Green building (GB) has been actively promoted in many countries, but it has not become the mainstream in Chinese construction industry due to various reasons. This paper aims to investigate the major driving factors for the development of GB with reference of the Chinese construction market. Twenty-one factors influencing the development of GB were identified through a literature review, questionnaire survey, and face-to-face interview with professionals in the construction industry. Structural equation model was established to identify the critical driving path and three critical factors hierarchies. The result of model analysis also verifies the theoretical hypotheses that government body is the biggest motivation for the development of GB, and the path coefficient is high. The results demonstrate the necessity for the formulation of incentive policies and power of GB propaganda. We identify distinct government and market effects and then induce a government-led GB development path. These findings provide a valuable reference for government body aiming at promoting GB in the construction industry to put forward relevant policies and incentives and for the market body to understand the major driving factors and path when making decisions.