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Building performance has always focused on reducing energy use, lowering costs and improving comfort. Although these objectives remain just as important today, it is also becoming an important driver of long-term asset value.
Future-ready buildings are increasingly outperforming less adaptable assets. Recent research shows that this shift has been taking shape for several years.
The market is rewarding better-performing buildings
The Dutch Label C obligation, introduced for office buildings in 2023, provides an early example of how regulation can influence investment decisions.
A study published in March 2026 by Nature Communications, analysing the Dutch office market between 2010 and 2023, found that office buildings meeting the required energy standard experienced an average 21.8% increase in sales prices compared to non-compliant buildings - representing an average value increase of ~€260 per m². Remarkably, this financial premium far outweighed the cost of compliance, which averaged between €9 and €61 per m² to reach Label C.
Despite this clear financial signal, many office buildings are still falling behind. As of 1 July 2026, 24% of Dutch office buildings still had no energy label at all, while another 4% had label D or worse. This suggests that the economic potential of better building performance is still being overlooked. One reason might be that optimisation is often associated with major renovations and high upfront investments, while substantial improvements can also be achieved by using existing systems more effectively.
The research reinforces a wider market trend
The latest PwC Dutch Real Estate Market Half Year Update supports the same conclusion. Demand is increasingly concentrated around high-quality, sustainable and future-proof offices, while secondary buildings are struggling to keep pace.
According to PwC, rents for high-quality, sustainable offices remain under upward pressure, while the rest of the market has stabilised. PwC also stresses that existing office buildings need to improve their quality and ESG performance to remain attractive to tenants and reduce the risk of future vacancy.
The result is a widening gap between buildings that meet changing market expectations and those that do not. Building performance is no longer purely an operational concern. It is increasingly shaping tenant demand and investment decisions.
Regulation is raising the bar. Will value follow?
The Label C obligation was only the beginning. With EPBD IV, the focus is shifting from one-time certification towards continuously improving buildings. Stricter Building Automation and Control System (BACS) requirements place increasing emphasis on how buildings perform continuously, rather than how they perform at a single point in time.
Compliance is often seen as an obligation, but research clearly shows that investing in better performance can also deliver a financial return and strengthen a building’s market position.
The full impact of stricter BACS requirements on asset value remains to be seen. But with regulation tightening and the market increasingly rewarding better-performing buildings, standing still may become the greatest risk. Regulation sets the direction, and the decisions made today will help determine how buildings are valued tomorrow.
To help building owners navigate this changing landscape, we will soon introduce the Compliance Compass. Want early access to the beta? Contact jonatanvanderhorst@healthyworkers.com.
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