The Basics of ENERGY STAR Building Certifications

Jan 21, 2023

How ENERGY STAR works in the commercial real estate market

Commercial property owners want to do everything they can to reduce operating costs and maximize ROI. One of the best ways to do that is by focusing on energy efficiency. ENERGY STAR can help you achieve desired outcomes, stay in compliance and reduce operational costs.

What is ENERGY STAR?

ENERGY STAR is a voluntary Environmental Protection Agency (EPA) program that determines how efficient your building is compared to other similar property types and similar property sizes in your geographic area. The program helps commercial property owners reduce their environmental impact by generating fewer greenhouse gas emissions.

Achieving certification

To be eligible for ENERGY STAR certification, a building must earn an ENERGY STAR score of 75 or higher on EPA’s 1–100 scale, indicating that it performs better than at least 75 percent of similar buildings nationwide. This 1–100 ENERGY STAR score is based on the actual, measured energy use of a building. The score accounts for differences in operating conditions, regional weather data, and other important considerations.

Path to energy efficiency

Benchmarking: The starting point for saving energy. Measure and compare a building’s energy consumption to similar property types in that geographic area. For example, a multifamily property is compared to only other multifamily properties of similar size in the area.

Saving energy: Benchmarking identifies buildings that are underperforming and areas where energy-saving measures can be implemented.

Earning recognition: Recognized by more than 90 percent of American households, the ENERGY STAR label demonstrates that building owners are committed to saving energy, reducing operating costs and protecting the environment. Certification is done annually, so buildings must maintain energy efficient performance to maintain their ENERGY STAR status each year.

ENERGY STAR-certified buildings deliver environmental benefits and financial value through superior energy efficiency. Simply put, if your building is ENERGY STAR certified, your facility is among the most energy efficient buildings in the nation.

Learn more about how ENERGY STAR can benefit your commercial real estate investment.

Interested in certifying your building? Reach out to our experts to get started today!

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