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OPEN	
  BUILDING	
  AS	
  ENTRY	
  TO	
  
CIRCULAR	
  ECONOMY	
  BUILDINGS	
  
@remkozuidema	
  
remko.zuidema@briqs.org	
  
	
  
Agenda	
  
•  Three	
  World	
  Trends	
  
•  Building	
  and	
  Construc<on	
  revisited	
  
•  Transac<ons	
  or	
  Value	
  growing	
  	
  
•  New	
  Economy	
  at	
  horizon	
  
>>	
   >>	
   >>	
  
 Implemen<ng	
  circular	
  economy	
  in	
  urban	
  build	
  
environment	
  in	
  The	
  Netherlands	
  
Remko	
  Zuidema	
  
Research	
  -­‐	
  Educate	
  -­‐	
  Organize	
  	
  
Fit-­‐Out	
  Mastery	
  new	
  economy	
  
My	
  past	
  performance	
  	
  
Duurzaam	
  
Grondstoffen	
  
Beheer.nl	
  
Circular	
  Economy	
  
	
  
Basis	
  materials	
  tracing	
  based	
  on:	
  
•  Concentra<on	
  
•  Purity	
  
•  Structure	
  
Buildings	
  cover	
  	
  
1/3rd	
  of	
  materials!	
  
When	
  does	
  economy	
  work?	
  
	
  
Scarcity	
  +	
  Prosperity	
  
	
  
According	
  to	
  em.prof.dr.Heertje	
  
	
  
Value	
  is	
  an	
  opinion!	
  
Whoever	
  calls	
  upon	
  this	
  opinion?	
  
“The	
  only	
  constant	
  is	
  change”	
  
Heraclitus,	
  Greek	
  philosopher	
  (app.	
  500	
  BC)	
  
Use	
  in	
  movement?	
  
User	
  interests	
  (B2C)	
  
Trends:	
  
-­‐  Ac<vi<es	
  change	
  faster	
  
-­‐  Mutual	
  differences	
  enlarge	
  
-­‐  Value	
  more	
  important	
  
	
  
Health	
  as	
  Mega	
  trend:	
  
Nutri<on	
  >>	
  	
  
Clothing	
  >>	
  	
  
Housing	
  !!	
  
-­‐  Do	
  we	
  have	
  control?	
  
3	
  types	
  of	
  investment	
  
•  Shares	
  (piece	
  of	
  company	
  ownership)	
  
•  Bonds	
  (loan	
  to	
  country	
  or	
  company)	
  
•  Real	
  Estate	
  (owning	
  or	
  funds)	
  
Totally	
  different	
  approach;	
  non-­‐technical!	
  
Investors	
  interests	
  (B2B)	
  	
  
Trends:	
  
-­‐  Maximal	
  return	
  on	
  investment	
  	
  
-­‐  Cash	
  vs	
  value	
  
-­‐  Minimal	
  risk	
  on	
  unlefable	
  
merchantability	
  
Transparency	
  on	
  what?	
  
Secrecy	
  on	
  how	
  much?	
  
From	
  linear	
  to	
  circular	
  
Steps	
  to	
  take	
  –	
  value	
  to	
  make	
  
Material	
  track	
  value	
  break!	
  
Anyone	
  new	
  on	
  the	
  planet?	
  
Explosion?	
  
	
  
2025:	
  
Asia	
  to	
  60%	
  
Difference	
  Building	
  vs	
  Product?	
  
