Wednesday, July 14, 2010, 4:44pm PDT | Modified: August 12, 2010, 10:00 PM

A sustainable 'bang for the buck'

by Jane Turville
Filmmaker

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This is the third and final column in a series by Jane Turville who is thinking about these issues for a documentary film she’s making about historic preservation and sustainable economies. Her first installment was, "New jobs, old bricks and the triple bottom line." The second was, "A foundation for sustainable local economies."

Investors. They are the silent partners, the hidden backbone of any business. Sometimes it is just one or two people, sometimes it’s another business, and in a publicly owned company, it’s a huge combination of both. Over the past year or two, global economic news has made it seem that, for the most part, investors don’t have much power. Everything’s too big, too complicated, too involved. While it’s true that businesses, regardless of size, are usually complex, investors do have power. They have the power to decide where to place their investment. As the saying goes, where they will get more "bang for the buck."

When it comes to sustainability, bang for the buck takes on a less traditional twist. There have been many articles posted here at Sustainable Business Oregon on sustainable investments. Portland is home to a plethora of nonprofit and for-profit businesses dedicated to helping individuals and businesses understand the principles of sustainable investing and set up portfolios that reflect triple-bottom-line values. Yet, when it comes to the built environment, even those with a strong understanding of sustainability fail to perceive the importance of keeping and maintaining buildings.

This may be in part because, as a society, we don’t see buildings as consumer products. We have a tendency to focus on the things we can hold in our hands — the paper cup, where the coffee bean comes from, plastic bottles and bags, or where our food is grown. But for some reason, buildings are different. The fact is, they aren’t. They are gigantic manufactured products made up of millions of components that are created all around the world and assembled locally. Their “factories” and “assembly lines” are global. Maybe that is why it is so hard to perceive buildings in the same light as we see the plastic bag or coffee bean. So, if we begin to understand buildings as consumer products, what does this mean for investors? It actually has two impacts.

First, the values that create triple-bottom-line sustainability start showing up in a significant way in new developments. To mainstream Americans, developments and new buildings are created and funded by developers. The reality is, over 70 percent of all new developments nationwide are owned by pension plans. That new office park or sub-division that took out acres of farmland. You know, the one you’ve been complaining about. Look closely at your mutual funds or retirement plan. You may just own a piece of that development. If construction or development businesses are part of your portfolio, check them out. See what their practices are to make sure that their products (buildings) reflect your values.

Second, because buildings are expensive economically and ecologically, informed investment focuses on longevity. This not only includes investment in new projects made of durable materials and constructed to last, but also investment that enhances the products of previous generations. Investment in existing structures, neighborhoods and communities builds on investment that has already been made. Relatively speaking, our forefathers had just as much, or as little, financial security as we have. Yet they were willing to invest in schools, solidly built commercial and residential structures and public buildings. Why? They created these places for their grandchildren. Many were built before automobiles became the force behind urban planning making these communities, by design, sustainable. Yet we continue to throw away the buildings that make up these communities mainly because, in our eyes, it’s cheaper. And cheaper makes it a better investment?

Thinking multi-generational is key to sustainability. Our investments should reflect a recognition of the built environment for what it is — a multi-generational collection of consumer products. Investors should choose these investments as judiciously as they choose other "green" or "sustainable" investments. And, if we value triple-bottom-line sustainability, then like our grandparents and great-grandparents, we need to look at our financial investments as gifts to future generations. Then, and only then, will we as investors truly get a sustainable bang for the buck.

Filmmaker Jane Turville is currently producing “Conserving Our Future: The Role of Historic Preservation in Building a Sustainable Society” in partnership with The Natural Step Network. To learn more, please visit