CEO Dennis Quaintance with solar panels at Proximity Hotel, NCThere’s tremendous buzz about green business, even in the somewhat hidebound hospitality industry, where sustainable tourism is now a catchword.

Most every hotel is making at least a token effort to create an appearance of being green. This is, of course, a reaction to the groundswell of concern among consumers about global warming and climate change.

So I thought I’d look into what LEED certification actually means for hotels, from a business point of view. Let’s go through a bit of background before we get to the details. Leadership in Energy and Environmental Design (LEED) certification provides independent, third-party verification from the U.S. Green Building Council (USGBC) that a building project meets the highest green building and performance measures.

According to details provided to me by the USGBC, there are 14 hotels which have earned LEED certification so far. The Kandalama Hotel in Sri Lanka was the first hotel in the world to receive LEED certification, while Len Foote Hike Inn, Dawsonville, GA was the first in the U.S., the Palazzo in Vegas is the biggest green building in the world, the Gaia Napa Valley, CA was the first to get LEED Gold certification, and the Proximity Hotel, Greensboro, NC is the only one so far to get Platinum LEED certification.

The USGBC also says that there are 437 other hotels whose LEED certifications are currently in the pipeline. My point here is to point out the disparity between the small number already certified, and the relatively large number of hotels who are now trying to get certified. Basically, we have a rising trend here, and you’re going to hear a lot more about this in the near future.

usgbc_logo_blk.jpgUSGBC spokesperson Lauren Connelly says that “LEED certification is especially important for hotels because it not only saves energy and reduces operating costs, it says to the customer that this hotel is green and has received third party verification, and we’re finding eco-minded consumers really value that.”

I asked Mr. Yuan-Sing Chang, Vice President of Atman Hospitality Group, Inc., who is in charge of the green development wing for the Gaia Napa Valley and two other Gaia properties in Redding and Merced, about the benefits of LEED certification, and here’s what he had to say.

“We were lucky to be the first and only LEED Gold rated hotel in the world. That alone sparked numerous articles and media for the hotel and our company. Just from the PR standpoint we calculated that we achieved over $2 million dollars worth of advertising for free. We are saving about 25% in our electricity savings and 45% in water savings as well. These types of savings go directly to the bottom line. There are more and more products that are coming out i.e. amenities and design products that help lower the costs. Other advantages include fast track through the city planning department and TOT tax credit from the city.”

The Proximity Hotel in Greensboro, NC, which earned Platinum LEED certification earlier this month, has a 100 solar panels installed on the hotel’s rooftop, and Dennis Quaintance , the CEO of Quaintance-Weaver, which built and operates the hotel, says that “When we started the design process four years ago, I would have never believed that we could use 39% less energy and 33% less water without one iota of compromise in comfort or luxury and with minimal additional construction costs.”

I’d like to add here that some cities are giving extra incentives for green buildings. For example, starting Jan 1 2009, building owners in New York City who install green rooftops on at least 50 percent of available rooftop space can apply for a one-year property tax credit of up to $100,000.

In the second part, we’ll take a look at the negative aspects and problems faced by hotels trying to get LEED certified, and also solutions to ease that pain, plus a look at some new developments in sustainable tourism standards.

Proximity Hotel photo courtesy Quaintance-Weaver Restaurants and Hotels. USGBC logo courtesy USGBC.

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