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Big green: Demand for green building is up in Florida

By 2016, says McGraw Hill Construction’s most recent construction market report, “green” houses will constitute between a quarter and third of the market for single-family homes. More than 70% of single-family home builders and nearly 70% of multifamily builders now believe consumers will pay more for green homes.

That’s the calculation at a host of residential — and commercial — developments all over Florida these days. At least 200 buildings in south Florida have gone to the trouble and expense of getting green-certified under the U.S. Green Building Council’s LEED system.

The Aventura Optima, a commercial building in Aventura, recently became the second office tower in the state to achieve the highest LEED rating.

On the residential front, a community called Green Key Village that’s under development in Lake County claims homes there will be “net-zero,” meaning they will produce as much energy as they use.

Meanwhile, Lakewood Ranch, the fastgrowing 8,500-acre master-planned community between Sarasota and Bradenton on the state’s west coast, markets itself as “the Largest Green Community in America” — every section of the development built since 2005, it says, has incorporated green features, building products and techniques (“Communities,” page 75).

While market acceptance of green certification is growing fast, it has been difficult to quantify the economic return a green certification brings to a developer or homeowner.

That’s starting to change, however. A 2012 study of 1.6 million homes sold in California between 2007-12 found that homes with green certification fetched an average 9% higher price than others.

In Florida, Nathan Ritter, the 2014-15 president of the Florida Green Building Coalition, an association of consultants, builders and government representatives that promotes green building, estimates that commercial buildings with green certification can charge between 3% and 5% higher lease rates than others.

Green certification “attracts better tenants,” says Ritter. Prospective tenants see a green label and expect lower water and electric bills and a higher-quality structure overall. For a developer, Ritter says, getting a building certified as green can be an effective marketing tool that helps offset the cost of meeting green building standards.

Ritter is vice president of an Orlando company, GreenBuilt Solutions, that offers consulting services to builders looking to meet green certification standards.

Perhaps the biggest indicator that green development has reached some kind of critical mass is the proliferation of groups offering green certification programs — the stamps of approval that a residential or commercial project is, in fact, actually “green.”

In the beginning, there was LEED (Leadership in Energy and Environmental Design). That system was established in 2000 by a non-profit group called the U.S. Green Building Council. Certification is based on points awarded for various aspects of the development and construction processes — including location, water and energy efficiency, materials and indoor environmental quality.

The LEED program has four certification levels — certified, silver, gold and platinum. Hiring the consultants and evaluators it takes to gain LEED certification can add between one-half and 1% to the design and construction costs of a home or commercial project, along with the time required. For most building projects, the process typically involves hiring a consultant to help during the planning and design process and then a third-party evaluator who checks the work once it’s done. Both consultant and evaluator must be accredited in the program granting the certification.

The LEED system continues to dominate the green-certification market — there are now more than 44,000 LEED buildings in the U.S., and more than 70% of all construction projects of $50 million or more now seek LEED certification, according to McGraw Hill.

But there are other groups in the green-certification business. A nonprofit called the Green Building Initiative developed a ratings system called Green Globes and has been marketing it since 2004 as a simpler alternative to LEED.

Some green advocates dismissed the Green Globes program initially because its founders included representatives from chemical, plastics and timber industries. But a new president, Jerry Yudelson, formerly associated with the LEED program, has given Green Globes credibility and nudged the industry reps to the sidelines. Earlier this year, the U.S. General Services Administration announced that it would accept Green Globes certification as an equivalent to LEED.

LEED standards have traditionally been more stringent, and fees for Green Globes projects can be higher than LEED fees, according to Seattle-area architect Stuart Hand, but he writes that the Green Globes process “takes significantly less time” than LEED and that other associated costs are lower.

At least one Florida college, Florida International University’s Chaplin School of Hospitality and Tourism, offers training in becoming a Green Globes consultant.

In addition to LEED and Green Globes, there’s also a Seattle-based program called Living Building Challenge, which bills itself as “a building certification program, advocacy tool and philosophy that defines the most advanced measure of sustainability in the built environment possible today.” That program includes performance categories for “Health and Happiness” and “Beauty.”

Many states, including Florida, have locally based certification programs. The Florida Green Building Coalition, a non-profit group, has developed its own set of standards recognized as an equivalent to LEED by many Florida communities. Miami, for example, now requires all new commercial buildings of more than 50,000 square feet to meet either LEED silver or Florida Green Building Coalition standards.

Ritter, who is accredited in both the Florida Green Building Coalition system and LEED, says criteria for the two are similar and projects tend to receive similar scores.The Florida Green Building Coalition system, he adds, incorporates elements that take into account Florida’s humidity, insects, the threat of storms and the fact that for most homes in Florida “cooling is much more an issue than heating.In most of the rest of the country, heating is much more an issue,” he says.

