Navin’s MD Navin Kumar Highlights Cost Benefits and Challenges of Scaling Green Buildings

Chennai, September 26, 2026: Sustainable buildings are increasingly being evaluated not only for their environmental benefits but also for their long-term financial returns, according to Navin Kumar, Managing Director of Navin’s.

Speaking at the CII IGBC Green Tamil Nadu Summit 2026, Kumar discussed the business case for green buildings, including additional upfront investment, long-term operational savings, financing benefits and the challenges developers face as projects move towards higher sustainability standards.

Green Buildings May Require Higher Initial Investment

Kumar said estimates of the additional capital expenditure required for green buildings vary.

While some estimates put the additional cost at approximately 0.5%, he said his assessment is closer to 3–4%.

For developments targeting higher sustainability ratings, including Platinum certification, the additional cost could reach up to 10%, he noted.

However, Kumar emphasised that upfront expenditure needs to be considered alongside the financial benefits generated during a building's operational life.

Energy and Water Savings Can Offset Costs

According to Kumar, green buildings can generate a net surplus over time compared with conventional buildings, primarily through reductions in energy and water consumption.

These operational savings can help offset the additional capital expenditure associated with sustainable design, construction technologies and building systems.

The financial case for sustainable buildings therefore extends beyond construction costs and includes the building's longer-term operating performance.

Green Buildings Can Access Preferential Financing

Kumar also highlighted financing as another potential advantage for green developments.

He said financial institutions are offering slightly discounted borrowing rates for green buildings compared with conventional developments.

According to him, preferential rates can be around 0.1% to 0.4% below standard borrowing costs, with some financing programmes potentially offering greater benefits.

Such incentives can further strengthen the financial case for developers investing in environmentally responsible buildings.

Scaling Sustainability Creates New Challenges

While higher sustainability standards can provide long-term benefits, Kumar highlighted the practical challenges that emerge as projects increase in scale and density.

Developments targeting Platinum certification, Net Zero Water and other high-performance standards need sufficient space and infrastructure for sustainability measures.

As development density increases, the available space for systems such as rainwater harvesting and solar installations can become more limited.

Developers therefore need to integrate sustainability requirements into the planning and design process at an early stage rather than treating them as additions later in development.

From Green Certification to Net Zero

Looking beyond conventional green building certification, Kumar emphasised the importance of moving towards more advanced environmental performance standards.

“Moving from basic green certification to Net Zero Water and Zero Waste is where true sustainability begins.”

The transition towards Net Zero Water and Zero Waste would require developers to address resource consumption, waste management and building performance throughout the project's lifecycle.

Business Case for Green Buildings

The discussion at the CII IGBC Green Tamil Nadu Summit highlighted several factors shaping the economics of sustainable real estate.

While green buildings can involve higher initial capital expenditure, potential energy and water savings, preferential financing and lower long-term operating costs can contribute to their financial viability.

At the same time, increasing project density and pursuing advanced certifications create design and implementation challenges that developers need to address during project planning.

About Navin’s

Founded under the leadership of Dr. R. Kumar, Founder and Chairman, Navin’s has operated in Chennai's real estate market for more than 37 years.

The developer has completed 130+ projects and says its quality-control process includes more than 1,575 checks.

Navin’s was among the early Chennai developers to receive ISO 9001:2008 certification, subsequently upgrading to ISO 9001:2015.

The company reports serving more than 4,000 families and receiving over 60 awards across real estate, construction, affordable housing and sustainability categories.

Its recognitions include awards from the Construction Industry Development Council (CIDC), Builders Association of India, PMAY awards for affordable housing in 2019 and 2022, the IGBC National Green Champion recognition and ET Now's Most Reputed Developer of the Year 2019.

The company’s Starwood Towers project has also received multiple recognitions, including PMAY, CIDC and ET Real Estate awards.

Key Highlights

• Speaker: Navin Kumar, Managing Director, Navin’s
• Event: CII IGBC Green Tamil Nadu Summit 2026
• Location: Chennai
• Green Building Additional Cost Estimate: Around 3–4%, according to Kumar
• Higher Certification Cost: Up to 10% for some Platinum-rated projects
• Green Financing Benefit: Around 0.1%–0.4% lower borrowing rates cited
• Long-Term Savings: Energy and water consumption
• Key Scaling Challenges: Space for rainwater harvesting, solar installations and other sustainability systems
• Future Sustainability Focus: Net Zero Water and Zero Waste
• Navin’s Experience: 37+ years
• Projects: 130+
• Families Served: 4,000+
• Quality Checks: 1,575+
• Awards: 60+
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