•  Change	
  from	
  hun<ng	
  to	
  farming	
  	
  
•  makes	
  us	
  stay	
  at	
  one	
  place	
  	
  
•  able	
  to	
  make	
  stone	
  homes	
  
•  and	
  mul<ple	
  stories	
  
#	
  <mes	
  in	
  lifecycle:	
  
0x 	
  Site 	
   	
  forever	
  
1x	
   	
  Structure 	
  50-­‐100	
  years	
  
3x	
   	
  Skin 	
   	
  30-­‐40	
  years	
  
4x	
   	
  Services 	
  20-­‐40	
  years	
  
5x	
   	
  Services 	
  10-­‐20	
  years	
  
7x	
   	
  Spaces 	
  5-­‐10	
  years	
  
9x	
   	
  Stuff 	
   	
  1-­‐5	
  years	
  
	
  
Beyond	
  structure	
  life	
  you	
  find	
  
demoli<on	
  and	
  materials	
  
Average	
  building	
  part	
  life	
  span	
  	
  	
  User	
  	
  	
  	
  <>	
  Owner	
  <>	
  Soc	
  
Steward	
  Brand	
  1994	
  
What	
  to	
  do	
  differently?	
  
From	
  Linear	
  to	
  Circular	
  Buildings	
  requests	
  
for	
  arranging	
  ownership	
  aper	
  demolishing!	
  
	
  
Especially	
  for	
  products	
  and	
  materials!	
  
Remaining	
  aper	
  build	
  /	
  prepare	
  +	
  maintain	
  
	
  
Registrate	
  building	
  materials	
  
Fase:	
  
Level:	
  
Strategic	
   Plan	
  	
  	
   Make	
   Use	
  
Structure/	
  
foundaGon	
  
Report	
   Report	
   Report	
  
Skin/	
  
façade	
  
Report	
   Report	
  
Services/	
  
uGlity	
  
Report	
   Report	
  
SeparaGons
/	
  interior	
  
Report	
   Report	
  
Report	
  	
  
Report	
  
Report	
  
Report	
  
Site/	
  area	
  
Report	
  
Report	
  
Report	
  
Report	
  
Discard	
  	
  
Report	
  
Report	
  
Report	
  
Report	
  
Stuff/	
  
furniture	
  
Report	
   Report	
  Report	
   Report	
   Report	
  
End	
  User<>	
  Investor	
  <>	
  Society	
  
Building	
  industry	
  &	
  trade	
  
Real	
  Estate	
  
Linear	
  from	
  Cradle	
  to	
  Grave	
  
Elements	
  
Materials	
  	
  
Products	
  	
  
Wholesale	
  
Builder	
  
Investor	
  Sub	
  builders	
  	
  
Service	
  provider	
  	
  	
  
Governance	
  
(Law	
  	
  &	
  control)	
  	
  
RA	
  Agent	
  b/s	
  
Bank/	
  finance	
  
Administrator	
  	
  
Re-­‐use	
  
Constr.	
  engineer	
   Building	
  physics	
  
Service	
  consultant	
   Construc<on	
  costs	
  
Architect	
  	
  
User	
  	
  
Administrator	
  /	
  Commissioner	
  
Designer	
  /	
  Consultant	
  
Builder	
  /	
  Service	
  provider	
  
Industry	
  /	
  Materials	
  	
  
Demoli<on	
  
Design	
  &	
  Construc?on	
  	
  
Materials	
  	
  
Developer	
  
User	
  
Circular	
  from	
  Cradle	
  to	
  Cradle	
  
Organizing	
  Materials	
  
Products	
  	
  
Governance	
  
(Laws	
  &	
  control)	
  	
