Skanska and Arup are today announcing a strategic partnership with the potential to revolutionise the commercial property market. The firms are providing clients with a jointly-delivered green retrofit and refurbishment process. As a result, this market, worth in excess of £10bn per year in the UK, is set to undergo a much needed transformation.
Mike Putnam, President and CEO Skanska UK says, "The property market is changing. Tougher climate-change laws, new ways of working, and demands from investors and tenants are transforming the way we think about building performance and value. These changes are forcing the industry to evaluate property assets in ways that consider their long-term value and their role in achieving corporate goals."
David Glover, Arup‟s global property market leader says, "It can be virtually impossible for portfolio holders to identify which retrofit and refurbishment initiatives have the most impact on an individual property‟s market value. Short-term cosmetic upgrades may have an immediate effect, but in today‟s market businesses need to make investments that bring value both today and tomorrow.
"This partnership bridges the gap between sustainability and value, allowing portfolio holders to make forward-looking changes that meet the requirements of new legislation, improve performance, reduce risks, and that satisfy the sustainability criteria of tenants, owners and investors."
Through the partnership Arup and Skanska are integrating architectural, engineering, and financial risk analysis. Focusing on clients and their business models, the collaboration allows them to:
- Assess a portfolio of buildings or individual property: identifying how value can be enhanced through targeted physical interventions, how value for money and return on assets can be improved and the appropriate strategy for a building or portfolio, based on the client‟ business goals and needs
- Provide design and construction expertise, managing this process seamlessly
- Continue to work with clients to provide managed service options and monitoring, allowing them to take advantage of the full potential and cost effectiveness of the building.
Leading this partnership on behalf of Skanska is Director of Green Business, Craig Sparrow who comments, "We believe that it is right that we contribute to a low carbon economy and that early adopters in this space will be market leaders in the real estate sector. By joining forces with Arup we aim to offer the first commercially viable, full service green refurbishment and retrofit process in the UK. Our mission is to put buildings on 'The Journey to Deep Green™'– a place where ultimately the value of assets are future-proofed."
The partnership has already led to plans for several showcase pilot refurbishment projects, which will commence work later this year. These redevelopments will be focused around improving the property‟ energy, carbon and water efficiency; they will be exemplars for the next generation of green refurbishment.