Are green leases or green lease provisions mandatory or optional? If mandatory, to whom do they apply? If optional, is there significant take up?
In Australia, green lease provisions are not mandatory. The public sector is taking the lead by changing government behavior as owners and occupiers of commercial buildings, and the private sector complements this approach in accordance with its own ESG targets and aims.
Notwithstanding that there are no mandatory requirements to include green lease provisions, a substantial number of leases in the "A grade" market have green lease arrangements.