Retail Rooftop - Smart Energy Decisions

Recommended Retail Rooftop Unit Lease Language

Type: White Paper
Categories: Commercial, Energy Efficiency
Date Published: 4/1/2016
Source: U.S. Department of Energy Better Buildings Alliance
Primary Topic: Energy Efficiency

In existing leased retail spaces, incentives and costs often do not align to allow commercial tenants and landlords to realize energy savings through efficient heating, ventilating and air conditioning or HVAC system specification, operation and maintenance. While landlords typically own rooftop units, or RTUs, and other HVAC equipment, tenants may be responsible for maintenance and operational use. Furthermore, tenants often contract responsibility for maintenance to a third party vendor, further diluting the incentive for either party to make investments in operational improvements or equipment upgrades. 

This document from the Institute for Market Transformation and the  U.S. Department of Energy's Better Buildings Alliance recommends insertion of clause language into standard commercial leases covering the following aspects of RTU efficiency, assigning responsibility to the tenant, owner, or some combination thereof.

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