Certifications can be useful to both commercial unit landlords and tenants. They are a useful way for landlords to show off their green and occupier well-being credentials, as well as for tenants to obtain more information about a commercial unit that they are considering renting.
With more and more employees, consumers – and, therefore businesses, concerned with the environmental and social impact of the business, as well as the wellbeing of people whilst at work, the impact of the commercial unit on the environment is increasingly important. And these sustainability and well-being certifications are seemingly an excellent way to learn about the building’s credentials.
What is Green Building Certification?
Here at Boxpod, we understand how important it is for businesses – when they are looking for a new commercial unit, to understand how the building itself performs with regard to its green credentials. And it’s not just us.
This is why there is now a plethora of green certificates that can be awarded to a commercial property, giving that all-important information to tenants and future tenants – as well as helping commercial unit landlords to evaluate the best rental (or sale) price.
During the certificate assessment process, a range of different factors are considered, to enable the assessor to make a final report and often a rating. This can then be used by commercial unit landlords and tenants to make important decisions.
The Benefits of Green Certifications
Having information is always a huge benefit, but there are also other benefits to having green certification for a commercial unit, including:
Focus on Environmental Impact
It can be difficult to improve something if you do not have an overview of it and how it works. With a green certificate, a landlord can get a breakdown of the property’s environmental impact and (hopefully!) inspire them to improve and work on it, meaning not only a greener building over time but also a lower impact on the environment.
Higher Property Value
According to research, commercial units with certification from assessor and provider, BREEAM (Building Research Establishment Environmental Assessment Method), have an average capital value 20.6% higher than those that do not.
Conformity to Future Regulations and Law Changes
As the country (and world) continues on its path to net zero and trying to reduce climate change, more and more laws and regulations are being created. This applies to everyone across society, from individual people to communities, and of course businesses.
Regulations such as the need for EPCs (Energy Performance Certificates) – and their continually updated requirements for domestic and commercial units, mean that the more that can be done now in terms of the building’s energy-saving and sustainability credentials, the less work there will be to do in the future.
Brand Reputation
Businesses today are keen to be able to demonstrate ESG commitments for a number of different reasons. Brand reputation is important, and showing customers that you are conscious, as a business of the environment and your impact on the world can be very valuable. It can also be useful to be able to demonstrate to current and potential future employees where your priorities lie.
Cost Saving
Having a greener building, complete with excellent energy-saving measures can turn into significant cost savings. Saving energy and water, for example, can result in much lower bills, and often lower maintenance costs – as well as reducing the need for updates and refurbishments in the future.
Governments can often provide tax incentives for greener buildings – as well as offer funding or part-funding to help carry out these measures.
The Complications of Getting Green and Wellbeing Certification
For tenants and potential tenants, there is no doubt that having a commercial unit with a green and well-being certificate is an entirely positive thing. However, for landlords, there are a few complications to it. These include:
- The cost of applying for and getting the certification
- The additional costs of ensuring that the commercial unit passes the certification
- Challenges in choosing which certification you are going to apply for
What Green and Wellbeing Certification Certificates Are There?
There are several different organisations that provide different kinds of environmental and well-being certifications. The country that you are in will often have its own organisations, but a couple work internationally. Some of your options include:
LEED
LEED – Leadership in Energy and Environmental Design, is the most-used of the green certification providers across the world. New and retrofitted buildings are assessed through a range of different categories, including water and energy efficiency, as well as the reduction of emissions.
BREEAM
The Building Research Establishment Environmental Assessment Method (BREEAM) is another one of the most well-known of the green certificate providers, known around the world, and is open to both newly built or developed units, as well as existing properties. It provides a star rating and has ten different areas that are examined, including energy, human health and well-being, innovation, and pollution.
WELL
WELL is in place to look at the well-being of the occupants in a unit. They work closely with LEED to provide a well-rounded overview of the working environment within and outside, for employees, employers, and the outside world. They look at seven different areas in the building, including air, nourishment, fitness, light, and comfort.
Final Thoughts
It is always useful for businesses looking for a new commercial unit to rent or buy, to have building certifications available as it gives them additional information that might not be so obvious through a regular survey or EPC.
Although for landlords, it might seem costly, the general consensus is that it is a positive thing for them to do (it can help you to find new tenants, as well as ensure that you are earning a good income from your unit). If you are looking to list or find a commercial unit, you have come to the right place! Why not take a look at our website to see how we can help you?