The document provides an agenda and status report for a presentation on LEED-Existing Buildings and Benchmark Built's marketing strategy. The presentation covers LEED-EB certification, marketing strategies and opportunities for Benchmark Built's green building and inspection businesses. It also discusses positioning Benchmark Built in the residential and commercial markets with taglines. The document reviews the LEED-EB certification process and challenges, and compares LEED-EB to LEED for New Construction.
Innovation for Real Estate: Building Information Modeling (Erin Rae Hoffer) -...
LEED Existing Buildings Process And Issues Burnet D Brown 1 31 2009
1. LEED-Existing Buildings Presentation
…and Benchmark Built Marketing Strategy Status Report
Burnet D. Brown
RNV Ventures
Prepared for Benchmark Built
Thursday, January 29, 2009
2. Agenda and Recap
LEED-EB O&M Presentation
Process, Case studies
Deliverables: Marketing strategies
Green Building business
Inspection business
Marketing opportunity calendar
LEED certification preparation
LEED-NC
LEED-EB O&M
LEED AP exam preparation presentations
Sales
GB residential direct mail piece
GB commercial direct mail piece
Follow-up pieces
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3. Recap
Branding
YHC Q&A interview and ad
Taglines
Communicating with target prospects
Why build green?
Why Benchmark Built?
Bi-monthly mailings
“Why Build Green? Reason #27”
Purpose: Educate, Excite, Engage
Constant Contact newsletter
Summary and Next Steps
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4. Positioning BenchMark Built, Inc.
Positioning for…
Residential market
Commercial market
All markets
Residential…
Building healthy homes and custom green
buildings for the tri-county area.
Commercial…
Building high performance commercial green
buildings for the tri-county area.
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5. Positioning BenchMark Built for “All Markets”
Benchmark Built. For green building.
Benchmark. For green building.
Benchmark, for green building.
Benchmark for green building.
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6. The Urgency of Greening Existing Buildings
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7. “We’re not going to change much very swiftly if
we don’t pay some attention to the legacy stock
we’ve all inherited.”
— Steve Kieran, Architect
Greenbuild 2008 Conference
Boston, MA, Nov 2008
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8. Why existing buildings are a national priority…
Buildings are the biggest producers of greenhouse gases
48 percent of the U.S. greenhouse gases are generated from the
commercial-built environment
Transportation produces only 27 percent.
Buildings contribute 50% to 70% of GHG in urban areas.
4.9 million existing buildings in the U.S.
New building projects total just 57,000 (DOE latest data)
New construction adds only 1% to building stock annually.
Existing buildings use 25% more energy than new ones.
20% to 50% energy savings potential in existing buildings.
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9. What is LEED-EB and where does it fit in?
EXISTING BUILDINGS (EB O&M)
NEW CONSTRUCTION (NC)
Commercial Buildings
COMMERCIAL INTERIORS (CI)
CORE AND SHELL (CS)
SCHOOLS, RETAIL, HEALTHCARE
HOMES Residential Buildings
NEIGHBORHOOD DEVELOPMENT (ND) Mixed-Use Developments
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10. Building Lifecycle - Where LEED-EB Fits in…
NEW CONSTRUCTION (NC)
EXISTING BUILDINGS (LEED-EB)
CORE AND SHELL (CS)
OPERATIONS & MAINTENANCE
SCHOOLS, RETAIL, HEALTHCARE
HOMES
NEIGHBORHOOD DEVELOPMENT (ND)
COMMERCIAL INTERIORS (CI)
BUILDING LIFECYCLE
DESIGN CONSTRUCTION OPERATIONS
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11. What is LEED-EB? Key points…
LEED-EB applies to 1) whole buildings and to 2) facility management
polices and measured performance procedures. It addresses:
Cleaning and maintenance issues (chemicals used in cleaning and O&M),
Recycling programs,
Exterior maintenance programs,
System retrofits and upgrades.
Building Operators and Maintenance team can implement LEED® EB.
It does not require a design team.
Certification is based upon actual operating performance…
…Not just design expectations.
USP to prospect.
“Here’s a way to drive down your costs and increase your net income while
increasing occupant productivity.”
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12. LEED Rating Category Descriptions
For existing buildings seeking LEED certification for the first time.
Or for projects previously LEED certified under LEED-NC or LEED-CS.
EXISTING BUILDINGS (EB O&M) Focuses on a) cleaning and maintenance (chemicals used), b) recycling programs,
c) exterior maintenance programs and d) systems upgrades.
