Green landlords saving tens of thousands and improving efficiencies

August 27, 2015

reduce costs and rent arrearsIs the proposition that you can reduce costs whilst becoming accredited with SHIFT and driving sustainability outlandish? We don’t think so – and here are some examples:

  • Since the previous round of SHIFT assessments, accredited landlords have further reduced the carbon emissions of their offices – saving an extra 1905 tonnes of carbon every year. This equates to around £571,000, or nearly £9,000 per landlord.
  • SHIFT partner Wienerberger’s new ‘E4 brick house’ is the equivalent of Code Level 4 ‘out of the box’, without renewables, and costs 2.5 – 3.5% less per unit to build than its traditionally-procured equivalent.
  • Another SHIFT partner, Ventive, calculate that installing passive heat-recovery ventilation systems saves £4,500 in maintenance costs over their 20 year whole life compared with their mechanical equivalents.
  • Amicus Horizon have set a target of achieving SHIFT Gold accreditation by March 2016. As part of this drive for improvements, its vehicle fleet and offices are now significantly cheaper to run – saving hundreds of thousands every year.
  • The network and learning that comes with being part of SHIFT is not just a ‘nice to have’ – Genesis report that they saved thousands of pounds in consultants’ fees.

Being ‘social landlords’ means there is more to think about than cutting business costs. It is no revelation that they actually care about the welfare of residents and their living costs. So an extra £25 million every year shaved off the energy bills (an amount that SHIFT landlords have achieved through carbon reductions since the last round of assessments) is great news. These savings are a real help to the often low income tenants of social landlords.

But even this can be good for the bottom line. Evidence is starting to emerge of the link between more energy efficient homes and costly rent arrears; one landlord reported that the rate was halved. In fact, Sustainable Homes are undertaking a study to understand this link better – if you are a social landlord, please contact us to be involved.

the sustainability standard for the housing sector, energy efficient homesSHIFT is the framework that 70 social landlords are using to ‘measure, compare, improve’. Of course, improvements would still happen without it. But we were encouraged when we asked accredited landlords what the value of SHIFT was and they responded that, on average, 56% of the improvements they had made were attributable to being part of the sustainability standard for the housing sector.

We believe there really is a ‘business case’ for doing this stuff. It makes business sense and provides value for money. Let’s be smart and learn from each other along the way. Network with 75 landlords all doing just that. For a breakdown of all the avoided costs that gaining accreditation can provide, please contact us.

 

You can find out more about SHIFT and how the accreditation process can reduce costs at our lunchtime seminar in nottingham on the 6th October. Find out more here.

 

Sustainable Homes

Sustainable Homes