The Business of Sustainability & Sustainable Architecture

Why do something different? 

As business men and women, we are pretty good at what we do. In most cases we have also learned that in business, change involves risk.  In some businesses more than other but in the world of building design and architecture there are real risks of doing "business as usual" as well. Some of the current threats and opportunities associated with architectural designs are:

• Cost of energy
• Cost/scarcity of water
• Climate Change: The Planet is stressed
• Population Increase - 7 billion people and counting
• Architectural design & Environmental Footprint - the world averages 4.5 acres per person to sustain that person, but the USA needs 20 acres per person. This is not productively utilizing sustainable designs, especially if everyone want to be like us.
• Eco Systems provide basic services that we cannot afford to provide on our own.
• Rising Insurance Risks
• Geo-political risks
• Scarcity of resources
• Governments are taking action- Government is creating more regulation, not less
• Carbon
• Everything happening at once

One suggestion is to speak with a sustainable design expert. What can other decisions we make when we consider the design our facilities have on our businesses bottom line? What can better facilities do for your business?  Sustainable design buildings that:

• use less energy
• save water
• save money
• reduce operational costs
• reduce the use of natural resources
• reduce pollution.  

Well-designed green buildings (green design & green construction) can reduce water use by 30-70% and reduce electrical use by 25-50% without a lot of fancy, expensive technology.  Thoughtful green building design and improve the bottom line in other ways as well. Studies have shown ROI (return on investment) for incorporating a well-rounded sustainable design approach to building design.  Proven results include shorter hospital stays in green hospitals, better test results in green schools, increased sales per square foot in green retail stores, increased productivity in office environments and increased production in factory settings.  Even simple things like natural day light make a huge difference.

Doesn’t this all cost more?  Especially in the area of sustainable design & green construction, we need to talk about First Cost versus Life Cycle Cost.  It is about return on investment.

A Davis Langdon study shows projects of similar nature often cost at different rates due to many drivers; but Green is not one of them.  (Cost and Benefit of Achieving Green Buildings, 2007,  Davis Langdon)  Many decisions effect the cost of construction.  

Four key conclusions can be drawn from this study of construction costs for LEED-seeking versus non-LEED seeking projects:


1. There is a very large variation in costs of buildings, even within the same building program category.

2. Cost differences between buildings are due primarily to program type.

3. There are low cost and high cost green buildings.
4. 
There are low cost and high cost non-green buildings.

Sustainable design must include the Triple Bottom Line. People, Planet and Profit. All three must succeed for sustainable design to succeed.

Quality sustainable design and green construction will prove many of the follow benefits to the people in your business:

• Increased employee or tenant satisfaction
• Improved productivity
• Reduced absenteeism

For the Planet:

• Reduced environmental impact
• Optimal performance
• Peak efficiency- don’t waste

For Profit:

• Increased occupancy rates
• Lower operational costs
• Decreased churn costs

Increase Net Operating Income (NOI), A company's operating income after operating expenses are deducted, but before income taxes and interest are deducted. If this is a positive value, it is referred to as net operating income, while a negative value is called a net operating loss (NOL).

So does sustainable design and doing a green building cost more?  

The cost of the operations and employee salaries throughout the life of a typical building accounts for over 95% of the total cost of the building, while the initial construction is less than 5%.  So even if doing a LEED certified green building did cost a bit more in construction than barely code compliant construction that cost effects a small % of the overall cost of building and operating a facility.  But, when one makes good decisions up front in the design of the building, the facility can have a huge positive impact on the remaining 95% of the related costs of operating the building for decades to come.

We understand that these are complex and far reaching concerns and decisions. We encourage you to take the time and simply speak with a LEED certified, sustainable design architect in Florida. Just use the button below for a few different options you have that will help you continue your research and make the best decisions possible.