Hotel valuations ‘now linked to sustainability’

Investors in hotel properties are driving the green agenda in travel as asset valuations become linked to measures of sustainability.

Ufi Ibrahim, chief executive of the Energy & Environmental Alliance (EEA), said existing green regulations were already forcing the hospitality investment community into action.

EEA is working on an independent global certification scheme for properties that is “credible, scientifically robust and commercially viable” with sustainability method Breeam.

Any certification has to be “substantiated by hard evidence”, otherwise it will be accused of “greenwashing”, said Ibrahim.

She said 80% of the global building stock that will exist in 2050 is already built, so operational performance, including how guests travel to and from hotels, can be measured.

“Investors are the ones driving the pressure,” Ibrahim said. “They are auditing every property in their portfolios and valuations are changing.

“We are working with the investment community to ensure the criteria is fit for purpose. The world is changing.