I am a 55-year-old woman seeking to purchase real estate in the Delhi-NCR region. Given the severe air pollution in these areas, I am considering investing in properties that offer eco-friendly and sustainable living solutions. However, I remain sceptical, as sustainability is not yet a primary consideration for most buyers. In these circumstances, would it be advisable for me to proceed with such an investment?
-Name withheld on request
Yes, it would be advisable to consider investing in real estate projects that promise sustainable and eco-friendly solutions, particularly given the gradual but steady introduction of green real estate in the industry. Green real estate refers to property projects that are designed, constructed and operated in an environmentally responsible manner, with the aim of creating more efficient and sustainable living environments.
It would be fair to say that sustainability is not yet the primary consideration for most real estate investors today. However, the growing environmental challenges we face make it imperative to integrate eco-friendly practices not only into our daily lives but also into long-term decisions such as property ownership. With rising air pollution levels and a deteriorating Air Quality Index in Delhi and its surrounding regions, prioritizing environmental protection and sustainable development has become increasingly important.
Looking ahead, it would not be far-sighted to expect that as awareness around environmentally friendly housing increases, demand for such properties will also rise. In the coming years, real estate projects that offer sustainable amenities—such as air filtration systems, green spaces, environment-friendly machinery, energy-efficient power solutions and water conservation measures—are likely to become key factors in property valuation. This would mark a clear shift from traditional assessment parameters to more future-oriented preferences.
Beyond health and lifestyle considerations, investing in sustainable real estate also makes sense from an investment perspective. Green real estate projects are generally better positioned to comply with evolving environmental and construction regulations. As a result, properties that are already aligned with future regulatory requirements may reduce the risk of unforeseen expenses arising from sudden compliance mandates. Moreover, sustainable projects are likely to retain relevance over time, improving their potential resale value.
While profitability continues to drive most investment decisions today, green real estate offers the advantage of balancing long-term financial returns with environmental responsibility. Such projects not only have the potential to prove more profitable over time but also contribute positively to environmental preservation. For these reasons, opting for sustainable real estate remains a prudent and forward-looking choice when investing in property.
Aditya Chopra, managing partner and Fatima Ali, associate, The Victoriam Legalis.