Green Premium, Lower Risk: Financing Low-Carbon Building Systems

Europe’s newly recast Energy Performance of Buildings Directive (EPBD 2024/1275) mandates zero-emission standards for all new buildings by 2030, while in the U.S., the updated §45L tax credit offers up to $5,000 per certified energy-efficient home—turning regulatory pressure into opportunity.

Innovative construction systems such as modular manufacturing and mass timber are already delivering substantial carbon reductions while enhancing energy performance and resident comfort.

These methods are also proving attractive to investors: sustainable buildings command rental premiums and show significantly lower default risks.

This session explores how new capital structures—combining green bonds, venture debt, and public incentives—can finance the shift toward industrialized, low-carbon development at scale.

Key takeaways:

• Capital stacks to finance sustainable construction systems

• Performance metrics that unlock better lending terms

• Strategies to reduce adoption risk and accelerate market penetration