A credit representing a tonne of CO2 avoided or removed elsewhere, bought to compensate for a building's residual emissions; credible only when additional and verified, not a substitute for real reductions.
Related terms
- Embodied carbon
The greenhouse-gas emissions associated with constructing a building.
- Energy performance certificate (EPC)
A graded rating (A to G) of a building's energy efficiency, increasingly required for leasing or sale; minimum EPC standards are already restricting lettings o…
- ESG
Environmental, Social, and Governance factors increasingly shaping real estate investment.
- Estidama (Pearl rating)
Abu Dhabi's sustainability framework, rating buildings from 1 to 5 Pearls across water, energy, and materials; a minimum rating is mandatory for new developmen…
- Green building
A building designed and operated to reduce environmental impact and resource use.
- Green lease
A lease with clauses committing landlord and tenant to shared sustainability goals such as energy data sharing, efficiency upgrades, and waste reduction, align…
- Green premium
The additional value or rent a sustainable building can command.
- GRESB
The Global Real Estate Sustainability Benchmark, an investor-driven ESG scoring system that lets funds compare the sustainability performance of property portf…