Level 1 Flashcards
What is the definition of sustainability?
Meeting the needs of the present without compromising future generations needs
What are your clients sustainability objectives/ strategy?
What are the latest updates to sustainability
Air conditioning- R22 refrigerant now banned in U.K. of ozone depletion
BREEAM- Building Research Establishment Envrironmenal Assessment Method - rating based on nine weighted criteria from outstanding to unclassified
What is a DEC?
Display Energy Certificate- required in buildings of more than 250sq.m, energy efficiency rating from A to G. Valid for 1 year if building over 1,000sq m or 10 years if building 250 to 1,000 sq.m
Penalty-£500 if not displayed
Difference between DEC and EPC?
DEC measures energy usage whereas EPC measures energy efficiency of building
When would an EPC rating be required?
When property leased or sold, on expiry, or if major renovations
What is the penalty for not providing a prospective buyer or lessee an EPC?
£5,000
What is a green loan?
It is a loan used to finance project which are subject to compliance with sustainability e.g EPC ratings, solar power
What is a heat pump?
Device which takes heat from the air to heat buildings using small amount of electricity. No fuel or greenhouse gases
Two types:
Air source
Ground source
Kyoto Protocol
Adopted 192 countries in 1997. Ban installation of Gas boilers
Part L of Building Regulations
Conversation of energy and power
Changed come into force June 2024 to aim to reduce CO2 emission by 27% for non reduction buildings
What are MEES?
Minimum Energy Efficiency Stranards
Introduced to set minimum EPC rating of E to rented resi and commercial buildings
April 2023- threshold also applied to existing leases of commercial buildings
Exemptions include-
VPGA 8 in RBG
RICS guidance note on sustainability and valuation
Commercial property Valuation and strategic advice
Streamlined energy and carbon reporting framework
Introduced in 2019- requires companies of 250 employees and turnover of £36mill to report energy consumption CO2 emissions to Companies House
Carbon zero
Carbon emissions are balanced by removal from the atmosphere
Government plan target to reach carbon zero by 2050 by ten point plan - advance of offshore wind and carbon capture and storage
What do the Building Regulations include?
Regulations and standards that all new buildings must adhere to.
Structure
Fire safety
Site Prep
Toxic substances
Ventilation
Hot water
Drainage and water
Conservation of fuel and power
Double glazing
Materials
MEES 2015
Unlawful from April 2018 to let new leases of resi or commercial building with EPC of F or below
All existing leases unlawful from 1st April 2023
Landlords and tenants difficulties in subletting, assigning and lease renewals
What information is listed on EPC
Address property
Date of EPC issues
Who inspected and administered certificate
Floor area
EPC rating (current and potential) with recommendations
How would you improve an EPC rating?
More efficient lighting
Replacing windows
Improving insulation
When are EPC’s exempt?
Lettings less than 6 months
Listed buildings
Lettings of 99 years and more
When are EPC required?
All commercial lettings over 50sqm and for term of more than 6 months and less than 99 years
Newly refurb, heating, A/C or subject to Building Regs
Also applicable to sub lettings and assignments
MEES exemptions reasons by landlord
Demonstrate:
All cost effective energy efficiency approvments under green deals undertaken
Consent to undertake improvements have been refused by third party e.g council
Improvements would damage property, character or reduce value by 5%
Doesn’t require EPC- religious building
Tenancy less 6 months and no more 99 yrs
Exemptions last for 5 years and need to be logged on Local Authority PRS exemptions register
Penalties of non complying to Regluations
Trading standards officer
Penalty based on rateable value of property up to maximum of £150k per occasion
Penalties of not complying to MEES
Breach of less than three months - £5-£50k or 10% rateable value
Breach of more than three months- £10-£150k or equivalent to 20% rateable value
Impact of poor MEES rating
20% of non domestic properties within F&G category of MEES- affecting valuation, rent reviews and marketability
Dilapidations assessments
October 2023- government response to Committee on Climate Change 2023 Progress Report
Changes to MEES standards - all properties to have EPC Rating of C and above by 2025
In recent budget - extended to 2028 starting with new prop
Penalty for not having EPC from £5k to £30k
BREEAM
Came into effect 1990
550,000 BREAAM certified properties
Assessment undertaken by independent assessors using scientifically based sustainability metrics
Energy
Water use
Health and well-being
Transport
Materials
Ecology
Management processes
Pass, good, very good, excellent and outstanding
BREAAM rating threshold
0-30% - fail
30-44% - pass
45-54% - good
55-68% - very good
70-84% - excellent
85+ - outstanding
EPC for marketing
- must be commissioned within 7 days of commencement of marketing
- agents responsibility procuring
- only EPC rating required on display
- all online marketing material must have link to EPC
Penalties not complying to EPC
Local authorities Trading Standards enforcing regs
Commercial - max. 12.5% of RV of building (min £500 and max £5k)
Important legislation
Rules of conduct 2021 (3.10)
RBG 2021 (VPGA8)
PS Sustainability and ESG in Commercial Property Valuation and Strategic Advice 2021
RICS SKA rating system for commercial property
5 key provisions of EPCs
1) Higher standards of energy conservation for new and refurbished buildings
2) Establish calculation method for energy performance of all buildings
3) Minimum req. for energy performance of all buildings
4) Energy certification for all buildings when built, modified, leased or sold
5) Mandatory inspection of new boilers, A/C
Key Regulations
Energy Saving Opportunity Scheme
Heat Network Regulations 2014
Climate Change Levy (CLC) - tax on comm prop, energy providers £1.9bill to UK treasury, renewable sources exempt
Biodiversity Net Gain (BNG) - Feb 2023 compulsory new developments at least 10% for 30yrs
What does BREEAM stand for?
Building Research Establishment Environmental Assessment Method
What is LEED?
Leadership in Energy and Design
Worlds most widely used green building rating system
7 criteria for LEED
Sustainable sites
Water efficiency
Energy and Atmosphere
Materials and resources
Indoor environmental quality
Innovation in design process
LEED Ratings
40-49 points - Certified
50-59 points- Silver
60-79 points- Gold
80+ points - Platinum
