Frequently Asked Questions
How Long Does A Commercial EPC Last?
An EPC will last for 10 years.
You will not require a new commercial EPC for every sale or lease of the property as long as the current EPC is valid and there has been no significant changes to the building.
How Do I Know If My Property Has A Valid Commercial EPC?
You can click here to access the government EPC register.
Are Listed Buildings Exempt?
Listed buildings are not exempt from an Energy Performance Certificate.
Listed buildings will require a commercial EPC, unless the compliance with minimum energy performance requirements would unacceptably alter their character or appearance.
To comply with minimum energy performance requirements, some of the recommendations in an EPC report e.g. double glazing, new doors and windows, and external wall insulation could result in unacceptable alterations in some historic buildings. These can include buildings protected as part of a designated environment or because of their special architectural or historical merit (e.g. listed buildings or buildings within a conservation area). In these cases an EPC would not be required.
Unfortunately, you would not know what recommendations are required unless an EPC is carried out in the first place.
We would advise that once an EPC has been carried out and the Recommendation Report produced then depending on what is recommended you could seek the advice of the local authority's conservation officer as to whether the alterations would be acceptable.
The energy rating of a listed building can still be improved by internal alterations that do not affect the character or appearance by upgrading lights, heating & ventilation, internal insulation etc.
An article from leading law firm Mishcon de Reya on the subject can be viewed here
Can You Carry Out EPCs On Residential Properties?
We only carry out EPCs on non-domestic properties, unless the only access to the residential property is through the commercial element of the building. In this situation the residential part of the building can be included in the non-domestic EPC even if the local authority has deemed the residential part as domestic.
e.g if there is a flat above a pub and the only access to the flat is though the pub.
Do I need A Commercial EPC?
As of the 1st April 2023 any commercial property that is privately rented (even if the lease was in effect before the 1st April 2023) will require a commercial EPC.
Any commercial property that is to be sold or rented will require an EPC to be lodged with the non domestic EPC register. Failure to hold a valid commercial EPC may prevent the sale or rental of your property.
Minimum Requirements
All commercial property that has an existing tenant or is to be sold or rented require a commercial EPC with a minimum rating of an E.
Non-compliance may result in financial penalties, which are linked to the rateable value of the property and could potentially reach up to £150,000
The law on MEES (Minimum Energy Efficiency Standards)
The Energy Act 2011 mandates the Secretary of State for Energy and Climate Change to ensure the implementation of regulations aimed at enhancing the energy efficiency of buildings in the non-domestic private rental sector.
Consequently, from April 2018, it has been illegal to issue new leases for properties in England and Wales that fail to meet the Minimum Energy Efficiency Standards (MEES).
Since 1st April 2023, these regulations apply to all non-domestic privately rented properties (even if the lease was in effect before the 1st April 2023). Failure to comply may result in substantial penalties.
Are Any Properties Exempt From A Commercial EPC?
Properties that do not require a commercial EPC under current regulations are:
-
Standalone buildings under 50m2
-
Places of worship
-
Temporary buildings that will be used for less than two years
-
An industrial site, workshop or non-residential agricultural building that doesn’t use much energy
-
Properties to be demolished, properties that are due to be demolished where all the relevant documents and planning permission exists
Implications Of Not Meeting MEES (Minimum Energy Efficiency Standards)
The valuations of properties not meeting the standards are likely to be affected, as their marketability will be diminished.
Rent reviews on F and G rated properties may be adversely affected.
There may be implications for dilapidation assessments, where landlords have a
legal responsibility to ensure the property is maintained to the standard agreed in the contract.
Lenders may refuse to lend against a property that has not met the minimum standards as they will not be able to let them if they inherit the property.
How Long Will An EPC Survey Take?
The survey will typically take between 1 to 2 hours for an average size building. Large complex building may take considerably longer.
How Is A Commercial EPC Calculated?
An onsite non-invasive measured survey is carried out by a qualified Non-Domestic Energy Assessor (NDEA).
The surveyor will look at the following systems present in the building:
-
Heating System
-
Cooling Systems
-
Ventilation & Extraction
-
Lighting
The surveyor will also note the fabric of the building:
-
Wall construction
-
Roof construction
-
Floor construction
-
Window & Glazing Type
-
Age of building
-
The different use (activity) of each area (zones) of the building
This data is then entered into approved government SBEM software which calculates the carbon emissions of the property and produces a rating from A+ to G along with a Recommendation Report. "A+" being the most efficient and "G" the least efficient.
What Is A Level 3, 4 & 5 Building?
For EPC purposes, buildings are graded level 3, 4 and 5.
We are able to carry out commercial EPCs on any level 3 or 4 building. A level 5 building required in depth modelling software using DSM (Dynamic Simulation Modelling).
The difference between the buildings are:
Level 3 buildings are existing commercial buildings with common characteristics and a simple air-conditioning system.
e.g small shops, restaurants
Level 4 buildings buildings have uncommon characteristics and will typically have more complex Heating, Ventilation, and Air Conditioning (HVAC) systems. Level 4 also covers any new build non-domestic building.
e.g large office buildings, large shops
Level 5 buildings will have more specific features such as atriums, automatic blind control and complex ventilation. In depth modelling software is required for these buildings in order to determine their energy performance.
e.g Airports, Shopping Centres
GET IN TOUCH
Serving London, Hertfordshire, Bedfordshire, Oxfordshire, Essex and Buckinghamshire