In a number of previous articles we looked at how “London Office Refurbishment Surges [were] Due To New Energy Efficiency Laws”, how there was a “Shift Towards London Office Refurbishment As London Office Construction Increased” and what the “London Office Crane Survey 2021 Meant For London Office Refurbishment”.
In this article we look at the ever increasing trend towards London office refurbishment in past years and whether this trend will continue in the latter half of 2022 and into 2023.
Outdated, Poor-Quality Second-Hand London Office Space
Over the last 2 years the availability of second-hand London office space increased 50% year on year, to its highest level in more than a decade.
With the rise in available second-hand office space, much of what would have been considered to be perfectly good office stock is now being classed as “tired”, outdated, and poor quality. As a consequence many building owners have had little choice but to consider fitting out their buildings and workspaces to a much higher quality standard and with improved sustainability. Building owners will need to improve their existing office stock if they want to be able to compete, stand out from the crowd and meet the needs of occupiers who are demanding office space which is now even more discerning.
The emphasis is now on office space which is flexible, sustainable and promotes health and well-being. The need to update office stock was further exacerbated by the UK government’s “Non-Domestic Private Rented Sector Minimum Energy Efficiency Standards – Implementation of the EPC B Future Target” move towards a minimum Energy Performance Certificate (EPC) B rating requirement by 2030.
Clearly building owners have been taking this to heart as in Deloitte’s London Summer 2021 Office Crane Survey 54% of new starts were office refurbishments, with several owners opting to retrofit and reuse existing space instead of demolishing it. In the 2022 Deloitte London survey London office refurbishments rose by 14% and accounted for 91% of the new 36 schemes.
The Drive Towards Further London Office Refurbishment
Even with the stats above only around 20% of current London office space meets the standards set by by the UK government new EPC rating. 80% of London office buildings still fall below the B rating required and 20 million square feet of London’s office stock has a rating of F or G.
Siobhan Godley a Deloitte partner and real estate leader explains “Under the current regulations a minimum standard of EPC band E applies. It is unlawful to let an office which falls below this level. From April 2023 the same requirement will extend to existing lettings. More significant is the proposed bill currently going through parliament that if enacted as the current draft means that all offices will need to achieve EPC band B by 2030.”
“Potential MEES legislation is a headache for owners but a potential opportunity for investors. If supply levels are constrained due to a lack of new starts and occupier demand for quality space continues, then rents may continue making increased costs more bearable.”
Add to that office space which isn’t sustainable and it’s clear that office refurbishment is likely to continue to be the major trend even into 2023.
Refurbishing London Offices To Be Sustainable
If you’re looking to make your office space sustainable there are some key things that you need to consider when it comes to refurbishing or retrofitting your building and office space. These are: sustainable design principles; durability and sustainability of building materials being used, energy efficiency, waste reduction, conserving water and indoor air quality.
Designing To Sustainable Principles
The design of your office space will determine its sustainability and should take into account everything from the materials that will be used to energy and water consumption, and the waste produced.
In a previous article on “How To Design A Kent or London Sustainable Office Refurbishment” we mentioned BREEAM (the Building Research Establishment Environmental Assessment Method) which acts as a set of best practice “science-based” standards which buildings are measured against in terms of environmental performance. “BREEAM looks to improve asset performance through the design, specification, construction and refurbishment in order to achieve environmental, social, and corporate governance (ESG), health and well-being as well as achieving net zero goals.”
The Royal Institution of Chartered Surveyors (RICS) SKA rating helps landlords and tenants assess fit-out projects against a set of sustainability good practice criteria.
Durability and Sustainability of Building Materials
The more durable and long-lasting building materials are the less frequently they have to be repaired or replaced, which not only cuts down on cost but also cuts down on landfill. Natural materials like wood and stone tend to be more durable.
You should also look to source materials from sustainable suppliers e.g., wood products which have the Forest Stewardship Council (FSC) credential, or the Programme for the Endorsement of Forest Certification (PEFC) demonstrate how they have been sourced and maintained.
Energy Efficiency
Improving the energy efficiency of a building will lower energy consumption and thereby reduce CO2 submissions.
Every part of your refurbishment should be considered including the building materials being used, the lighting, heating and cooling and the use of sustainable and smart technology to help control energy usage.
Waste Reduction
Reducing the amount of waste produced can have a big impact on sustainability. Recycling building materials from your previous office design and build and using them in your new office refurbishment cuts back on waste and the amount that goes to landfill.
Reducing office waste is also important e.g., moving from a paper-based system to one online will dramatically cut back on discarded paper. You should also look to remove plastic disposables such as plastic drinking cups, bubble wrap and any plastic packaging and replace with items that can be used long term.
Water Conservation
Water is a precious resource and where possible should be conserved. There are many ways of conserving water including recording water usage, checking for leaks and carrying out regular maintenance, reducing the pressure and water flow in toilets, showers, kitchen and tea-point areas as well as reminding people to turn off taps etc.
Indoor Air Quality
Good ventilation is vital in workspaces Under regulation 6 of the Workplace Health, Safety and Welfare Regulations, employers must “ensure that every enclosed workplace is ventilated by a sufficient quantity of fresh or purified air”. Without good eventilation there is the risk of sick building syndrome.
Be aware that indoor air quality can be impacted by volatile organic compound (VOC) emitting materials which can be found in some carpets, wood preservatives and paints.
How Can JBH Refurbishments Help?
JBH Refurbishments have many years experience in sustainable office design and builds and can advise on all aspects of your Kent or London office refurbishment. Contact us via our contact form or by calling us on 0333 207 0339.
