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Copenhagen Climate Summit – How does it effect my commercial premises?
Ahead of the summit in Copenhagen there have been calls on the government to ensure that lighting and heating controls become standard across all 1.8m UK commercial properties in the UK within the next ten years. In some instances there are calls for greater improved glazing and heating to further reduce carbon emissions.
In many instances these are seen as costs that landlords can ill afford in these less than buoyant times.
What tends to be overlooked though is that improvements to the heating, lighting and energy comsumption of a building can sometimes be achieved at little cost. Simply switching your lighting from standard fluorescent tubes to more energy efficient lighting can be relatively inexpensive and it can make a considerable saving in the amount of energy used which could have a positive impact on the energy rating of the property.
We are not suggesting for a minute that by effecting such a change will suddenly find you a tenant or achieve a sale of the property ; but it may just make a prospective tenant / purchaser think twice about your property and the fact that the running costs are less than other properties under consideration, which in turn will provide the new tenant / owner with greater profits and may achieve an earlier deal for you.
Every commercial energy performance certificate completed on commercial properties will have a supplemental recommendations report (if it does not - then question whether you have a valid report). This recommendations report provides a range of suggestions as to how the energy efficiency of a building can be improved. It will encompass all aspects of the buildings use of energy and whilst some of the recommendations may take some considerable time to be cost effective there are, as mentioned, other more cost effective recommendations that can be implemented almost immediately.
Some landlords / property owners perceive this as a problem. What is the point of paying for an epc that identifies where savings can be made but then requires another epc that will rate the property with the improved energy efficiency actions taken. Here at CEAUK we are able to produce an epc for a commercial property with suggested recommendations and once some or all of the recommendations have been implemented produce the epc showing the improved rating.
To ensure that you are best placed to find a tenant or sell your commercial property then contact us today on 0870 770 8747 to see how we can help you.
Labels: commercial energy performance certificate, commercial property, energy assessment costs, energy efficiency
How do I benefit from an EPC?
Did you know that commercial property accounts for almost 20% of the carbon emissions and energy consumption in the UK and it was for that reason that the government decided to act and introduce non domestic energy performance certificates as part of an EU Directive.
Here at CEAUK we are continually asked by landlords and agents if they need energy performance certificates and what is their benefit.
The simple answer to the first part of this question is – Yes, if you have a commercial property for sale or lease then you will need an energy performance certificate, there are exceptions, for example a stand alone building of less than 50m2 will not require an epc and there are others, telephone and ask CEAUK which buildings are exempt is the best solution if you are unsure.
The second part of the question relating to the benefit of an epc is relatively easy to answer but in these difficult times is one that landlords and property owners find hard to come to terms with as it just seems as though it is adding to their costs. The energy performance certificate once produced will provide the owner and potential purchaser with a simple colour bar chart indicating how energy efficient the property is. More importantly each energy performance certificate comes with a Recommendations Report and this is the bit that can help landlords and property owners. In fact if you are presented with an energy performance certificate without a Recommendations Report then you should ask to see the Recommendations Report.
To ascertain why the Recommendations Report is valuable you have to consider the effort that the assessor has to undertake to assess the building. It is not merely looking at the heating and lighting of the building to establish a value but the experienced assessor also has to research the building fabric itself and what improvements have been made, the assessor will need to know what happens in every part of the building as the activity has an impact on the energy consumption. It is a combination of all these factors that determine how energy efficient a building is. The danger is that by using an inexperienced, unqualified or under qualified assessor then the assessment is simply a waste of money.
The Recommendations Report will list ways that the energy performance of a building can be enhanced thus reducing on-going energy costs, making the building more attractive to potential investors, tenants and purchasers. It is truly amazing how little sometimes needs to be spent to improve the energy efficiency of a building and something as cost effective as replacing standard fluorescent tubes with more energy efficient lighting can result in some considerable savings on the running costs of a building. In certain instances we have discussed improvements with property owners prior to completing the survey to advise how they could improve the rating on the property and we find that as the Commercial EPC is valid for ten years (there are, as usual, exceptions) then this aspect is greatly appreciated by our clients.
You can contact CEAUK on 0870 770 8747 to discuss your requirements.
Labels: commercial energy performance certificates, commercial epc, commercial property energy assesment, energy efficiency, energy performance certificate, energy savings, less than 50m2
To EPC or Not?
