Green building loses credibility

What can one do if the destiny performs otherwise? This crude reality has been experienced by a number of homebuilders of Phoenix, the largest and most populous city in the state of Arizona. These house-builders were found to slam on or apply carelessly solar panels along with other eco-friendly enhancements in the hope that green homes would attract disinclined buyers to a large extent. It has been learnt that the soaring prices of energy in the early part of this year bolstered their aspirations. But all have failed and they are found to be dejected to the largest extent. The cost of oil has plunged from $147 a barrel to about $36, since July, and this factor has dashed their hopes. Well, this is not the single factor. The home prices, as fallout of the ongoing recession, have also fallen considerably.

The lethal combination of these two factors has halted low-energy housing developments all over the country. The greatest casualties have been the ambitious projects of Meritage Homes and Shea Homes. Speaking on this Scott Kramer, a forward planner for Scottsdale, Ariz.-based Meritage Homes Corp., which builds homes in Texas, Arizona, California, Nevada, Colorado and Florida, said, “The program doesn’t necessarily pencil out at the moment.” “People don’t seem to be willing to pay for it,” Scott added.

Nevertheless the market was quite sound in the year 2007. For that reason the spirit of Meritage was somewhat high and therefore it filled to capacity $20,000 worth of solar panels along with high performance insulation, low-leakage air ducts and other systems in its first green community in Vacaville, Calif. It seems to be unbelievable now but even in the last month of July the Encore development sold 1.55 homes per week. What is the present figure now? According to the estimation of Scott Kramer, it is just 0.88 homes per week and it is certainly ignominious.

Is there any hope of revival? In the words of industry sources, there are speculations only and nothing can be said confidently hence. However the grim situation has made the very companies have second thoughts on the plans to embark on new green communities.