  
Buy	
  /	
  Rent	
  
Finance	
  
Administrator	
  
Recycling	
  
Disassembly	
  
Construc<on	
  	
   Building	
  physics	
  
Service	
  system	
  	
   LCA	
  Costs	
  
Esth.	
  Design	
  
Improvements	
  Adjustments	
  
Investor	
  	
  
Wholesale	
  
Building	
  industry,	
  construc?on	
  and	
  real	
  estate	
  
Materials	
  	
  
Design	
  &	
  Pre-­‐Construc?on	
  	
  
Concepts	
  book	
  	
  
Owning	
  
User	
  	
  
Administrator	
  /	
  Commissioner	
  
Designer	
  /	
  Consultant	
  
Builder	
  /	
  Service	
  provider	
  
Industry	
  /	
  Materials	
  	
  
Performance	
  
Contract	
  User	
  
9	
  circular	
  levels	
  in	
  products	
  
①  Avoid	
  use	
  
②  Reduce	
  use	
  
③  Product	
  reuse	
  
④  Repair	
  &	
  Maintain	
  
⑤  Product	
  refurbishing	
  
⑥  Product	
  remake	
  
⑦  Product	
  reuse	
  elsewhere	
  
⑧  Reuse	
  materials	
  
⑨  Energy	
  recovery	
  materials	
  
Labour:	
  
Much	
  
(re)use	
  
	
  
	
  
	
  
	
  
	
  
	
  
Lifle	
  	
  
(re)use	
  
Materials:	
  
Lifle	
  
(re)use	
  
	
  
	
  
	
  
	
  
	
  
Much	
  
(re)use	
  
Level	
  of	
  circularity:	
  
How	
  the	
  world	
  turns	
  
Real	
  Estate	
  
Design	
  &	
  RealisaGon	
  
Industry	
  and	
  trade	
  
Occupants	
  &	
  Tenants	
  
Basic	
  Materials	
  
Project	
  PorEolio	
   Buildmarket	
  Ac?vi?es	
  	
   Market	
  
Elsewhere?	
  
Shops,	
  
Internetshop,	
  
Buildingmarket	
  
etc.	
  
Five	
  worlds	
  of	
  building	
  business	
  
Real	
  Estate	
  
Design	
  &	
  RealisaGon	
  
Industry	
  and	
  trade	
  
Occupants	
  &	
  Tenants	
  
Basic	
  Materials	
  
Project	
  PorEolio	
   Buildmarket	
  Ac?vi?es	
  	
   Market	
  
From	
  material	
  to	
  End-­‐User	
  
Real	
  Estate	
  
Design	
  &	
  ConstucGon	
  
Industry	
  and	
  trade	
  
Occupants	
  &	
  Tenants	
  
Basic	
  Materials	
  
Project	
  PorEolio	
   Buildmarket	
  Ac?vi?es	
  	
   Market	
  
Skin	
  	
  
Nuts-­‐/Building	
  
Services	
  
User	
  Services	
  	
  
Separa<ons	
  
Structure	
  	
  
Stuff/	
  Fixed	
  
Furniture	
  
Investor	
  
Base	
  Building	
  	
  
User	
  
Fit-­‐Out	
  
Stone/	
  Glass	
  	
  
Plas<cs	
  
Sand/	
  Grind	
  	
  
Metals	
  
Wood	
  
Tex<le	
  
(Etcetera)	
  
	
  
	
  
(Etcetera)	
  
(Etcetera)	
  
	
  
	
  Window	
  frames	
  
Airco	
  system	
  	
  
Wallssytem	
  
Kitchen	
  	
  
Floor	
  slabs	
  
Energy	
  storage	
  
Owner	
  
Civil	
  Engineering	
  B2G	
  
Furniture	
  B2B	
  /	
  B2C	
  
Urban	
  Tissue	
  /	
  Site	
  
User	
  /	
  loose	
  Furniture	
  &	
  Stuff	
  
Three	
  separated	
  economic	
  areas	
  
Real	
  Estate	
  
Design	
  &	
  ConstucGon	
  
Industry	
  and	
  trade	
  
Occupants	
  &	
  Tenants	
  
Basic	
  Materials	
  
Project	
  PorEolio	
   Buildmarket	
  Ac?vi?es	
  	
   Market	
  
Building	
  Industry	
  B2C	
  
Building	
  Industry	
  B2B	
  
Investor	
  
Base	
  Building	
  	
  
User	
  
Fit-­‐Out	
  
Urban	
  Tissue	
  /	
  Site	
   Civil	
  Engineering	
  B2G	
  
User	
  /	
  loose	
  Furniture	
  &	
  Stuff	
   Furniture	
  B2B	
  /	
  B2C	
  
Transac<on	
  of	
  Cash	
  vs	
  Value	
  
Who	
  needs	
  /	
  gets	
  value?	
  