How good a job the various certification programs do at creating environmentally sound buildings is a matter of discussion, particularly as governments embrace the standards — and the costs they impose on builders and taxpayers. Numerous reports have documented, for example, how some LEED structures don’t deliver on water and energy savings. According to U.S. News & World Report, a study of 11 Navy facilities “determined that four LEED buildings performed more poorly on energy savings tests than non-certified structures; four others had only slightly better performance.”

Defenders of green certification programs say no set of standards can provide an absolute guarantee that a building will perform perfectly from an environmental standpoint — in the same way that a car made of parts that all meet the “specifications” for that model can still turn out to be a “lemon.”

Ritter says that “with any system you can find buildings that don’t perform that well. But I definitely think we’re building better buildings today” than 10 years ago.

“I would say that going through the certification process forces project teams to pay attention to things that matter for the environment,” he says. “Overall, if it’s forcing them to track and document what they’re doing, it should lead to higher-quality, better-performing buildings.”

Communities

By Mike Boslet

Many new residential developments in Florida are navigating the space between what green purists might call sprawl and what developers see as marketplace reality. Can a new community miles away from an existing city center really be green? What if all its homes incorporate state-of-the-art green features that save more energy and water than existing, closer-in homes? Can a new lawn that requires mowing, pesticides and fertilizers be green? What if that lawn uses a variety of grass that requires less of all those things than others?

Growth in Florida inevitably means home construction. Ultimately, even if the homes come with a green certification, green will be in the eye of the beholder.

Zero Energy America Village

Marc Rutenberg Homes expects to break ground in March on a zero-energy prototype neighborhood of custom homes near the Pinellas-Pasco county border. Zero Energy America Village will offer 14 homes ranging from 1,850 square feet to 2,800 and priced from $400,000 to $600,000. The homes will include several green features, including recycled quartz counter tops and recycled glass tile, Energy Star appliances, 80-gallon solar thermal water heaters, and dehumidification and air-exchange systems. Each home will rely mostly on an 8- to 10-kilowatt photovoltaic solar unit for power.

Lakewood Ranch

In 2005, the owner of Lakewood Ranch decided that all future homes in the 8,500-acre community would be built according to the Florida Green Building Coalition’s Green Home Standard.

Schroeder-Manatee Ranch Inc., the project’s developer, owns more than 30,000 acres east of I-75, mostly in Manatee County. SMR is owned by the Uihlein family of Milwaukee, heirs to the fortune amassed by the Schlitz brewery.

SMR began developing Lakewood Ranch in 1995, maintaining cattle, citrus, vegetable, turf, mining and tree farm operations on the balance of its property.

Lakewood Ranch, now with more than 15,000 residents, boasts being the largest green-certified master-planned community in Florida. More than half of its land is set aside for preserves, open spaces and nature trails. Home buyers can choose from among an array of green features, from “low-volatile-organic-compounds” paint to rainwater harvesting systems to injected wall insulation and energy-efficient appliances.

SMR is “trying to build homes in a manner that conserves resources, creating a healthy indoor environment and preserving nature as much as possible,” says Lisa Barnott, director of communications and marketing at Lakewood Ranch.

One green element required of all homes and common areas is the use of zoysia, an FGBCrecommended turf grass that produces a lush lawn but resists chinch bugs and drought better than the St. Augustine varieties commonly in use in Florida.

Both turf varieties — zoysia is more expensive — require regular maintenance, including irrigation, mowing and fertilizers and pesticides. But Gary Bradshaw, president of SMR Farms, the agribusiness division of SMR, says the change to the Empire variety of zoysia has cut down on sod replacement.Empire also fares better when deprived of water for extended periods and can come back from severe drought.

Babcock Ranch

On-again, off-again Babcock Ranch developer Kitson & Partners’ sustainable city of the future is back on, with plans to start construction next year. Phase one of the 17,400- acre development in southwest Florida includes building outdoor recreational amenities, a health and fitness center, and residential and commercial units. Kitson’s project calls for building nearly 20,000 homes over 20 years, with the city growing to 50,000 residents. Meanwhile, Florida Power & Light says it remains committed to building a 75-megawatt photovoltaic solar-energy plant on Babcock land but has yet to set a start date for construction. The solar array is the linchpin in Babcock Ranch’s claim that it will be the first solar-powered city in the world.

Businesses

Chico’s National Store Support Center

The women’s apparel retailer’s 130,000-sq.-ft. National Store Support Center in Fort Myers includes several energy- and water-saving features, plus health conscious amenities. Among the building’s features are occupancy lighting sensors, maximized natural lighting in occupied spaces, low-flow water fixtures, and a fleet of electric- and solar-power golf carts for getting around the campus. The site also offers jogging trails, a health and wellness center with free personal training, and food service with locally grown and organic products.

