Prepare for “double crunch,” King Sturge expert warns property professionals
02 April 2008
A raft of new “green” regulations mean the property sector should brace itself for a year of “double crunch,” according to a leading expert
Dr Angus McIntosh, head of research at international property consultants King Sturge, warned an audience of office developers and occupiers in Bristol that the effects of the global “credit crunch” would be compounded in April by the introduction of stringent new government environmental standards.
In addition to developers aiming for BREEAM Excellence (Building Research Establishment Environmental Assessment Method), which measures a building’s environmental impact throughout its life, Energy Performance Certificates (EPCs), which give buildings an A-G energy efficiency rating, come into force from April 2008 for larger buildings, and for all buildings by October.
Dr McIntosh was speaking at a “green offices” seminar held at Bristol Zoo lecture theatre, organised by the Bristol office of King Sturge. The other speakers were Jeremy Richards, partner in charge of the firm’s Bristol office, plus partner Steve Puddicombe, and senior associate Tim Harris, from the building consultancy team.
“For the property sector this is the year of the double crunch, with the `credit crunch’ set to be followed by a `green crunch,’” said Dr McIntosh.
“We, in the property industry, need to separate the profit from the hype when it comes to green issues, and plainly we are not thinking about how we marry environmental sustainability with economic sustainability.
“With the EPC issue in particular, it seems to me that we are wandering into a repeat of the HIPs fiasco last summer. But make no mistake, this is just the start of this process.
“In addition to EPCs and BREEAM, all public sector buildings - such as GP surgeries, schools and Government offices - from October, need to provide a Display Energy Certificate - which identifies how much energy is used. All in all, we are entering a whole new era in terms of the way we look at buildings.”
Other topics on the agenda at the King Sturge seminar included practical advice on what to aim for, and what to avoid, in building specifications, a look at where the benefit in costs and value lies when it comes to “greening” buildings, and ”future-proofing” office investment values to cope with changing regulations.