New construction and major renovation projects. Commercial and institutional.
NEW CONSTRUCTION (NC) For office buildings, high-rise residential buildings, government buildings,
recreational facilities, manufacturing plants, and laboratories.
HOMES Eight (8) categories instead of six (6). High-performance green homes.
COMMERCIAL INTERIORS (CI) Tenant improvement market for commercial properties.
CORE AND SHELL (CS) Building structure, building envelope and the HVAC system.
SCHOOLS, RETAIL, HEALTHCARE
Design and build neighborhoods to reduce urban sprawl, protect threatened species,
NEIGHBORHOOD DEVELOPMENT (ND) encourage healthy living and promote smart growth.
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13. What is the goal of LEED-EB?
“To maximize operational efficiency while
minimizing environmental impacts.”
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14. What does that mean for your customer?
Greater energy efficiency and water efficiency
Lower monthly utility bills
Lower landscaping costs, less upkeep and maintenance required
Lower operating costs
Lower tenant costs (selling point to attract tenants)
Superior indoor air quality (another selling point)
Lower employee absenteeism in green buildings
Superior lighting
Higher employee productivity in green buildings
Higher rents (or greater price point flexibility)
Faster lease-up rates
Higher occupancy rates and higher retention rates
Security hedge against volatile energy price spikes
Higher net income (Higher rents plus lower operating costs!)
Better loan terms. Easier to finance.
Higher resale value
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15. LEED-EB and LEED-NC Point Comparison
Category Sustainable Water Energy and Materials and Indoor Innovation
Sites Efficiency Atmosphere Resources Environmental in Design Total
Quality (Optional)
LEED-NC 14 5 17 13 15 5 69
LEED-EB 14 5 16 23 22 5 85
LEED-EB O&M 12 10 30 14 19 7 92
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16. What does LEED-EB mean for your customer?
Competitive advantage
Enables builders of existing properties to gain competitive
positioning in markets…
Where there are new LEED-NC buildings being introduced or
Where they are competing against non-green properties.
Good press.
One almost sure way to get your name in the news…
Disproportionate media attention is now seen being given to
green stories and achievements
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17. History of LEED-EB
January 2002. The pilot version of LEED-EB launched in January 2002.
October 2004. LEED-EB Version 2.0, which made mostly minor changes
to clarify the requirements, is launched.
2006. USGBC begins a major overhaul of the LEED-EB rating system.
January 2008. LEED-EB Operations & Maintenance (LEED-EB O&M)
launched.
September 1, 2008. Beginning September 1, 2008, all projects
registering for LEED for Existing Buildings were required do so under the
new LEED for Existing Buildings: Operations & Maintenance version.
October 2008. Milestone of 2,000 projects registered for LEED-EB,
including more than 700 just since the launch of LEED-EB O&M.
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18. January 2008 LEED-EB Changes
Commissioning. Dropped the prerequisite requiring commissioning.
Added six optional points for commissioning instead.
Energy. Requires an energy audit and building systems management plan.
Water and Energy. Increased the value of strategies related to water and energy.
Boosted points for water efficiency from 5 out of 85 points to 10 out of 92 points.
Increased energy points from 23 to 30.
Energy Star. Strengthened the energy-performance prerequisite so that all
certified buildings must achieve an Energy Star score of 69 or higher.
Building Performance. LEED-EB O&M requires that project teams extrapolate a
building’s annual performance based on a full year of data.
…as opposed to only 3 months of energy data under the old LEED-EB
Prerequisites. Reduced the number of prerequisites
Removed a prerequisite related to erosion on construction sites.
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20. Challenges of LEED-EB
No dedicated funding mechanism.
Unlike new buildings which have dedicated funding.
No single individual like the architect in LEED-
NC to make the case and drive the process.
Many individuals are involved (Cleaning
companies, property managers, people who
maintain the mechanical system, people who
replace the light bulbs, etc.)
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21. Comparison of LEED-NC and EB O&M
LEED-NC (New Construction) LEED-EB (Existing Buildings)
Construction of buildings Operation of buildings.
A one shot deal. Ongoing
One time certification. Recertification every 5 years
Or every year (as a best practice).
Certification awarded only Certification awarded only
after construction is after 12 months of data post-
completed. occupancy.
Same six (6) categories. Same six (6) categories.
Focus on new construction. Focus on increasing the
efficiency and sustainability of
a building’s O&M.
