How Green is my Commercial Property?

For several years Energy Performance Certificates (EPCs) have been required for commercial property transactions but their significance is about to bite.  Shops, offices, and industrial units are assessed from Band A for the most energy efficient down to Band G for the least efficient.  From April 2018 under the Minimum Energy Efficiency Standards (MEES) regulations, it will be unlawful to let those properties in Bands F and G.  These regulations will be enforced by Trading Standards Officers with penalties linked to the rateable value of the offending property.  There are certain exemptions for example: lettings shorter than 6 months or more than 99 years; where alteration works would devalue or damage the property; temporary buildings to be used for fewer than two years; a detached building with a floor area of less than 50 sq m; buildings that are due for demolition; and certain industrial or warehouse buildings which use very little energy for example where such buildings are not intended to be heated.

Building owners will need to act now to ensure there is a strategy in place for complying with MEES regulations.  Often there are simple steps to improve a building’s EPC asset rating to nudge its banding into E.  For example; upgrading lighting; improving insulation; installation of secondary glazing; draft proofing doors etc.  Many of these steps will apply to buildings already in Band E and above and no doubt will help marketing prospects as occupiers become more conscious of their energy consumption.

If you would like to discuss any commercial property lettings or sales, please contact Richard Grassly at or on 01483300233.

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