Building owners, landlords, and other building stakeholders are more likely to pay a premium for a Division 25-specified building. Why? Division 25 provides sophisticated levels of connectivity to collect and exchange data throughout the building. This data gives stakeholders a window into how their electrical, mechanical, OT / IT, and other key systems deliver value. This means higher efficiency and less system downtime, for starters.
In this post, I will discuss how these smart building layers work together to meet the needs of today’s building occupants.
Changing workforce drives new priorities
Today’s workforce is highly educated and tech-savvy — and their numbers are growing. Between 2016 and 2026, they are projected to increase more than 13 percent. Many commercial real estate executives say tenants are willing to pay a rental premium to be housed in smart buildings — 43 percent say tenants would pay a 6-10 percent premium, and 25 percent say tenants will pay 11-15 percent more.
Take, for example, Jennifer, a young tech worker. She represents just one of the occupant demographics building owners and landlords look at to fill vacancies. As Jennifer pulls up to her office garage, the door automatically opens, the elevator will soon be ready for her, and by the time she walks into her office, the light is on, and the temperature adjusts to her desired setting.
This is all possible with a Division 25 specification, as the closed-circuit TV video monitoring that recognizes her license plate connects to the intelligent building management system (iBMS) that speaks to control systems for access, elevators, lighting, climate control, etc.
These seemingly minor, time-saving conveniences can increase Jennifer’s overall job satisfaction and productivity. In turn, the building owner or landlord is better equipped to meet tenants’ expectations.
Integrated IoT platform powers smart building capabilities
The value of smart buildings can be seen through IoT, which combines mobility and data collection. The Division 25-connected smart building can host many systems and amenities and deliver robust analytics. This helps owners and landlords “see” their building capabilities and provides increased oversight.
A Division 25 specification essentially creates an integrated infrastructure of operational technology (OT), such as electrical and mechanical systems, with IT, software, third parties, and connected devices. Schneider Electric™ uses its edge control IoT platform to integrate building systems such as HVAC, along with the growing array of control systems and apps.
The benefits include increased energy efficiency (which also entices environmentally-conscious occupants) and the ability for facility managers to solve building issues remotely and decrease unscheduled maintenance, which leads to fewer occupant complaints.
Another significant benefit is that building owners get a smart building infrastructure that can be expanded, so they can more easily integrate the next wave of amenities and applications. Room for growth is essential, given the arrival of AI applications and the growth of Space as a Service (SPaaS) in commercial real estate.
Removing traditional silos allows for expansion
Division 25 specifications facilitate building projects with intelligent building management systems — known as iBMS, which go beyond traditional BMS to take systems out of their disciplinary silos. These systems depend on sophisticated levels of connectivity and integration to collect and exchange data throughout the building, similar to how the leaves and branches of a tree are dependent on the root system to deliver water and nutrients from the ground.
The edge control IoT platform begins with the electrical infrastructure that houses building equipment and power meters. It is integrated with the mechanical and IT / OT systems that also integrate with external software for things like elevators and door access or motorized meter relays, so breakers can automatically turn on / off or send alerts. The platform connects products and cloud-based apps, such as room temperature and lighting systems, voice access controls and video management, and safety controls, including fire detection and emergency lighting.
The platform not only enables services, it also collects data to provide analytics that helps stakeholders make informed decisions about building operations.
Better infrastructure for meeting tenant demands
A vast majority of tenants say they would sign a longer lease in a building with superior connectivity infrastructure, or would sign a lease more quickly with the assurance that technology infrastructure in a building meets the business requirements of the organization. Building owners are responsive — 92 percent plan to maintain or increase tenant experience-related technology investments.
Millennials and Gen Z employees see workplace quality as important when choosing an employer, and a majority say they will trade other benefits for better workplaces — even salary.
Specifying with Division 25 improves building operational efficiency, which, when combined with “smart comforts,” reduces occupant complaints. It can lead to a win-win-win throughout the building: employees like amenities, employers want to attract the right people, and everyone appreciates increased responsiveness.
Division 25 adds value for today and tomorrow
Building with Division 25 specifications helps consulting engineers provide builder owners and landlords with additional value, by allowing them to operate with smaller facility staff, minimize wasted floor space, and align cybersecurity practices and protocols.
See our new infographic to learn how Division 25 provides the connectivity layers to deliver real smart building value. Or, contact us to see how Schneider Electric can help you qualify for more profitable Division 25 specifications and smart building constructions. Use the PROficient Premier Access Portal as your go-to information hub to advance your industry expertise.
- Newmark: The Future of Commercial Real Estate: 12 Trends for 2020 and Beyond
- Deloitte: 2020 Commercial Real Estate Outlook
- The Value of Connectivity