The Value of Zero
We all know the value of zero right? Nothing? Nada? Zilch?
When it comes to energy, zero is actually really valuable. You may have seen the article we shared in the Saratoga Business Journal a few month ago on Zero Energy Buildings. This concept – buildings that consume no more energy than they produce – isn’t some futuristic or high cost unattainable approach to real estate. It’s actually right within our grasp. When new projects are designed and built, taking just a few deliberate steps can result in an enormous impact. ReWire looks at advanced efficiency technologies and onsite generation systems such as solar power and geothermal energy to help achieve these results.
Barriers to Zero Energy
So, since it’s relatively simple and should save money, Zero Energy (ZE) Buildings should be all over the place, right? Unfortunately, in real estate development, energy usage and efficiency is all too often considered a cost center – and a really big one. Fortunately we’re able to work with developers that take the time to consider how a ZE goal can drive long-term value for their building. Many commercial real estate developers have such significant cost challenges, they don’t look into ZE as a valuable investment.
The Value of ZE Buildings
How valuable? ZE buildings can provide big returns to developers and landlords, including 3 to 7 % higher occupancy rates, 3.5 percent higher rental rates and 13 percent higher sales prices. The value of ZE amounts to a 30-50 percent energy and cost reduction savings over the course of a building’s useful lifetime.
That’s the Value of Zero.