Retrofitting Assets in Nashville
Nashville’s city government has set some ambitious goals for reducing the city’s carbon emissions to 40 percent by 2030 and 80 percent by 2050. Achieving these reductions will require extensive updates to Nashville’s buildings, including those owned by real estate and investment firms.
To stay ahead of the curve, property investors should consider retrofitting their buildings now to make them more energy-efficient. Energy efficiency improvements are an easy way to protect Nashville real estate assets, save money, and give properties a competitive edge.
Prevent Assets from Becoming Obsolete
Facing the repercussions from climate change, cities all over the world are changing their building codes and demanding better energy efficiency. By making old buildings more energy-efficient now, real estate investors are future-proofing their assets.
To reach its climate goals, Nashville’s codes will eventually have to change, and inefficient buildings will become obsolete. Rather than losing assets as they become unusable due to inefficiency, real estate investors can invest now to retrofit their buildings with future regulations in mind.
Keep Properties Relevant and Competitive
Even without the push from the city government, Nashville residents are signaling that they value sustainability. In 2019, Nashville saw the highest growth in green commuting of any city in the country. The city is also considered one of the fastest-growing sustainable markets in the U.S.
Studies conducted over the last decade show that green buildings generally have higher asset values and are easier to lease. Energy efficiency improvements don’t just protect a building investment, they also make a building more appealing.
This is especially true in Nashville, with its growing number of green-minded residents. Energy efficiency is now a sought-after feature in both commercial and residential real estate. In the Nashville market, retrofitting old buildings with energy improvements can give properties a competitive edge.
Immediately Lower Operating Costs
For building owners and real estate firms, electricity is often one of the biggest operating costs. Good energy retrofits will save companies more in electricity expenses than they cost to install. For companies that pass electricity costs onto their clients, energy efficiency can be a big selling point.
Unfortunately, not every retrofit is going to provide the same return on investment. Large efficiency overhauls can put real estate firms in debt or lock them into long-term contracts.
For companies to see an immediate reduction in costs, it’s best to choose a program like D.I. Pathways’ monthly utilization model. With D.I. Pathways, real estate companies pay a low monthly fee to have cutting-edge energy efficiency technology maintained in their buildings. The program comes with insurance, so the fee is guaranteed to be lower than the energy savings from the project.
To learn more about how to reduce your electricity costs, contact D.I. Pathways today.