It would seem that the legal requirement for energy performance certificates for commercial properties is not, at present, seen by all as a requirement. Over the last few months we have been actively looking at commercial properties for sale or for lease throughout the country, asking commercial agents not just for sales or rental details but also for copies of the energy performance certificates that should accompany the marketing details. Surprisingly few of the agents we have approached have the information available, many agents preferring to wait for a purchaser or tenant for the commercial property before instructing an epc to be undertaken. The logic seems to be that this is saving their landlord clients costs when in fact what they are actually doing is exposing their landlord clients to the possibility of fines. Since January of this year legislation has meant that any commercial property for sale or lease has to have a commercial energy performance certificate. It seems that this legislation is being overlooked by commercial agents and commercial property owners who only take action once there is a potential end user for the property. This is going to create a problem, Trading Standards Officers are responsible for ensuring that the legislation is enforced and if it is noted that a commercial property is for sale or lease without the appropriate certificate then Trading Standards have the power to levy fines. This is a situation that no-one wants to see arising, it is in landlords best interests to ensure that they have an epc in place, after all it is valid for upto ten years and having an epc on a property will ensure that the landlord does not incur additional punitive fines and costs. In fact both the landlord and agent may find it useful to have on file so that when the potential tenant or buyer's solicitor requets a copy it is already to hand rather than having to wait for one to be completed, no-one wants to lose a sale in the present market because some paperwork isn't in place. For further information please contact our offices. Labels: commercial energy performance certificate, commercial epc, energy efficiency, Grade II listed commercial property energy assessors
How it is possible to save money with an epc
Commercial Energy Performance Certificates still seem to be wildly mis-understood, many people see these as an unnecessary expense when it comes to selling or leasing a commercial property and we would be the first to admit that there is an expense involved – but that expense is one that can lead to considerable savings. The Energy Performance Certificate provides a rating for the property as it currently stands, it is an assessment of the heating and ventilation systems, the building fabric, glazing, lighting and source of energy. The building is then zoned as each room will have a different function and as a result of this the heating and lighting it uses will be different for each room / area. For example a warehouse will have a markedly different construction from an office block, the warehouse will have large vehicle doors compared to the personnel doors found in most offices. The heating for each in these areas will be different, you don’t normally find huge space heaters hanging from the ceilings of offices as you would in a warehouse. So you might expect that the warehouse was less energy efficient and that the heating bills were going to be substantially more however this is not necessarily so. How many times have you visited offices only to find that the heating is on and the windows wide open, not only is this adding to greenhouse gases by needlessly wasting fuel but the tenant/ landlords heating costs will be spiralling upwards, especially with the cost of fuel today. In this example it might be that the installation of thermostatic radiator valves would keep the room temperature at a comfortable level – and these can be bought and fitted relatively cheaply making long term savings that far outweigh the cost of a commercial property energy certificate. The energy assessment of a building identifies these obvious and less obvious potential savings and this is where landlords and tenants can save money and if it saves money then that surely has to be a good thing. Telephone our offices today on 0870 770 8747 to see how an energy performance certificate from CEAUK may be able to help save you costs and probably not cost as much as you think. Labels: commercial energy performance certificate, commercial epc, energy efficiency, energy performance certificate
Confused? You must want a Commercial EPC then!
The legislation surrounding the introduction of commercial energy performance certificates still seems to be causing some confusion for the less experienced commercial property energy assessor and in turn this mis-information is being passed around creating more problems so lets look at some "urban myths" surrounding commercial epc's.
My property is less than 50m2 so I don’t need a commercial epc do I?
Wrong – You will need a commercial epc if the property is attached to another property, for example if it is a semi detached or terraced property.
However if your property is detached and less than 50m2 then it will not require a commercial epc – the best example of this would be one of the older petrol stations, therefore a stand alone unit less than 50m2 would not require an epc.
I have a commercial property but there is no heating in it so I don’t need a commercial epc do I?
Sorry wrong again! If there is the expectation that the unit will have conditioned space, then an EPC is required. The EPC for the shell and core work is based on the maximum design fit out spec that is used for compliance under Part L of the Building Regulations. Part L ensures building work conforms to energy performance standards and the default maximum design spec will apply the 'worst' energy rating for the building under the energy performance targets in Part L. This will ensure the recipient of an EPC is aware of the energy performance implications of installing the full suite of services. Any subsequent fit out work, including installed services, will need to comply with Part L (as in or equal to ADL2B) and the associated energy performance targets.
OK so I need a commercial epc but my tenant will fit their own heating once they move in and as I have a commercial epc then they won’t need one will they?
Any services installed will still need to comply with Building Regulations. To comply with Building Regulations any services installed must meet energy efficiency requirements. Therefore the original EPC is still valid (subject to the EPC being less than 10 years old).
Here at CEAUK we are in regular contact with the relevant government bodies and advisory services relating to commercial property energy performance certificates or non domestic energy performance certificates as they are sometimes known. In this way we are certain that the information we pass on is relevant and upto date. All of our assessors are advised on any changes, they are all qualified - we do not use data gatherers, and we all undergo regular training and update sessions.
The fact that this is a relatively new industry does mean that as it evolves there will be individual interpretations on the legislation where it is vague. The problem for you is deciding which is fact and which is fiction and if you take the wrong advice it could cost you more
You could save yourself a lot of time, trouble and money by contacting CEAUK for advice and a quote either using the links here on this web site or by telephoning 0870 770 8747.
Labels: commercial epc, commercial property energy assesment, energy efficiency, less than 50m2, non domestic epc, offices, Part L Building Regs
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