@article{4cdcdec5aab640c59ee0fa4300d1f695,
title = "The Effects of Multiple Green Factors on Condominium Prices",
abstract = "This paper analyzes the transaction prices of green buildings assessed on the basis of multiple green factors. Our theoretical model demonstrates that the initial green premium can be negative but becomes positive as the building ages if a green building has a higher life-cycle cost and a longer economic life. Our empirical analysis of green condominiums in Tokyo confirms this prediction. We additionally find that the longer-life design is associated with a price premium, but the use of renewable energy and recycled materials and water is associated with price discounts. The price discounts are interpreted as the capitalization of a greater life-cycle user cost.",
author = "Jiro Yoshida and Ayako Sugiura",
note = "Funding Information: We thank John Quigley, Piet Eichholtz, Nils Kok, Austin Jaffe, Brent Ambrose, Ed Coulson, Joshua Graff-Zivin, Jenny Schuetz, Kerry Vandell, Patrick McAllister, Erin Mansur, James Conklin, Moussa Diop, Sun Young Park, and the participants of seminars at the Ministry of Land, Infrastructure, Transport, and Tourism (MLIT); the AREUEA Denver conference; the Berkeley-Maastricht Conference on Green Buildings; and 2013 NBER Japan Meeting for their comments. We also thank the members of the Tokyo Association of Real Estate Appraisers for their valuable comments and support in configuring the data. We gratefully acknowledge the grants from MLIT and the Institute for Real Estate Studies at the Pennsylvania State University that have supported this research. Publisher Copyright: {\textcopyright} 2014, Springer Science+Business Media New York.",
year = "2015",
month = apr,
doi = "10.1007/s11146-014-9462-3",
language = "English (US)",
volume = "50",
pages = "412--437",
journal = "Journal of Real Estate Finance and Economics",
issn = "0895-5638",
publisher = "Springer Netherlands",
number = "3",
}