“Green” or “Smart” building is becoming all the rage as developers, owners, building managers, and tenants all see the short- and long-term financial benefits of buildings with greater efficiencies, reduced environmental impacts, and improved quality of life. However, the means to achieve these goals often include purchasing, installing, training in, and operating new or different technologies. This involves complications and risks, particularly in the implementation of smart technologies.

Whether it is getting more points in LEED or wanting to maximize benefits, implementing high-tech equipment or performing more comprehensive commissioning means all of those responsible need to work a little harder to ensure that the strategies work and are implemented properly. Few people really want to work harder than they have to and it is a part of many business cultures to build, “flip” the property, and maximize short-term profit. Therefore, while intentions are good, many factors work against the true implementation of green upgrades in a building in the real world. This can be overcome and risk minimized with good preparation and a little education.

One issue with a “green” upgrade is cost overruns and delays in completing the upgrade. Added costs take away from the long-term savings. Having to delay the scheduled occupancy by tenants makes for unhappy customers, something no business wants to endure. Therefore, there is a temptation to “cut corners” and change away from some “green” upgrades designed into the project. Contractors (who also want to complete a project quickly to get paid quicker) have been known to approach building owners to lobby to squelch some “green” upgrades, such as by substituting less “green” material that the contractor can install quicker, luring the owner by saying it will save upfront cost and allow quicker occupancy. Therefore, it is important that the “green” consultant not just design a “green” building, but be involved in the construction management to ensure all of the upgrades are properly implemented and to provide professional advice countering arguments against “green” upgrades by a contractor. Also, some want to save a little upfront by reducing or eliminating training and proper O&M, which are necessary to operate the high-tech equipment properly. The owner should understand that these efforts will save money and avoid lots of headaches later.

In fact, owners should be made to understand the benefits of these approaches. A BMS (building management system) and BIM (building information modeling) can provide a deep understanding of the functional characteristics of building systems (and their cost savings) and provide a maintenance plan to manage buildings more effectively.

Another issue is that by implementing new “smart” technologies the owner is introducing new risks of performance failure and difficulty to fix functionality issues. The reality is that newer technologies tend to be built to last longer and need fewer future upgrades, reducing delays and O&M in the long-term. If there is a concern that a critical functional failure may result in loss of rental revenue, then insurance specific for “green” technology can be obtained.

CCES can help you develop approaches, design and implement a “green” upgrade of your building in order to modernize, reduce costs, and attract more tenants in a professional, non-intrusive way. We can help you implement new technologies to minimize future risk. Contact us today at 914-584-6720 or at karell@CCESworld.com.