In this post:
- IGrow looks into EDGE building Certification
- What is EDGE Green building certification?
- International recognition of EDGE-certified properties as eco-friendly
- What are the perks of EDGE-certified buildings?
- The benefits of EDGE-Certification for property developers and investors
- IGrow’s latest EDGE-certified property launch: The Residence, North Parklands, Cape Town
1. IGrow looks into EDGE Building Certification
At IGrow, we like to keep up with the features our developments offer, so we can constantly add value to IGrow properties’ return on investment for our clients. Recently, we have been diving into the world of Green Building Certifications. EDGE (Excellence in Design for Greater Efficiencies) building certification is granted to a building that is assessed during the construction phase and after completion for specific built-in green resource-efficiency measures.
In this blog post, we will explore EDGE certification in more detail, examining the green movement and trends in property development to build more eco-friendly properties. We will also examine how rental demand from tenants seeking eco-friendly homes has increased.
Living in an EDGE-certified apartment adds an element of environmental responsibility, helping residents live a greener life. Investors buying IGrow EDGE-certified properties will automatically be buying into environmentally friendly developments. In addition, investors will be ensuring their tenants have reduced monthly utility bills, as EDGE-certified buildings make a household’s running costs lower. As all wise investors know, happy tenants equal happy investors!
2. What is EDGE green building certification?
What criteria must be met to obtain EDGE certification for a green building?
“To achieve an EDGE rating, a minimum saving of 20% in energy, water, and embodied carbon in materials must be proven through initiatives implemented in the design phase and confirmed during construction.” (Source).
IGrow has recently launched an EDGE-certified building, The Residence, in Parklands North, Cape Town. We are delighted to be able to provide our investors with units within this eco-friendly development, offering a greener lifestyle that will appeal to tenants in terms of both green values and value for money with lower utility costs.
The Residence is LEVEL 1 EDGE Certified. This means it has a minimum of 20% savings across the three resource categories: energy, water, and embodied carbon in materials.
Developments intended for residential use and classified as EDGE projects within South Africa are certified by the GBCSA (Green Building Council South Africa), a third-party organisation. This company independently oversees the professional credentialing and project certification-qualification programs tied to green buildings in South Africa. Working with IFC (International Finance Corporation), GBCSA caters to the need for future buildings to be energy and resource-efficient and innovative. (Source)
3. EDGE-certified properties are internationally recognised as eco-friendly
EDGE green building certification has wider credibility than the local South African property market. It is internationally recognised that an EDGE-certified property has eco-consciousness at its heart while being cost-efficient and having sustainability features that can be objectively measured.
EDGE certification is internationally recognised because it is a green building certification system created by the International Finance Corporation (IFC), a member of the World Bank Group. EDGE is used worldwide, across a variety of countries, to check on the resource efficiency of buildings. EDGE certification is widely accepted as a global standard for sustainable construction processes. (Source)
“An innovation of IFC, EDGE creates intersections among developers, building owners, banks, governments, and homeowners to deepen the understanding that everyone wins financially by building green. EDGE was created to respond to the need for a measurable and credible solution to prove the business case for building green and unlock financial investment. EDGE is supported by a global network of certification providers and EDGE Experts with the collective ambition to mainstream green buildings and help tackle climate change.” (Source)
In the South African property market, we are encountering increased urbanisation nodes. “Urbanization is rapidly increasing and is expected to reach 71 percent by 2030”(Source). With our electricity supply crisis, and water shortages over the years, it is critical to meet the demands of further power and water usage needs that accompany increased urbanisation.
EDGE certification offers a valuable solution to these demands for energy efficiency and water usage optimisation. The EDGE standard realises the purpose and value of “building green” and promotes this form of eco-friendly building, now and into the future. It is important to note that EDGE also encourages the use of innovation and technology to create a more sustainable future in South Africa. (Source)
4. What are the perks of EDGE-certified buildings?
EDGE certification goes beyond environmental responsibility. Properties that have green credentials, such as the EDGE certificate “typically demonstrate improved operating efficiency, reduced utility costs, and growing appeal in an increasingly conscious tenant and homeowner market. They also lead to
preferential bank rates. Now that is music to any long-term investor’s ears!” -Werner Scheffer, Project Development Co-ordinator at IGrow Wealth Investments.
5. The benefits of EDGE-Certification for property developers and investors providing eco-friendly properties
EDGE-Certified buildings offer numerous benefits to property developers and investors buying these units to rent out.
The Benefits of EDGE-Certification Providing Eco-Friendly Properties
6. IGrow’s latest EDGE-certified property launch: The Residence, North Parklands, Cape Town
The Residence in Parklands North is an EDGE-certified green building. It comes with fully tenanted eco-friendly units, each equipped with its own solar geyser. This means you have an immediate source of rental income right on purchase. EDGE building certification also encourages preferential bank rates and financing for investors, which you can take full advantage of through IGrow Home Loans.
The whole complex is kitted out with LED lighting and motion sensors, with handy window insulation, reducing heating bills and operating costs. There is also a cost-saving solar water heating system in place in each unit. Sustainable features, regarding energy efficiency and water-saving mechanisms, reduce overall tenant utility costs. This is an attractive feature for tenants looking for more affordable running costs in their homes.
With the load-shedding crisis in South Africa, the LED lighting and energy efficiency of The Residence units, means tenants are more prepared for electricity outages and should have an uninterrupted supply of hot water for most of the year. They will be able to enjoy the comfort of the modern designs in these units and cheaper utility bills.
“The Residence exemplifies how thoughtful green design creates immediate practical benefits while building long-term investment value. An additional green consideration that aligns with the City of Cape Town’s commitments to building a future-proof city with reduced traffic volumes is the convenient proximity of this development to public transport routes like the MyCiti buses.” -Werner Scheffer, Project Development Co-ordinator at IGrow Wealth Investments.
The IGrow Project development team, headed by Werner Scheffer, is committed to offering IGrow investors long-term value on their IGrow property purchases. Our tenant management and property management team make the running of IGrow investors’ properties smooth sailing!
Limited time offer: The first 25 IGrow investors to buy a 2-bedroom, 2-bathroom unit at The Residence will receive a full year of FREE IGrow property management services. This includes tenant management by IGrow Rentals and maintenance management by the IGrow property management team.
Conclusion
EDGE-certified buildings help IGrow investors benefit from preferential bank loan rates, due to green and sustainable building features. Our EDGE-approved development with green, eco-friendly units, at The Residence, offers investors excellent ROI and long-term wealth accumulation with a high monthly rental output.
The rental income is projected at R8,780 to R9,280, per unit, depending on size, with a guaranteed 8% rental escalation in 2025 due to high rental demand in this area.
The environmentally responsible units at The Residence will appreciate in value, over time, and present themselves as excellent property investments.
Keep an eye on the IGrow properties on our website, for new EDGE-certified building launches offering a green, eco-friendly lifestyle for all tenants and multiple perks for investors.
Make sure to contact an IGrow property investment strategist today to discuss the limitless potential of EDGE-certified IGrow property investments.
