Sustainable property management is the way of overseeing real estate that aims to minimize environmental harm while maximizing efficiency and community well-being.
So, how does it differ from the usual way of handling properties? Traditional management often focuses on cost and efficiency, with less thought given to long-term environmental impacts and community integration.
Sustainable property management, on the other hand, blends these aspects, creating benefits that extend beyond the here and now and help boost a building's lifecycle.
In this article, we'll discuss the importance and benefits of sustainable property management and give examples and applications for how property owners could implement it on their properties.
Importance of Sustainable Property Management
These are the three main reasons why sustainable property management is important nowadays:
Economic
Money talks, right? Adopting sustainable practices can actually save a penny or two—or a whole lot more. Through measures like energy efficiency and reduced water usage, operational costs can go down significantly.
Plus, properties that are greener can attract more tenants, possibly command higher rents, and contribute to overall economic development.
Environmental
It's no secret that buildings can harm our environment. Sustainable building practices are important when you have properties because they can have a much lighter footprint.
This includes reducing waste, conserving natural resources, and cutting down on greenhouse emissions. It's about doing our bit to keep the planet in good shape for the next generations.
Social and Community
When properties are managed with a focus on sustainability, the perks aren't just for the environment or the bottom line—they also enhance the community.
Features like green spaces and energy-efficient appliances contribute to a healthier lifestyle and can foster a stronger sense of community among tenants.
Examples and Applications of Sustainable Property Management
As a property owner, you should think of ways to practice sustainable property management. Here are some examples you can try:
Green Building Practices
Green property management includes incorporating materials that are either recycled or sustainably sourced. Using recycled components or those derived from renewable resources helps minimize the environmental impact of construction.
Additionally, designing buildings with natural lighting and ventilation reduces reliance on artificial heating and cooling systems, which can lead to increased energy efficiency and lower operational costs.
Energy Efficiency Measures
Investing in appliances and equipment with high energy efficiency ratings, such as LED lighting and high-efficiency boilers, can significantly reduce energy consumption.
Smarter energy use through these upgrades translates to lower utility bills and less strain on natural resources. Moreover, installing smart thermostats that automatically adjust temperature settings based on occupancy can further optimize energy usage.
Waste Reduction Strategies
Reducing, reusing, and recycling in property management operations can drastically reduce a property's waste production. Implementing recycling programs that include designated bins for paper, plastics, glass, and metals facilitates proper waste sorting and diversion from landfills.
Exploring composting initiatives for organic waste further reduces the overall volume of waste generated. Encouraging a "reduce and reuse" mindset among tenants can minimize the initial creation of waste.
Use of Renewable Energy
Integrating renewable energy systems, such as solar panel installations or participating in off-site renewable energy projects, can greatly reduce a property's reliance on non-renewable power sources like fossil fuels.
Embracing clean energy alternatives lowers your carbon footprint and contributes to a more sustainable future for the younger generation.
Water Conservation Techniques
Think rainwater harvesting systems and low-flow fixtures. These solutions benefit the environment and provide financial advantages by reducing water usage.
Rainwater harvesting systems collect and store rainwater, which can be used for irrigation or other non-potable purposes.
Low-flow showerheads, faucets, and toilets consume significantly less water compared to older models without compromising performance, resulting in long-term cost savings.
Submetering
But if you want an advanced solution that is currently trending among property owners, you could implement a submetering system on your properties.
It is the process in which micrometers are installed in each water fixture to help detect leaks quickly. These micrometers can help property owners manage water usage among their tenants.
Let’s take a look at this case study:
Here’s a sample of submetering all units and fixtures of a multi-tenant property, 13 units with 39 tenants, to be exact. The gathered data below presents a significant reduction in water usage and, consequently, substantial savings for the property owner.
Try to analyze the impact and implications of a unit with submetering and see if it's worth your next investment:
Environmental Impact
Installing micrometers on every fixture in this building resulted in an impressive reduction of over 1,600 gallons per day on average. This added up to over 590,000 gallons saved per year.
This significant reduction in water usage not only helps conserve a critical natural resource but also demonstrates how targeted interventions can lead to substantial environmental benefits.
Financial Impact
The annual cost savings attributed to the reduction in water usage amount to $10,860. The building’s water bills were reduced by more than 50%.
This figure illustrates the economic advantage of implementing submetering systems for property owners, providing a strong incentive beyond the environmental impact.
Analysis
Savings Calculation: Water usage savings translate directly into financial savings, emphasizing the efficiency of submetering systems in reducing unnecessary water consumption. This is particularly relevant for water-using fixtures in residential units.
Scalability: The data from this case study suggest that scaling the application of submetering systems to include other high-usage appliances or fixtures could further increase savings. This could include faucets, toilets, showers, sinks, and laundry facilities.
How DrizzleX Can Help You
DrizzleX allows you to detect hidden leaks, such as running toilets and leaky faucets, to stop millions of gallons of waste each year. It also alerts you to excessive water overuse by tenants. Typically, buildings that use DrizzleX reduce their water bills by 25-45% or more.
And you can expect a pretty quick return on investment (ROI). Buildings with DrizzleX save enough water to cover the entire cost of DrizzleX within about 9 months on average.
Usage Reports
One of DrizzleX's solutions is the “Tenant’s Overuse” report. Since many people aren't really aware of their excessive water usage, an accurate report can be very helpful in preventing unnecessary expenses. Using the reports, you can communicate with your tenants about their water consumption habits, and back it up with precise data too.
Leak Detection
Leaks can be sneaky because they aren't always visible. With property inspection, you can see the obvious ones. But, silent leaks will only show up on your utility bills. DrizzleX gives you water control because you can monitor the water flow in your building.
The system will notify you about where and how much water is being lost.
E-mail Notifications
Once DrizzleX spots the leak, it will notify you via email. The message you receive will include all the details about the exact apartment and fixture that is the culprit, how many gallons were used, how much it will cost you if the problem isn’t fixed, and even possible causes for the water waste and how to fix it.
Billing
DrizzleX also allows you to bill your tenants. Tenants conserve water when they are the ones paying for it. You can easily create water bills based on accurate water consumption and bill them fairly.
FAQs About Sustainable Property Management
How does sustainable property management improve the use of environmental and social resources?
Sustainable property management improves the use of environmental and social resources by implementing practices that reduce environmental impact and promote community well-being.
How can sustainable practices be integrated into existing property management operations?
Sustainable practices can be integrated into existing property management operations by upgrading systems to enhance energy efficiency and by adopting green building standards throughout the building lifecycle, particularly focusing on the operations and maintenance phase.
What are the core property management operation functions that are impacted by sustainability?
Sustainability practices improve building science applications and operational efficiency, influencing key functions such as maintenance, tenant relations, and cost management.
"Textbook Practical Apartment Management" is an excellent resource that covers sustainable practices within the scope of apartment and broader real estate management, providing valuable insights and guidelines.
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