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23. A close-up of (Sustainable Sites) the previous page…
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24. Example of a “live” SS checklist
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25. LEED-EB Process
Assemble team
Building or facilities manager
Purchasing manager
Waste hauler
Green cleaning manager
Facilities wrench-turners
… and others as appropriate (next slide)
Perform gap analysis.
Assess the building’s current practices relative to the
LEED-EB requirements.
Start early and focus on the prerequisites.
Says those who have already gone through the process.
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26. Building Owner(s)
Architect Project Manager
Landscape Architect & Facilities Manager
Site Planner
Interior Designer Building Users
Electrical Engineer Energy Consultant
Commissioning Agent Purchasing Manager
Construction Contractor Waste hauler
& Inspector
Mechanical Engineer Green Cleaning Manager
Facilities
Wrench-Turners
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27. Conventional Process Green Building Process
Designed to meet minimum Designed to meet optimized
code standards environmental and efficiency
performance standards.
Specifications established to
meet performance and Specifications established to
quality standards. meet expanded quality and
performance standards.
Construction is administered
to verify and document Documentation and 3rd
compliance. party verification for
construction and operational
compliance.
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28. Steps to LEED-EB Certification
1 Establish baseline. Establish a benchmark of
the existing site.
2 Identify proposed changes and the benefits
expected by implementing the changes.
Evaluate ROI.
3 Implement the changes.
4 Measure, validate and submit
building performance data
resulting from the changes. Recertification
every 5 years
5 Certify building
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29. LEED-EB Process - Time Investment Required to Certify
Full year of building performance Best practice is to
15 to 21 months… data required for LEED-EB O&M recertify annually
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30. On the other hand…
Staff size. It depends on the size of your dedicated staff.
…and how much that staff can focus on LEED
Previous page’s chart. 15 to 21 months.
Getty Art Center. 5 months (before EB O&M in play).
Staff put a lot of other responsibilities on hold to focus on the
Getty Center’s first certification.
Went for LEED-EB Basic certification followed by LEED Silver
Chose to minimize capital improvements.
Armstrong World Industries. 1 year (also before EB O&M)
Went for Platinum LEED-EB.
Elected to minimize capital improvements.
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31. On the other hand (continued)…
…Some projects will take even longer
18 to 30 months (1.5 to 2.5 years) or longer.
Required for projects that need more significant work like greater capital
improvements.
Key areas requiring significant chunks of time include:
Thoroughly identifying the problems
Implementing solutions to problems
Tracking the performance of those solutions
The future.
Time investment required will increase.
LEED-EB O&M requires that project teams extrapolate a building’s annual
performance based on a full year of data…
…rather than on only three months of energy data under the old version.
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32. LEED-EB Strategies
Go for the easiest credits first
Recycling waste
Green cleaning
Purchasing (EPP) environmentally preferable products
Different strategies for different organizations
Getty Art Center. Go for “Basic” LEED certification first
Evaluate, then move up the certification ladder progressively.
Getty later received Silver Certification
First project to earn LEED-EB rating
Adobe Towers (Adobe Systems). Go for a high level of certification
from the get-go.
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33. LEED-EB Cost Reduction Strategies
Cookie cutter strategy
Apply the same approved LEED procedures and policies to
multiple-buildings.
Campus-wide. Buildings under the same management.
USGBC Portfolio Program
Allows building owners to submit documentation just once
for requirements, such as:
Purchasing policies that are consistent among all of their
buildings.
CB Ellis is currently using this approach for 100 buildings
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34. Lessons Learned for LEED-EB
Involve key people.
Refer to Slides 25 and 26.
Involve several people, including, at a minimum, the purchasing manager, the
waste hauler, the green cleaning manager, and the facilities wrench-turners, as
well as the facilities manager.
Be prepared with information.
Start the process with a lot of information already assembled.
Stay on top of tracking.
Even after the first LEED-EB certification is completed, facilities teams should
continue the tracking they implemented during the first performance period.
Continuous improvement. Continuously look for ways to improve.
Incorporate a continuous improvement component into the planning and
management process.
Use tracking systems to providing ongoing monitoring, evaluation, feedback
and improvement.
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35. Lessons Learned for LEED-EB (Continued)
Tracking. Monitoring. Measuring. Monitor
performance.
Assign goals to specific individuals.
Goal setting.
Set goals and get collective buy-in to those goals.
Present first cut goals, distribute them for comment, make
revisions then publish and distribute.
Accountability.
Assign goals to specific individuals.
Tie the pay of facilities’ team members to LEED-EB
performance.” This creates incentives to compile data and
track it so that it’s easier to pull all the data together when
the time comes.
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