End-­‐User,	
  Investor	
  and	
  local	
  Government	
  
NEW:	
  Building	
  industry	
  B2G+B2B+B2C	
  
Everybody	
  else	
  needs	
  Transac<on	
  Profit!	
  
Contract	
  (re)forms	
  in	
  Real	
  Estate	
  
Five	
  different	
  lease	
  agreement	
  op<ons	
  
between	
  investor	
  and	
  end-­‐user	
  
Fase:	
  
Level:	
  
FullOwner	
   Landlease	
  
	
  O	
  
	
  O	
  
	
  O	
  
End	
  User	
  <>	
  Investor	
  
Type:	
  
Level:	
  
Base	
  
Building	
  
Fit-­‐Out	
  
Site	
  /	
  Area	
  
Furniture	
  /	
  
Stuff	
  
BuyRent	
  
	
  O	
  
	
  O	
  
Rent	
  
	
  O	
  
	
  O	
  
FullRental	
  
	
  O	
  
Circular	
  building	
  ownership?	
  
Tastes	
  of	
  law:	
  
(NL)	
  Merge?	
  
(B)	
  Return?	
  
(D)	
  Share?	
  
(F)	
  Revive?	
  
(EU)	
  Split?	
  
	
   	
   	
   	
  download	
  at:	
  briqs.org	
  
2015:	
  ECB	
  in	
  charge	
  for	
  major	
  EU	
  banks?	
  
What	
  do	
  we	
  need?	
  
•  Financial	
  models	
  in	
  real	
  estate	
  including	
  
material	
  value	
  in	
  <me	
  
•  Ownership	
  revised	
  staying	
  simple	
  and	
  
transparent	
  
•  Contract	
  models	
  for	
  building	
  industry	
  to	
  
stay	
  user	
  involved	
  
•  Real	
  <me	
  measuring	
  of	
  performance,	
  
costs	
  and	
  value	
  opportuni<es	
  
Five	
  economics	
  needing	
  a	
  twist	
  
•  End-­‐User	
  
•  Investor	
  	
  
•  Local	
  Government	
  
•  Building	
  Industry	
  B2B	
  
•  Building	
  Industry	
  B2C	
  
No	
  pilot,	
  just	
  projects	
  to	
  do:	
  
Circular	
  Building	
  Hoofddorp	
  (Schiphol)	
  
@RemkoZuidema	
  
remko.zuidema@briqs.org	
  
	
  September	
  2015	
  
ETH	
  Zurich	
  |	
  Circular	
  Build	
  Environment	
  
	
  	
  

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BRIQS Presentation at ETH Zurich 20150909 Open Building Congress

