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Large numbers of commercial buildings have sought to improve their energy and environmental performance, with half of all leasable U.S. offices now designated at some level of "green". All proper/es fall somewhere on the green/high--performance spectrum (above and below average) whether or not they bear a formal label or ra/ng. Varia/ons in the level of 1 performance can either posi/vely or nega/vely influence value. This component of value can be shaped by many factors, from u/lity costs to tenant/owner preferences that translate into income (rent levels, vacancy rates, lease--up /mes, etc.). Occupant percep/ons of indoor environmental quality are another poten/al influence on value.While there has been liYle uptake of this thinking by prac/cing appraisers, the increased prevalence of green/HP prac/ces combined with concerns about appraiser competency are compelling the industry to adapt their tradi/onal techniques to this new driver of value. However, the overly narrow focus of policymakers on appraisal of labeled or rated exemplary buildings (e.g., LEED or ENERGY STAR Cer/fied) represents a significant missed opportunity. Any level of green or energy performance can in fact influence value, including below--average performance (a.k.a. "brown discount"), irrespec/ve of whether or not the building has been formally rated. Another surmountable challenge is the limita/ons to non--appraisers' understanding of the appraisal process (and constraints therein). A crucial byproduct of this is unrealis/c expecta/ons of what appraisers can and will do in the marketplace.This report iden/fies opportuni/es for catalyzing improvement of the green/HP appraisal process, which apply to all involved actors-from owner, report--ordering client, the appraiser, and the appraisal reviewer-and fostering more demand for appraisals that recognize green/HP property aYributes. The intended audience is primarily the public policy community and other stakeholders outside the formal appraisal community who can contribute to the broader effort to advance professional prac/ces. The discussion begins with a descrip/on of the appraisal process and the points at which green/HP considera/ons can enter the analysis. A series of major barriers to beYer prac/ces are iden/fied along with approaches to reducing them. Barriers• Although industry standards of prac/ce cau/on against bias of any sort, a skep/cal predisposi/on towards "green" is reinforced by informa/on deficiencies.• Informa/on deficiencies result from the lack or difficulty of obtaining usable data on green/ HP features in subject proper/es as well as valid sales comparisons or cashflow analyses.• Competency deficiencies, such as lack of conversancy in relevant technical topics, leads to oversights, and disjointed treatment of relevant informa/on. This report adopts the terminology used by The Appraisal Founda/on and others. "Green" refers to the en/re 1 panoply of green building strategies, including sustainable materials, improved indoor environmental quality, site--sensi/ve ci/ng, wat...

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