Episode 10: Sustainable Building Design with Divya Natarajan (Paladino & Co)

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From the layout of your office to the materials used to make your favorite bench, sustainable building design covers just about everything. Divya Natarajan, Senior Project Manager at Paladino and Company, joins us to discuss why sustainable building design and green infrastructure are so important for our built environment. We're still hoping she'll offer to design our studio too.

Learn more about sustainable cities here! 

Episode Intro Notes

What We’ll Cover

●       Why are physical buildings a problem?

●       The real estate sustainability market

●       How does a building become sustainable?

●       Segway into interview with Divya

Why is this important?

In 2015, about 40% of total U.S. energy consumption was consumed in residential and commercial buildings (1). Buildings also account for 88% of potable water consumption and 40% of CO2 emissions in the US (3).

I mean, think about it. You’re in buildings ALL the time. I bet you’re even in one now!

Buildings’ environmental impacts translate into significant environmental costs, like greenhouse gases, water abstraction, and air pollutants, among others. In fact, in 2012, together these accounted for nearly 90 percent of the total environmental impact costs of commercial real estate (CRE) companies. In the same year, environmental impact costs grew at a faster pace than revenues, at 13 percent versus 8.6 percent, respectively (3), which, as they tell you in business school, is no bueno.

(Trucost calculates environmental impact costs by multiplying the quantities of natural resources used or pollutants emitted by their environmental damage costs to society. Trucost prices the damage that is done to society and human capital by pollutants and natural resource use, including quantifying associated human health costs.)

Because utility costs (as they relate to energy, water, and waste) impact company profits, it makes business sense to adopt green buildings[1] [2] [3] , which are estimated to consume 29 to 50 percent less energy than “non-green”; use 40 percent less water; emit 33 to 39 percent less CO2; and produce about 70 percent less solid waste.

When we say “green buildings,” we mean buildings that are certified with programs like LEED, EnergyStar, and others. Not like actual green buildings.

From the perspective of real estate owners, energy use is the single largest operating expense in commercial office buildings, representing approximately one-third of typical operating budgets                       

The real estate sustainability market (3)

The growth in green building certifications indicates that the industry has made progress in increasing energy, water, and waste efficiency. CRE players have begun to implement and report sustainability, with some also collaborating with stakeholders such as tenants, investors, and the government. As they say, you can’t manage what you don’t measure!

Sustainability in real estate still has a long way to go, but we’re moving in the right direction. Sustainability measures need to be spread across entire portfolios of real estate assets (not just a few flagship buildings), and their ongoing performance needs to be closely monitored to make sure they live up to the expectations designers had from the beginning.

There is increasingly clear evidence that buildings (re)designed with green features will retain their value better and will be more likely to meet the growing demand of tenants and investors who want green space

Studies have found that these price premiums can be as high as 30% (5). Cash monay!!!

To get a sense of what a CRE company is doing, let’s talk about one of the leading adopters of sustainability in the CRE space--prologis.

But they lack water and waste management goals.

How does a building become sustainable? (JUST SOME EXAMPLES!) (4)

The first question posed by integrating sustainability into real estate is simple - is the building even built yet? If yes, we refer to these opportunities as “retrofits”. Typical retrofitting steps include energy audits and insulation, LED lighting upgrades, and water efficiency measures. If no, we can implement sustainability into the very first conversations of the building, including topics like sourcing sustainably produced materials and designing the physical building around the most sustainable practices in the market today.

Site and Landscaping (the stuff that makes the building look pretty):

  • Recycled plastic has been developed into a wide range of landscaping products. Plastic lumber is widely used in outdoor furniture and decking. This lumber is made by shredding and reforming post-consumer plastic containers such as pop bottles and milk jugs. (4)

  • Recycled rubber from tires, ground glass, and plastic is being used in the asphalt mix, significantly reducing waste. These materials also provide greater durability than traditional paving methods, meaning longer life and less frequent repaving. This reduces the materials and energy used over the lifetime of a project.(4)

Foundations (the stuff the building sits on)

  • Significant improvements have been made that reduce the installation waste produced on-site and increase the insulation value of these foundation systems. These systems are collectively known as super-insulated foundations.

Materials and structural framing (the stuff the building is made of)

  • Lumber recovered from demolition is being used in renovations and new construction, for both environmental and aesthetic reasons.Timbers, flooring, trim, and paneling are salvaged from the demolition of old houses and barns, then cleaned up and resawn if necessary. The resulting product reduces landfill waste and is nontoxic, recyclable, and of better quality than commercially available virgin lumber today.

Building envelope and sheathing (the stuff that forms the building between structural beams)

  • Alternatives to wood-based sheathing and toxic resins are being developed from agricultural waste products. Straw paneling, assembled with water-based adhesives and fiberglass tape, is available for use as exterior sheathing.

Insulation (the stuff that keeps heat trapped inside)

  • Thorough insulation is one of the best ways to reduce energy consumption and building operating costs. Insulation also offers acoustic benefits. In contemporary construction, the familiar fiberglass insulation has been supplemented by hi-tech polymers and old-fashioned cotton. The energy saved by installing these materials far exceeds the energy consumed in production.

Interior finishes (the paints and stains that add pizazz to your space)

  • Largely in response to California’s strict air-quality laws, which virtually prohibit traditional oil-based paint because of outgassing, there is now a wide range of paints, stains, and finishes that are non-toxic and easy to clean up.

  • Casein paint, a technology at least 5,000 years old, is made from natural pigments, milk solids, lime, talcum, and salt. Generally sold dry, it is mixed with water as needed, reducing waste.

Plumbing (the stuff that takes care of the stuff you don’t want to think about)

  • Water conservation issues and overburdened septic systems have led to a reexamination of our traditional plumbing methods. There have been three areas of focus: reducing freshwater use; recovering and reusing graywater; and reducing the amount of sewage entering the municipal waste stream.

 The Empire State Building Case Study

  • Lighting: Reduced lighting usage by using ambient and direct/indirect light. Added photosensors for spaces that don’t need to be lit all the time.

  • Technology upgrades - more control of air conditioning, heating, and other utilities

    • Can more directly control energy usage and apportion to certain places when necessary

  • Building windows: Upgraded existing insulated glass with a mix of krypton/argon gas that was placed between the glass and a suspended film. This increased the thermal resistance of the glass and dramatically helped energy usage

Segway to Divya

Divya Natarajan is a Senior Project Manager at Paladino & Company, where she facilitates the sustainability conversation with developers and real estate owners/operators

Sources

  1. USGBC

  2. https://www.energystar.gov/sites/default/files/buildings/tools/CommercialRealEstate.pdf

  3. http://www2.deloitte.com/us/en/pages/financial-services/articles/dcfs-sustainabilty-in-commercial-real-estate.html

  4. http://www.umich.edu/~nppcpub/resources/compendia/ARCHpdfs/ARCHsbmIntro.pdf

  5. http://www.worldgbc.org/files/1513/6608/0674/Business_Case_For_Green_Building_Report_WEB_2013-04-11.pdf