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Critical Next Stage of Green Building Industry Will Focus on Water Efficiency, According to Report from McGraw-Hill Construction

— Over the next five years, water efficiency and conservation will become critical factors in green design, construction and product selection, according to McGraw-Hill Construction's latest SmartMarket Report, Water Use in Buildings, released today with support from The Chicago Faucet Company and Sloan Valve Company. Architecture and engineering (A/E) firms, contractors and owners report that water efficiency is rapidly becoming a higher priority than other aspects of green building, such as energy efficiency and waste reduction.

According to the United Nations Environmental Program, buildings consume 20% of the world's available water, a resource that becomes scarcer each year. Efficient practices and products, such as grey water treatment and low-flow plumbing fixtures, provide significant opportunities for the A/E industry to respond to this trend and build high-tech, low-water-demand projects that will turn the tide on the water crisis and create the conscientious buildings of tomorrow.

"This study sheds light on the shift in what will define a green building," said Harvey Bernstein, vice president of Industry Analytics, Alliances & Strategic Initiatives, McGraw-Hill Construction. "The results are especially telling--the increasing importance of water issues, the business benefits from water-efficient products and processes, and building owner buy-in all point to how critical it will be for the industry to address responsible water practices in the future."

"We regard sustainability as an opportunity to travel down new roads with our customers," said John Fitzgerald, Director of Marketing, The Chicago Faucet Company. "Sustainability and social responsibility are closely interrelated and are important subjects for Chicago Faucets in thinking and acting in research and development and in production. Sustainability is the foundation of why, ultimately, we sponsored this research."

"With water being a precious resource, Sloan understands the importance of sustainability by offering water efficient products that serve the industry," said Tim Schiffbauer, Market Research Manager, Sloan Valve Company.

The report covers involvement levels and growth opportunities over the next five years, as well business benefits, motives and obstacles encountered in this advancing market. Highlights include:

  --  Industry involvement and the perceived importance of water efficiency
      are growing dramatically. By 2013, 85% of industry reports that water
      efficiency will be an extremely important aspect of a green building,
      up from 69% this year.
  --  Owners are especially committed to water-efficient practices, with 42%
      reporting that more than three-quarters of current projects
      incorporate water-efficient designs; 50% expect to incorporate
      water-efficient practices in at least half of their building
      portfolios by 2013.
  --  Business benefits are the key growth drivers as companies focus on the
      bottom-line. Primary motivators include reducing energy use (87%) and
      reducing operating costs (84%). Respondents report that on average,
      applying water-efficient designs and products lead to 15% less water
      use, 10-11% less energy use, and an 11-12% reduction in operating
      costs.
  --  Increased government regulation and the desire to lower energy costs
      are also expected to trigger faster adoption of water-efficient
      products and methods. 73% of respondents are motivated by energy cost
      increases, while more than two-thirds expect to respond to regulations
      on wastewater runoff (69%) and water efficiency (68%).
  --  A/E firms, contractors, owners, and product manufacturers can take
      advantage of this market opportunity by quantifying and explaining to
      customers how water-efficient practices and products can contribute to
      improved building performance. Current brand awareness is strongest
      for high-efficiency toilets (identified by 48% of respondents),
      water-saving sinks (30%), and waterless urinals (23%).

Water Use in Buildings is the latest green building SmartMarket Report from McGraw-Hill Construction Research & Analytics. More information can be found at http://construction.ecnext.com/coms2/summary_0249-307522_ITM_analytics, and sponsor information is available at http://www.chicagofaucets.com/ and http://www.sloanvalve.com/.

About McGraw-Hill Construction

McGraw-Hill Construction connects people, projects and products across the design and construction industry. For more than a century, the Company has remained North America's leading provider of construction project information, plans and specifications, product information, industry news, and industry trends and forecasts. In print and online, the Company offers a variety of tools, applications, and resources that easily integrate with its customers' workflows. Backed by the power of Dodge, Sweets, Architectural Record, Engineering News-Record (ENR), GreenSource, HQ, SNAP and 11 regional publications, McGraw-Hill Construction serves more than one million customers within the $5.6 trillion global construction community. To learn more, visit http://www.construction.com/.

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or Kathy Malangone, Senior Director, Marketing Communications, McGraw-Hill
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