The Influence of Green Building Certification Schemes on Real Estate Investor Behaviour: Evidence from Singapore

Based on an adaptive choice-based conjoint analysis, the aim of this paper is to ascertain the extent to which various characteristics of a condominium unit, and in particular the Building and Construction Authority (BCA) Green Mark Scheme, influence prospective real estate investors' preferences for condominium units in Singapore. Through the analysis, this study determines that premium buyers would be willing to pay for property certified by the Green Mark Scheme. The results suggest that the price premium buyers would be willing to pay for green certification varies within the different levels of the Green Mark Scheme, ranging from 3.78 per cent for the Certified award to 7.98 per cent for the Platinum award. The results thus suggest a strong business case for developers of green buildings.