  • 1. OPEN  BUILDING  AS  ENTRY  TO   CIRCULAR  ECONOMY  BUILDINGS   @remkozuidema   remko.zuidema@briqs.org    
  • 2. Agenda   •  Three  World  Trends   •  Building  and  Construc<on  revisited   •  Transac<ons  or  Value  growing     •  New  Economy  at  horizon   >>   >>   >>  
  • 3.  Implemen<ng  circular  economy  in  urban  build   environment  in  The  Netherlands   Remko  Zuidema   Research  -­‐  Educate  -­‐  Organize     Fit-­‐Out  Mastery  new  economy  
  • 4. My  past  performance     Duurzaam   Grondstoffen   Beheer.nl  
  • 5. Circular  Economy     Basis  materials  tracing  based  on:   •  Concentra<on   •  Purity   •  Structure   Buildings  cover     1/3rd  of  materials!  
  • 6. When  does  economy  work?     Scarcity  +  Prosperity     According  to  em.prof.dr.Heertje     Value  is  an  opinion!   Whoever  calls  upon  this  opinion?  
  • 7. “The  only  constant  is  change”   Heraclitus,  Greek  philosopher  (app.  500  BC)   Use  in  movement?  
  • 8. User  interests  (B2C)   Trends:   -­‐  Ac<vi<es  change  faster   -­‐  Mutual  differences  enlarge   -­‐  Value  more  important     Health  as  Mega  trend:   Nutri<on  >>     Clothing  >>     Housing  !!   -­‐  Do  we  have  control?  
  • 9. 3  types  of  investment   •  Shares  (piece  of  company  ownership)   •  Bonds  (loan  to  country  or  company)   •  Real  Estate  (owning  or  funds)   Totally  different  approach;  non-­‐technical!  
  • 10. Investors  interests  (B2B)     Trends:   -­‐  Maximal  return  on  investment     -­‐  Cash  vs  value   -­‐  Minimal  risk  on  unlefable   merchantability   Transparency  on  what?   Secrecy  on  how  much?  
  • 11. From  linear  to  circular   Steps  to  take  –  value  to  make  
  • 13. Anyone  new  on  the  planet?   Explosion?     2025:   Asia  to  60%  
  • 14. Difference  Building  vs  Product?   •  Change  from  hun<ng  to  farming     •  makes  us  stay  at  one  place     •  able  to  make  stone  homes   •  and  mul<ple  stories  
  • 15. #  <mes  in  lifecycle:   0x  Site    forever   1x    Structure  50-­‐100  years   3x    Skin    30-­‐40  years   4x    Services  20-­‐40  years   5x    Services  10-­‐20  years   7x    Spaces  5-­‐10  years   9x    Stuff    1-­‐5  years     Beyond  structure  life  you  find   demoli<on  and  materials   Average  building  part  life  span      User        <>  Owner  <>  Soc   Steward  Brand  1994  
  • 16. What  to  do  differently?   From  Linear  to  Circular  Buildings  requests   for  arranging  ownership  aper  demolishing!     Especially  for  products  and  materials!  
  • 17. Remaining  aper  build  /  prepare  +  maintain     Registrate  building  materials   Fase:   Level:   Strategic   Plan       Make   Use   Structure/   foundaGon   Report   Report   Report   Skin/   façade   Report   Report   Services/   uGlity   Report   Report   SeparaGons /  interior   Report   Report   Report     Report   Report   Report   Site/  area   Report   Report   Report   Report   Discard     Report   Report   Report   Report   Stuff/   furniture   Report   Report  Report   Report   Report   End  User<>  Investor  <>  Society  
  • 18. Building  industry  &  trade   Real  Estate   Linear  from  Cradle  to  Grave   Elements   Materials     Products     Wholesale   Builder   Investor  Sub  builders     Service  provider       Governance   (Law    &  control)     RA  Agent  b/s   Bank/  finance   Administrator     Re-­‐use   Constr.  engineer   Building  physics   Service  consultant   Construc<on  costs   Architect     User     Administrator  /  Commissioner   Designer  /  Consultant   Builder  /  Service  provider   Industry  /  Materials     Demoli<on   Design  &  Construc?on     Materials     Developer   User  
