Energy efficiency remains an undervalued consideration in the search for office space, with many tenants paying the price.
Developments such as Adelaide’s upcoming 120 Frome project could change that, though, according to CBRE Senior Director, Advisory & Transaction Services – Office Leasing, Michael Pfitzner.
Replacing Knapman House at 120 Frome Street in the eastern edge of the CBD, the six-storey building has been designed to achieve a 5 Star NABERS Energy Rating.
An energy efficient design is laden with natural light through the 1,240sqm floorplates, while rooftop solar panels will generate in excess of 20% of the development’s electricity.
Compared to a 2 Star NABERS-rated building, the financial benefits could reach 70% for tenants, or approximately $35/sqm per annum.
CBRE’s Andrew Bahr and Michael Pfitzner are leasing agents for 120 Frome, along with Martin Potter and Rory Dyus from Knight Frank.
“Tenants don’t tend to consider energy efficiency savings when selecting new premises,” Mr Pfitzner said.
“Features such as the floorplate size, location and finishes tend to be more prevalent in their decision making.
“The savings that developments such as 120 Frome can provide will quickly make energy a strong component of a tenant’s property selection and a compelling reason to choose these sorts of buildings.”
With tenants given the scope to help shape their A-Grade office spaces, 120 Frome’s side-core configuration features minimal structural columns to create large, open floors.
A recent engineering case study modelled an efficiency increase of 29% for the design against housing the same headcount in a conventional, B-Grade space.
The building will also feature flexible working areas, a fitness and wellness studio, indoor and outdoor balconies and a ground-floor cafe.
120 Frome is well located in Adelaide’s east end, within walking distance of the heart of the city and connected to public transport, while also boasting abundant off-street parking.
“With social responsibility becoming more and more of a factor for organisations, 120 Frome ticks all the boxes required,” Mr Potter said.
“It’s the perfect-sized, standalone building; a boutique office development that can be tailored to the requirements of tenants that might otherwise be too small to influence a design and configuration.”
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2018 revenue). The company has more than 90,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 480 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.
