Commercial / Non-domestic Energy Performance Certificates (EPCs)
What is an EPC?
Energy Performance Certificates (EPCs) offer a clear and straightforward illustration of a building's energy efficiency. They play a crucial role within the Government's Minimum Energy Efficiency Standards (MEES) regulations and are mandatory for both domestic and non-domestic buildings. We specialise in the non-domestic (Commercial) variety, specifically in and around London.
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Following an EPC survey, buildings are rated in the form of a colour-coded bar chart with a corresponding letter, ranging from 'A' the most efficient to 'G' the least efficient. The building owner receives a copy of the certificate and it is lodged on the publicly viewable government register. The landlord also receives a recommendation report based on the findings of the survey giving them further steps to improve the energy efficiency of their building.
When do you need a commercial EPC?
They are a legal requirement for all non-domestic buildings and a valid EPC must be produced upon construction, sale, or lease of the premises. In a few very specific circumstances it is possible to gain an exemption from EPC. Whilst EPCs are enforced by local authorities in practice it is often the solicitors acting in a property transaction that raise the requirement for a valid EPC as part of their due dilligence.
What happens if you dont have a valid EPC?
In April 2023 the regulatory baseline moved to make it unlawful for landlords to lease or sell buildings with an EPC rating 'F' or 'G,' this also pertains to existing leaseholds and tenancies. Violations of MEES regulations can result in financial penalties of between £5,000 - £150,000. Anticipated future regulatory updates include a minimum 'C' rating in 2027 and a 'B' rating by 2030.
How will EPC regulations change in the future?
How long does an EPC last?
EPCs remain valid for a period of 10 years from the date of lodgment, unless they are voluntarily updated with a new EPC often in the event of significant building refurbishment taking place. There are calls for the lifespan of EPCs to be reduced to 5 years to reflect the gathering pace of building improvements across the UK.
How we can help with your commercial EPC
Haptic EPC & Advisory specialises in rapid on-site surveys in and around London, we aim to inspect your building as soon as is convenient with reports completed within a few working days. We offer a premium same day EPC service for landlords in urgent need. We also provide practical advice to enhance energy efficiency of buildings.
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In a few cases involving the most complex buildings a Level 5 EPC may be required, this is a proportionally larger undertaking requiring specialist software and assessment in which we are also fully qualified. We can also help you to obtain EPC exemptions as well as BREEAM certification for your building.
The Commercial EPC Four-Step Process
Commercial EPC ratings explained from A+ to G
FAQs
Q: Where can I find my building's current EPC status?
Q: Why specifically should we choose Haptic to conduct our EPC?
Q: Can improving my EPC rating really save my business money?
Q: What are some common recommendations for improving EPC ratings?
Q: How does an EPC impact leasing or selling my commercial property?
Q: OK - we're sold, when can you survey our space?
Commercial EPCs in London - deep dive
Introduction to Commercial EPCs in London
London leads the way for the property market nationwide and Energy Performance Certificates (EPCs) have become a cornerstone in London's commercial property sector, a legally mandated commitment to sustainability and efficiency. We argue that by the end of the decade they will be one of the most important metrics a building is judged on, as important as location and design have been in the past. As the city continues to grow, these certificates play a pivotal role in shaping a greener built environment. It is vital that building owners seek the best insights and guidance as they look to navigate this crucial aspect of property asset management.
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Now available: Domestic EPCs
Spring 2024: In addition to our market-leading energy assessments for commercial property we are now delighted to offer domestic EPCs in central London particularly for mixed use buildings (where we can perform both domestic and commercial assessments) as well as on-construction EPCs and assessments for prime and super-prime residences.
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The Clear financial benefits of a good EPC
The 'green pound' is a very real phenomenon with an increasingly large number of businesses seeking to actively minimise their environmental impact, buildings with the highest EPC ratings attract up to a 15% rent uplift as firms are willing to pay a premium for them -a 15% rental premium translates directly into increased capital value of the asset itself. Undertaking a full granular EPC survey with advice remains pound-for-pound the cheapest way to improve the value of your asset.
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Legal Implications and Compliance
As of April 2023, regulatory changes have elevated the standards further, making it illegal to have buildings rated 'F' or 'G,' regardless of their leasehold or tenancy status. Violations of this regulation can result in financial penalties of between £5,000 - £150,000. Anticipated future regulatory updates include a minimum 'C' rating in 2027 and a 'B' rating by 2030. It is also widely anticipated that financial penalties will increase to match the increasing urgency with which this matter is being taken. It falls to local authorities to enforce compliance and fines.
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Energy Efficiency Measures and the Recommendations Report
The recommendations report which accompanies all EPCs should be carefully examined, it will highlight some key areas for improvement, one of the things we specialise in at Haptic is taking the broad brush strokes of the report and expanding on it in a meaningful way with clients (should they wish) we can explore in-depth solutions and even model what those changes might mean for the buildings EPC rating, appropriate works can then be contracted and if required a re-certification of the space.
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Case Studies: EPC Success Stories in London
We are immensely proud of our unblemished record with hundreds of happy customers and over a million square feet of certified space - take a look at our portfolio of commercial EPCs to see the wide range of buildings we've surveyed in every corner of the Capital.
