Beyond Green Certifications: What Really Makes a Building Sustainable

Budapest, March, 2026 A modern office building may boast the highest sustainability certifications upon completion, but its true environmental footprint is determined through day-to-day operations. According to the experts of ICON Real Estate Management, sustainable building performance depends on close cooperation between the owner, property management and facility management teams, as well as the alignment of technical operations and tenant engagement. A sustainable building itself is only an opportunity — sustainable operation is what turns that promise into reality.

As ESG (Environmental, Social and Governance) considerations continue to shape the real estate market, the industry’s focus is increasingly shifting toward the entire lifecycle of buildings. While attention was previously centred on environmentally friendly construction materials and energy-efficient engineering systems, it has now become clear that technology alone cannot guarantee efficiency without a conscious ownership and operational strategy behind it.

According to estimates by the Royal Institution of Chartered Surveyors (RICS), as much as 60–80% of a property’s total lifecycle cost is linked to the operational phase. ICON Real Estate Management is currently involved in the management and operation of more than a dozen internationally certified green buildings, providing the company with direct experience in both the practical implementation and the challenges of sustainable operations.

Certification vs. Reality

The term “sustainable building” is typically associated with a property’s physical characteristics: high-performance insulation, renewable energy solutions and certifications such as LEED or BREEAM. These, however, only represent the foundation — the hardware.

“Even a building with an outstanding energy rating can operate inefficiently if its systems are not aligned with actual usage patterns. At the same time, an older building — even one that is 20 years old — can still operate sustainably and even achieve a strict BREEAM In-Use certification, which evaluates the environmental performance, operation and management of existing buildings.”

–said Zsolt Kákosy.

“Ultimately, everything depends on the owner, the property management and the facility management teams working together toward the same goal, while also involving and educating tenants.”

What Does Sustainable Operation Mean in Practice?

Based on ICON’s experience, sustainable operation is a proactive, data-driven process that goes far beyond simple maintenance.

Key elements of this operational mindset — supported by committed ownership — include:

Continuous Monitoring and Fast Response

What cannot be measured cannot be managed sustainably. Modern building management systems make it possible to continuously monitor energy and water consumption. An unusual spike in water usage, for example, may immediately indicate a hidden pipe leak, allowing for rapid intervention and significant savings in both resources and costs. This requires professional maintenance and a highly skilled on-site technical team.

Building Engineering and Modernisation

Building technologies inevitably become outdated over time, making continuous upgrades and maintenance essential for long-term efficiency.

Water and Energy Management

Even older buildings can achieve significant improvements through targeted renovations. Washroom refurbishments, touchless faucets and efficient flushing systems can drastically reduce unnecessary water consumption. Lighting modernisation and the fine-tuning of motion and presence sensors in parking garages and common areas also contribute substantially to energy savings.

Sustainable Supply Chain

For years, ICON has been committed to ensuring that an increasing number of its contractors and suppliers meet sustainability requirements.

Tenant Education and the “S” Pillar of ESG

Sustainability is impossible without the active involvement of tenants, who are among the largest consumers of a building’s energy and resources. Continuous education is therefore essential: tenants need to understand and support sustainability goals while also learning how to use building systems, equipment and services more efficiently in their daily routines.

In mixed-use properties, ICON’s experience shows that office tenants are typically the first to embrace sustainability initiatives due to their stronger environmental awareness. Once engaged, they can help encourage wider participation across the entire tenant community.

“Within the framework of the social pillar, for example, it is important for a shopping centre to pay attention to local residents and proactively cooperate with local authorities. This helps ensure that the building integrates smoothly and harmoniously into the surrounding community.”

–added Zsolt Kákosy.

The Key to Success: Cooperation Between Owner, PM and FM

Today, sustainable operation is not only a cost-efficiency tool but also a fundamental expectation from tenants. Achieving it, however, requires genuine teamwork.

“Owner support is essential when it comes to major investments and modernisation projects, but that alone is only the starting point. The role of the property and facility management teams is to provide professional recommendations, while the owner creates the conditions necessary for implementation. Truly sustainable operation is the result of this shared way of thinking.”

–concluded Zsolt Kákosy.

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