A growing public interest in sustainability and new legislation is leading businesses to ramp up their environmental efforts and create more eco-friendly workplaces. Many cities are even encouraging their local businesses to develop green practices by helping them obtain Leadership in Energy and Environmental Design (LEED) certifications. An LEED certification displays to the world that your building was designed and built to be energy efficient and environmentally friendly. Some cities are even offering financial incentives as a means to encourage more businesses to achieve this honor.

Why LEED Certification Is Worth the Investment

LEED-certified buildings offer tangible environmental, financial, and social benefits. According to the U.S. Green Building Council (USGBC), LEED buildings contribute to:

• Lower carbon emissions: LEED-certified buildings implement efficient building management systems as a way to reduce their overall carbon emissions. Some strategies include upgrading to LEDs, upgrading HVAC, and installing energy-efficient appliances.
• Decreased operating costs: Switching to energy-efficient practices results in long-term savings and a higher return on investment. LEED-certified buildings use less energy than conventional structures, leading to significantly reduced energy bills over time.
• Higher property value: Energy-efficient buildings are more attractive to investors and tenants due to the increased interest in sustainable practices. As a result, these buildings typically command 11% higher rents and experience reduced vacancy.
• Improved occupant wellbeing: Features like better air quality, natural light, and thermal comfort enhance employee satisfaction and productivity, reducing turnover.
• Support for ESG initiatives: Investors and corporations increasingly prioritize ESG (Environmental, Social, and Governance) metrics, and LEED certification provides a trusted framework to meet those goals.
• Waste reduction: By 2030, LEED projects are expected to divert over 540 million tons of waste from landfills.

Burbank Water and Power’s LEED Certification Incentive Program

The City of Burbank, California, through Burbank Water and Power, offers one of the more direct and accessible LEED incentive programs. Developers must notify the utility before construction begins and submit documentation showing LEED registration and final certification.

The financial incentives vary by certification level:

• LEED Certified: $15,000
• LEED Silver: $20,000
• LEED Gold: $25,000
• LEED Platinum: $30,000

Once the project is reviewed and accepted, the applicant receives a check based on the certification achieved. This simple and straightforward program rewards sustainable building design while encouraging environmental stewardship within the community.

City of Orlando Green Building Incentive Program

Another standout example comes from Orlando, Florida, where the city launched a 5-year pilot called the Green Building Incentive Program (GBIP). Targeted toward commercial buildings and multi-family properties, Orlando’s program provides a performance-based property tax rebate.

The rebates are structured as follows:

• LEED Silver: 50% tax increment rebate
• LEED Gold: 75% tax increment rebate
• LEED Platinum: 100% tax increment rebate

To qualify, buildings must be at least 1,000 square feet and meet specific LEED certification requirements depending on building type and size. The rebate is issued after LEED certification is attained and proof of tax payment is submitted. For large-scale developments, this can translate into substantial cost savings while also contributing to the city’s broader sustainability goals.

Is Your City Next?

Cities across the country are committing to green development by encouraging businesses to adopt environmentally friendly practices through financial incentives. The LEED certification incentive is one of many financial rebate programs businesses can use to maximize their savings on energy-efficiency projects. This not only benefits developers and business owners but helps cities lower their carbon emissions and promote healthier communities.

Incentive Rebate360 has a team of rebate management experts that can find the best financial incentives to save your company money! We will streamline the recovery process to ensure you get the maximum returns. To contact us, call 480-653-8180, email [email protected], or schedule a call that fits your needs by clicking the button below!