First Green Bank, Winter Park

Mount Dora-based First Green Bank recently opened a branch in Winter Park meant to showcase the lender’s commitment to sustainable living. The 4,500-sq.-ft. branch is a repurposed stereo store refitted to LEED gold certification standards. The banking center is insulated with expandable spray foam insulation and outfitted with a 65-kilowatt rooftop photovoltaic solar system, energy-efficient windows, occupancy lighting sensors and waterless urinals. Trees that were cut down on the site were recycled to make flooring and cabinetry. First Green Bank CEO Ken LaRoe says he expects the branch to reach net zero energy, meaning it produces at least as much energy as it consumes. The bank’s headquarters building is LEED platinum certified.

Habitat

Habitat for Humanity South Sarasota County builds all its homes according to the Florida Green Building Coalition’s standards. Green upgrades include spray foam insulation, dualpane, impact-resistant windows, Energy Star appliances, fans and lighting and a high-efficiency SEER 15 heat pump. Recently the U.S. Department of Energy presented the South Sarasota and Southeast Volusia Habitat affiliates with Affordable Builders Awards at the agency’s 2014 Housing Innovation Awards conference. DOE says the awards “recognize the very best in innovation on the path to Zero Energy Ready Homes,” an agency sustainability program.

Trends

Heat Pump Water Heaters

In homes with high-efficiency airconditioning systems, homeowners may be paying more to heat their water than cool their homes. Traditional water heaters with heating elements inside the water storage tank are inefficient and guzzle electricity.A new generation of water heaters uses a heat pump system with a compressor and evaporator — like an air-conditioning system in reverse — to move heat from one place to another rather than generating it. Heat pump water heaters like GE’s 50-gallon GeoSpring model can sell for between $900 and $1,200 — considerably more than traditional water heaters of similar capacity, but they are up to twice as efficient. Many can pay for themselves in as little as two years, and some approach the efficiency of solar water heaters at a fourth of the price, says Nathan Ritter of Green- Built Solutions in Orlando.

Polished Concrete Flooring

Turning a home or commercial building’s concrete slab into a decorative floor is one of the hotter trends in green building. Polished concrete flooring eliminates the energy, materials, waste and chemicals that go into covering the slab with another surface, like bamboo, carpet or tile. It’s also long-lasting and requires no waxing or chemical treatments to retain its shine.Gary Middleton, owner of Commercial Interiors in Tallahassee, says demand for polished concrete flooring has boomed the last two of the 10 years his business has offered it. “More and more people are conscious of the environment, and they want to use what’s available,” he says.

The process involves smoothing and leveling the slab, then applying dyes or stains and sealers. Stamped or stained, the finished surfaces can resemble high-end flooring like terrazzo, marble or flagstone. The reflective surface enhances natural and overhead lighting, reducing the amount of energy needed to light an area. Middleton points out that an uncovered surface aids indoor air quality.

Polished concrete flooring is less expensive than additional flooring, running about $6 to $8 per square foot compared with about $12 to $15 per square foot for a terrazzo or marble floor, respectively.

Drip Irrigation Systems

In new commercial construction, drip irrigation systems using perforated underground hoses have mostly replaced traditional spray systems. Drip systems are now beginning to spread more to residential use, says Ritter, of GreenBuilt Solutions.Rainwater harvesting systems using rain barrels to store water that’s then used for irrigation are becoming more common as well, but Ritter doesn’t expect such systems to make inroads into more widespread use — for toilet-flushing or even potable water — as long as water remains so cheap.

Recirculation Pump

One person waiting two to five minutes for hot water to arrive in the shower wastes 1,460 to 3,650 gallons per year. And that’s with a low-flow showerhead dispensing no more than 2 gallons per minute vs. 2.5 GPM with a regular showerhead. Eco Construction of Mount Dora is among home builders that install small recirculation pumps, which typically cost about $500 each, as a water-savings measure. A pump constantly circulates water from the water heater to the farthest water fixtures to maintain an immediate supply of hot water. Recirculation “pumps are part of our standard,” says Bobby Rhodes, president of Eco Construction. “Most people don’t like waiting for hot water, so it’s not a hard sell to clients.” Rhodes adds that his clients are very aware of the importance of water conservation.The extra energy use of a pump is minimal and more than offset by water savings.

Incentives

Federal, state and local governments as well as public and private utilities offer dozens of incentive programs that encourage homeowners and businesses to conserve energy and water. To learn more about the programs, go online to dsireusa.org, an aggregator run by the North Carolina Clean Energy Technology Center and partly funded by the U.S. Department of Energy. Click on Florida and view the scores of eco-incentives, ranging from property and sales tax breaks to rebates to low- or no-interest loans. The site also provides links to federal programs, including the Residential Renewable Energy Tax Credit, a 30% personal tax credit on the cost of installing green energy platforms like wind and solar. Also worth perusing: Energy.Gov/savings and floridagreenbuilding.org/incentives.