As sustainability becomes a top priority in the property sector, experts are increasingly pointing to green retrofits as a potential solution to upgrading the UK’s aging housing and office stock. A recent report, Reflections and Predictions for Sustainability in the Property Sector in 2025, compiled by Landmark’s Sustainability Director Chris Loaring, highlights the growing shift in client preferences towards energy-efficient, sustainable properties, both in residential and commercial markets.
According to Landmark’s research, estate agents reported that 72% of homebuyers prioritize properties with energy-efficient insulation and strong energy performance, while 64% prefer homes constructed with sustainable materials. Additionally, 50% of buyers are attracted to homes featuring smart technology systems designed to save energy. This trend is not only confined to residential markets; commercial real estate is also witnessing a growing preference for buildings with green credentials, with some agents predicting a surge in demand for Grade A sustainable offices.
However, a key obstacle to meeting this demand is the UK’s shortage of modern, Grade A office spaces. As sustainability targets become more urgent, the commercial sector faces challenges in upgrading its existing stock. With a lack of suitable buildings available, retrofitting existing offices to meet green standards may be a necessary step. This shift towards proactive retrofits—also known as “greenfits”—could see a significant rise in demand in the coming years, especially if office tenants seek to align with broader sustainability goals.
Encouragingly, government initiatives such as the Future Homes Standard, the Warm Homes Plan, and the Industrial Energy Transformation Fund (IETF) are helping pave the way for a more sustainable property market. These efforts are critical as the UK’s housing stock is currently among the least energy-efficient in Europe. The UK Green Building Council (UKGBC) has warned that 77% of UK office stock with an Energy Performance Certificate (EPC) rating below B could become unlettable by 2030, underscoring the urgent need for action.
As the industry shifts focus from setting sustainability targets to reporting progress, the need for tangible results becomes ever clearer. Landmark’s discussions with industry leaders from companies such as Latham & Watkins, Taylor Wimpey, and Savills revealed a growing consensus that collaboration will be essential to achieving the ambitious sustainability goals set out in international agreements like the Paris Agreement’s 1.5°C limit.
The time for setting targets is over; the future of UK property will depend on how effectively it can implement green retrofits to meet sustainability demands and ensure that homes and office spaces are future-proofed for both environmental and economic challenges ahead.
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