Real Estate Market Players May Fall Behind: A New Financial Risk Management Tool Has Arrived

Those registered under the previous BREEAM V7 version have only a few years left.

Based on domestic and international market data, buildings with green certification achieve higher rental income, better liquidity, and lower financing costs, while outdated, uncertified properties may lose as much as 15–30 percent of their value. Sustainability is therefore no longer a marketing tool but a key factor in asset value and returns.

From February 2026, a new era begins in the commercial real estate market: version 7 of the BREEAM certification system has come into force, under which newly built commercial properties in Hungary are now evaluated. Zsombor Barta, founding partner of Greenbors Consulting, a firm specializing in sustainable real estate advisory, draws the sector’s attention to the fact that without BREEAM V7 certification, owners and developers may miss out on several important financial advantages in the future.

“For certified buildings, a ‘green premium’ has already been demonstrable in rental fees for some time, and tenant demand is increasingly shifting toward ESG-compliant properties. This change also brings financing advantages, as banks provide cheaper financing—or financing at all—to investors and owners of properties that offer more favorable collateral.”

The BREEAM V7 standard has updated the previous V6 version—now discontinued—in line with the requirements of the EU Taxonomy. In practice, obtaining certification facilitates access to green financing and increases projects’ bankability. Barta also highlighted another advantage of the new standard: properties that meet the stricter energy efficiency requirements can achieve cost savings of 30–50 percent.

A fundamental difference between V6 and the new V7 is that while the earlier version primarily focused on buildings’ operational energy consumption, V7 examines the full lifecycle carbon footprint. The certification now evaluates not only energy use but also the carbon impact of embedded materials and end-of-life building management. According to the Greenbors expert, this approach better reflects the real risk models of investors and financiers. In addition, it aligns with the requirements of the new EU Energy Performance of Buildings Directive, thereby preparing new buildings to meet these standards.

At the same time, companies that initiated the certification process before February do not need to interrupt their ongoing procedures, as projects registered under V6 have five years to complete certification.

With the introduction of the new standard, the real estate market is splitting in two: sustainable, future-proof assets on one side, and rapidly depreciating “brown” properties on the other. “For developers and owners, the question is no longer whether certification is necessary, but whether they can afford to fall behind,” Barta emphasized regarding the significance of the change.