  • 19. Circular  from  Cradle  to  Cradle   Organizing  Materials   Products     Governance   (Laws  &  control)     Buy  /  Rent   Finance   Administrator   Recycling   Disassembly   Construc<on     Building  physics   Service  system     LCA  Costs   Esth.  Design   Improvements  Adjustments   Investor     Wholesale   Building  industry,  construc?on  and  real  estate   Materials     Design  &  Pre-­‐Construc?on     Concepts  book     Owning   User     Administrator  /  Commissioner   Designer  /  Consultant   Builder  /  Service  provider   Industry  /  Materials     Performance   Contract  User  
  • 20. 9  circular  levels  in  products   ①  Avoid  use   ②  Reduce  use   ③  Product  reuse   ④  Repair  &  Maintain   ⑤  Product  refurbishing   ⑥  Product  remake   ⑦  Product  reuse  elsewhere   ⑧  Reuse  materials   ⑨  Energy  recovery  materials   Labour:   Much   (re)use               Lifle     (re)use   Materials:   Lifle   (re)use             Much   (re)use   Level  of  circularity:  
  • 21. How  the  world  turns   Real  Estate   Design  &  RealisaGon   Industry  and  trade   Occupants  &  Tenants   Basic  Materials   Project  PorEolio   Buildmarket  Ac?vi?es     Market   Elsewhere?   Shops,   Internetshop,   Buildingmarket   etc.  
  • 22. Five  worlds  of  building  business   Real  Estate   Design  &  RealisaGon   Industry  and  trade   Occupants  &  Tenants   Basic  Materials   Project  PorEolio   Buildmarket  Ac?vi?es     Market  
  • 23. From  material  to  End-­‐User   Real  Estate   Design  &  ConstucGon   Industry  and  trade   Occupants  &  Tenants   Basic  Materials   Project  PorEolio   Buildmarket  Ac?vi?es     Market   Skin     Nuts-­‐/Building   Services   User  Services     Separa<ons   Structure     Stuff/  Fixed   Furniture   Investor   Base  Building     User   Fit-­‐Out   Stone/  Glass     Plas<cs   Sand/  Grind     Metals   Wood   Tex<le   (Etcetera)       (Etcetera)   (Etcetera)      Window  frames   Airco  system     Wallssytem   Kitchen     Floor  slabs   Energy  storage   Owner   Civil  Engineering  B2G   Furniture  B2B  /  B2C   Urban  Tissue  /  Site   User  /  loose  Furniture  &  Stuff  
  • 24. Three  separated  economic  areas   Real  Estate   Design  &  ConstucGon   Industry  and  trade   Occupants  &  Tenants   Basic  Materials   Project  PorEolio   Buildmarket  Ac?vi?es     Market   Building  Industry  B2C   Building  Industry  B2B   Investor   Base  Building     User   Fit-­‐Out   Urban  Tissue  /  Site   Civil  Engineering  B2G   User  /  loose  Furniture  &  Stuff   Furniture  B2B  /  B2C  
  • 25. Transac<on  of  Cash  vs  Value   Who  needs  /  gets  value?   End-­‐User,  Investor  and  local  Government   NEW:  Building  industry  B2G+B2B+B2C   Everybody  else  needs  Transac<on  Profit!  
  • 26. Contract  (re)forms  in  Real  Estate   Five  different  lease  agreement  op<ons   between  investor  and  end-­‐user   Fase:   Level:   FullOwner   Landlease    O    O    O   End  User  <>  Investor   Type:   Level:   Base   Building   Fit-­‐Out   Site  /  Area   Furniture  /   Stuff   BuyRent    O    O   Rent    O    O   FullRental    O  
  • 27. Circular  building  ownership?   Tastes  of  law:   (NL)  Merge?   (B)  Return?   (D)  Share?   (F)  Revive?   (EU)  Split?          download  at:  briqs.org   2015:  ECB  in  charge  for  major  EU  banks?  
  • 28. What  do  we  need?   •  Financial  models  in  real  estate  including   material  value  in  <me   •  Ownership  revised  staying  simple  and   transparent   •  Contract  models  for  building  industry  to   stay  user  involved   •  Real  <me  measuring  of  performance,   costs  and  value  opportuni<es  
  • 29. Five  economics  needing  a  twist   •  End-­‐User   •  Investor     •  Local  Government   •  Building  Industry  B2B   •  Building  Industry  B2C   No  pilot,  just  projects  to  do:   Circular  Building  Hoofddorp  (Schiphol)  
  • 30. @RemkoZuidema   remko.zuidema@briqs.org    September  2015   ETH  Zurich  |  Circular  Build  Environment