Kilroy recently inked a major deal with Dropbox for 100% of a 182k SF building in San Francisco. But we're telling you, LA readers, because the green language it contains is popping up in leases in our backyard as well.

Kilroy VP of sustainability Sara Neff told us green leases align the landlord and tenant's financial and environmental interests. Standard lease language is a major barrier to sustainability in real estate, she says. You can buy a high-performance building, but if your leases prevent you from operating it sustainably, it's not a sustainable building. (Sort of like filling up your Prius with leaded gas.)

Every lease Kilroy has signed since last summer has contained at least some green language, Sara tells us. The ground-up, LEED Platinum office development project for Dropbox is under construction at 333 Brannan St in the city's SoMa District. Above, Kilroy also recently signed a green lease with Riot Games, publisher of the League of Legends online games, for 100% of 12312 W Olympic Blvd in its Westside Media Center HQ campus.

Sara (with some of the firm's awards for sustainability) says the only push-back has been on a clause requiring tenants to disclose their utility use data to the landlord. But, she notes, landlords are required in certain instances to report their buildings' energy usage under AB1103. Plus it starts a conversation on reducing consumption. Kilroy recently was named a Green Lease Leader—a new recognition program launched by the Institute for Market Transformation and the US Energy department’s Better Buildings Alliance. Collectively, the 14 inaugural Green Lease Leaders own or manage 400M SF on four continents.

Green buildings also have the State of California stamp of approval. Sara says the State only takes space in LEED buildings or space that becomes LEED certified prior to move-in; otherwise, it can pay 10% less in rent in perpetuity. At the 2375 Northside Dr building in San Diego, Kilroy achieved certification for the State's space during the tenant fit-out.