Enertiv reposted this
“Sustainability has to be a value multiplier” has been a steady drumbeat for the last year plus. Still, the lens for applying that mantra has been too narrow. In practice, it has applied mostly to capital expenditures - electrification doesn’t get funded, while LED retrofits do. But the same logic applies to benchmarking your portfolio in the first place, particularly where collecting tenant-controlled data is necessary. Today, tenants that provide utility bills see no value whatsoever. Maybe they avoid fines to the property and then a difficult conversation around who’s going to pay. But those bills are a potential treasure trove of data. For example, energy procurement in deregulated markets is fragmented and complex, even for large sophisticated companies. So, do it for them. As an incentive for sharing their bills, you can identify opportunities for them to reduce their rates. Commercial energy rates are up 29% on average in the last two years - this will be welcomed. Another example is demand response. Utilities pay cash to enroll in these programs, but navigating which utilities participate, and the details between various programs, is often too much for tenants. So, do it for them. Make the general manager a hero for sharing data, not just a distraction. Of course it’s easier said than done. I’m going to cover the details in NNN Utility Data Collection That Doesn't Suck: How to Make Tenants Actually Want to Share. Link in the comments.