Green Building and Value Engineering Jerry Yudelson Yudelson Associates 2011
Green Building Growth - 33x!
Trends favoring Green Building U.S.: Obama Admin. Focus: energy efficiency/green jobs European Union: Energy Performance Labeling  Global: Corporate social responsibility concerns U.S.: Green building momentum since 2000 30,000 projects in LEED system Over 5 billion sq.ft. UK: More than 200,000 BREEAM Buildings Global: Green Building Councils in over 70 countries!
Importance of Building Green In the year 2040, 75% of the U.S. built environment will be either new or renovated (300 billion sq.ft.), compared with today. We can transform our energy consumption and CO 2  production by constructing and renovating these buildings to green standards. Source:  AIA Research Corporation
The Good News It  is  still possible to halt CO 2  concentration at 450 ppm (vs. 380 now) by 2040 with concerted effort (and at less than €40 per metric ton) No new technologies! Buildings are the only Life Cycle Cost-positive solution Issue is finance, not economics 25% of total carbon solution can come from buildings, including homes
Business Case for Green Buildings Financial/economic return Risk mitigation Ease of financing Marketing & PR Productivity/health gains Recruitment/retention Corporate sustainability
Range of Proven Benefits Absenteeism Carbon Emissions Energy Costs Hospital Stays Waste Management Costs Water Usage Performance on School Tests Retail Sales Per Square Foot Factory Productivity Office Productivity Occupancy Rates Rental Rates
Perceived Business Benefits 8% to 9% operating cost reduction 7.5% building value increases 6.6% improved return on investment 3.5% increase in occupancy ratio 3.0% increase in rent Source: McGraw-Hill Smart Market Reports, 2007 & 2008  Bentley Prince Street carpet mfg. plant, L.A.
Genzyme Center Biotech company Cambridge, MA 900 employees LEED Platinum, 2004 Turnover reduced 5%/year Value: $2 to $5 million  Per Year $6 - $11/sq.ft. Cost @ 5%: $7.50/sq.ft.
Issue: Early Intervention Adds Value
Solution: The Integrated Design Team
Method: Cost Transfer Away from MEP
Result: Evolutionary Path of Green Building
With VE, Lean Becomes Green Lean Themes Reduce carbon footprint Eliminate waste Build in resiliency Going Beyond Green Grid independence (mission-critical) Net zero energy use Net zero water supply
The Future is Green, But… If you want to score, run to where the ball is going, not where it is. Ask yourself: how green will buildings and cities be in 2015? How can SAVE members participate in the green building revolution? Spain Wins FIFA World Cup 2010
THANK YOU!

Green Building as Value Engineering

  • 1.
    Green Building andValue Engineering Jerry Yudelson Yudelson Associates 2011
  • 2.
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    Trends favoring GreenBuilding U.S.: Obama Admin. Focus: energy efficiency/green jobs European Union: Energy Performance Labeling Global: Corporate social responsibility concerns U.S.: Green building momentum since 2000 30,000 projects in LEED system Over 5 billion sq.ft. UK: More than 200,000 BREEAM Buildings Global: Green Building Councils in over 70 countries!
  • 4.
    Importance of BuildingGreen In the year 2040, 75% of the U.S. built environment will be either new or renovated (300 billion sq.ft.), compared with today. We can transform our energy consumption and CO 2 production by constructing and renovating these buildings to green standards. Source: AIA Research Corporation
  • 5.
    The Good NewsIt is still possible to halt CO 2 concentration at 450 ppm (vs. 380 now) by 2040 with concerted effort (and at less than €40 per metric ton) No new technologies! Buildings are the only Life Cycle Cost-positive solution Issue is finance, not economics 25% of total carbon solution can come from buildings, including homes
  • 6.
    Business Case forGreen Buildings Financial/economic return Risk mitigation Ease of financing Marketing & PR Productivity/health gains Recruitment/retention Corporate sustainability
  • 7.
    Range of ProvenBenefits Absenteeism Carbon Emissions Energy Costs Hospital Stays Waste Management Costs Water Usage Performance on School Tests Retail Sales Per Square Foot Factory Productivity Office Productivity Occupancy Rates Rental Rates
  • 8.
    Perceived Business Benefits8% to 9% operating cost reduction 7.5% building value increases 6.6% improved return on investment 3.5% increase in occupancy ratio 3.0% increase in rent Source: McGraw-Hill Smart Market Reports, 2007 & 2008 Bentley Prince Street carpet mfg. plant, L.A.
  • 9.
    Genzyme Center Biotechcompany Cambridge, MA 900 employees LEED Platinum, 2004 Turnover reduced 5%/year Value: $2 to $5 million Per Year $6 - $11/sq.ft. Cost @ 5%: $7.50/sq.ft.
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    Method: Cost TransferAway from MEP
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    Result: Evolutionary Pathof Green Building
  • 14.
    With VE, LeanBecomes Green Lean Themes Reduce carbon footprint Eliminate waste Build in resiliency Going Beyond Green Grid independence (mission-critical) Net zero energy use Net zero water supply
  • 15.
    The Future isGreen, But… If you want to score, run to where the ball is going, not where it is. Ask yourself: how green will buildings and cities be in 2015? How can SAVE members participate in the green building revolution? Spain Wins FIFA World Cup 2010
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Editor's Notes

  • #11 To exploit the full capability of our analysis tools, we must transform our design approach from a sequential process – where one discipline completes work and hands off the design to the next – to a collaborative process – where all of the disciplines involved in the building design and construction work as a team from the beginning to evaluate options and optimize the design. When we become involved early in the design process, we have a vastly greater ability to impact cost and functional capabilities while minimizing the cost of changes to design