15 November 2016
From 1 April 2018 the Minimum Energy Efficiency Standards (MEES) will come into force, making it illegal to agree a new lease on a commercial property with an F or a G Energy Performance Certificate (EPC) rating, unless the property is registered as an exemption. From April 2023 this will be the case for all existing leases, not just new ones. To help you understand what exactly is required and what exemptions are in place, follow the link to view a copy of the 'Energy Efficiency Regulations 2015'.
Ian Shipley, Director within our Asset Management team who leads our energy services to the existing built environment provides some insight on preparing for the new regulations outlining how WYG experts will be assisting clients.
“Careful planning and preparation will be required to mitigate the potential impact, and we stress the importance to landlords and investors to take action now if they wish to avoid legal headaches in the near future.”
The potential benefits of early engagement in this process are wide-ranging and could have a long term effect on the way you manage and maximise value from your property investments. For example, this may mean the early disposal of properties at a premium market rate before they become a liability under the MEES legislations.
Alternatively upgrading an existing property’s look and feel can command higher rents or increase tenancy periods whilst also providing long term revenue savings from lower utility costs.
To help you prepare, it is important to establish how best to manage your MEES risk in order to effectively mitigate it, whilst making best use of any OPEX or CAPEX expenditure. We will audit your portfolio to confirm the buildings and tenancies to which the regulations apply and note exemptions based on building type/lease. For the remaining non-exempt buildings further analysis will be carried out to determine options, based around a whole life assessment of your properties. These options may include:
Our experts provide specialist energy and asset management solutions to customers across the globe including building owners and occupiers. We are well positioned to advise clients who have concerns about the impact of the regulations on their properties and have the skills and expertise to complement in-house teams or provide a complete outsourced solution.
Our in-house services include:
If you would like to talk to us to discuss the regulations, their impact on your properties and how you may qualify for a free portfolio risk assessment, contact us on T: 0113 219 2543 or E: firstname.lastname@example.org.