conscious practices into their real estate portfolios. For example:
The green commercial architecture transition is not just limited to individual buildings but is reshaping large-scale developments, including IT parks and business districts. Several large-scale IT parks and business hubs are incorporating smart green buildings 2025 designs, offering cutting-edge features that redefine the workspace experience. This momentum is pushing Indian developers to align with international standards, resulting in a new wave of sustainable commercial spaces.
India’s commercial real estate sector is already witnessing an accelerated push towards sustainable development. According to Bain & Co., 90% of India-bound investments in the next five years will be influenced by ESG in real estate considerations. Moreover, ESG-focused funds in India saw a 76% jump in inflows in FY 2020–21, reaching ₹3,686 crore from ₹2,094 crore the previous year.
Some notable projects include:
With regulatory backing, rising corporate demand, and investor preference, India’s green commercial real estate market is expected to grow exponentially.
As Indian developers shift towards green building technology, key sustainability features in new commercial developments include:
The advantages of sustainable commercial properties extend beyond energy-efficient skyscrapers, they also drive long-term profitability.
A key distinction on how green buildings drive profits compared to traditional commercial spaces includes:
| Feature | Traditional Commercial Real Estate | Sustainable Commercial Real Estate |
|---|---|---|
| Energy Consumption | High | 20–50% lower |
| Operational Costs | Expensive maintenance | Reduced costs due to efficient systems |
| Tenant Demand | Standard leasing demand | High preference from MNCs, startups, and tech firms |
| Regulatory Compliance | Subject to evolving norms | Already aligned with global ESG and green building standards |
Sustainability in commercial real estate is no longer just about environmental responsibility—it is a financially sound investment strategy. Green-certified and ESG-aligned properties offer:
At SQUAREA, we connect investors with commercial spaces designed for the future—LEED-certified commercial property, net-zero in commercial real estate, and smart green buildings 2025 that are sustainable, high-performing, and investment-worthy. Whether you’re looking for impact or income, our team of dedicated experts can help you secure opportunities that deliver both
Let’s shape a greener, more profitable real estate landscape together!
