Energy Performance Certificates
Energy Performance Certificates, similar to those contained in the residential Home Information Packs, will be introduced for all commercial properties over the coming months.
From 6 April 2008 the seller or landlord selling or letting a new or existing commercial building with a floor area of over 10,000 sq. m. must provide the prospective buyer or tenant with a valid Energy Performance Certificate (EPC).
The size of a building needing an EPC wlll be reduced to 2,500 sq m from 1 July 2008 and all buildings will need one from 1 October 2008
David Stone, an associate in the commercial property team of Foot Anstey said “With the deadlines approaching for EPCs , commercial property owners should review their property portfolios and identify those they are likely to sell or rent in the coming months. They then need to procure the services of the limited number of energy assessors likely to be initially available for the commission of EPCs.
“Time will tell to what extent energy certification, revealing the relative energy efficiency of buildings, will impact upon market value.’’
The EPC will include an asset rating on an A – G scale measuring and reporting on the building’s energy efficiency. All this is driven by Brussels in the form of the European Directive requiring buildings to be more energy efficient and reduce carbon omissions.
Tenants in multi-let buildings looking to assign or sublet their units may create complications. The tenant of part will be responsible for commissioning the EPC but in practical terms it will be easier for the owner of the building to do so.
In theory, this means a small retail tenant in a large shopping centre must obtain an EPC for the entire centre before it can dispose of its own lease. EPCs have a lifespan of 10 years, so unless the building and its services change after the certificate is given this will become less of an issue as time goes by. Consequently an EPC obtained for one assignment or subletting should be available for use on subsequent disposals.
Published 01/02/2008
