The CRE industry is at an important crossroad.
Market growth is slowing with many players posting average growth. New development activity is at record lows across most property types. The only exception being multi-family and hotel projects.
Furthermore, there are growing concerns about climate change and environmental degradation. According to the U.S. Department of Energy, commercial buildings account for 35 percent of energy usage and 16 percent of carbon dioxide emissions in the U.S. These metrics paint CRE as one of the highest polluting industries. This fact has made the industry a major target for climate action. As such, the government is putting pressure on CRE owners to adopt more sustainable practices or risk severe financial penalties.
The situation has left many property owners and managers in an uncertain position. Balancing your top line and bottom line growth with the government’s ever-evolving sustainability guidelines is almost impossible.
Fortunately, there are strong and rewarding incentives to adopt more sustainable practices. The government, along with utility companies, are offering aggressive rebate programs to do so. But beyond government incentives, greener buildings inherently have strong cost benefits. These include reduced costs, slower depreciation, higher tenant demand, and greater sale prices.
However, owners are finding it difficult to effectively take advantage of these opportunities. There are numerous energy incentives and rebate programs to sift through. None of which are centrally located or easy to find. Then complicated application and evaluation processes dissuade owners from taking action. In addition, the lack of technical expertise and resources to implement these changes further complicates the situation.
Enter Source Forward
Source Forward was founded to address these challenges. We’re a sustainability-focused company dedicated to helping CRE owners and managers navigate the complex landscape of energy efficiency, rebate programs, and sustainable building practices.
“We saw a gap in the market,” says Edgar Li, CEO of Source Forward. “Property owners want to make their buildings more sustainable, but they’re overwhelmed by the complexity and upfront costs. We’re here to simplify that process and make sustainability not just accessible, but profitable.”
Source Forward offers a comprehensive suite of services designed to help property owners reduce their carbon footprint while improving their bottom line. These services include:
- Energy Efficiency Assessments: Detailed evaluations of buildings to identify opportunities for energy savings.
- Rebate Administration: Navigating the complex landscape of government and utility rebate programs to maximize financial incentives.
- EV Charging Solutions: Installing and managing electric vehicle charging stations to meet growing tenant demands and comply with regulations like Local Law 55.
- Smart Controls Implementation: Deploying advanced building management systems to optimize energy usage and improve tenant comfort.
- Energy Procurement: Securing the most cost-effective and sustainable energy sources for properties.
- Local Law 97 Compliance: Helping New York property owners meet the stringent requirements of Local Law 97 to avoid penalties.
What sets Source Forward apart is our end-to-end approach. Unlike traditional consultants who simply provide recommendations, we handle the entire process from assessment to implementation to ongoing management.
Making Sustainability Profitable
The core philosophy at Source Forward is that sustainability and profitability are not mutually exclusive. In fact, they can be mutually reinforcing.
“Many property owners see sustainability as a cost center,” explains Li. “We’re showing them that it’s actually a profit center. By reducing energy costs, accessing rebates, and increasing property values, sustainable practices can significantly improve ROI.”
This approach is resonating with clients across the commercial real estate spectrum. From office buildings to multifamily properties, owners are discovering that working with Source Forward not only helps them meet regulatory requirements but also enhances their financial performance.
One client, a major office building owner in New York City, saved over $500,000 in energy costs and secured more than $300,000 in rebates after implementing Source Forward’s recommendations. Another client, a multifamily property manager, saw tenant satisfaction scores increase by 15% after installing EV charging stations and smart building controls.
A Comprehensive Approach
What truly distinguishes Source Forward is our comprehensive approach to sustainability. We don’t just focus on one aspect of building performance; we look at the entire ecosystem.
“Energy efficiency isn’t just about changing light bulbs,” says Li. “It’s about optimizing HVAC systems, improving insulation, implementing smart controls, and much more. We take a holistic view of each property to identify all opportunities for improvement.”
This comprehensive approach extends to our service model as well. We provide complete services that go far beyond consulting. We’re not here to deliver research reports. We’re here to build your bottom line.
“We’re far more than consultants,” notes Jamie DeNicola, Head of Business Development. “We’re sustainability partners who are fully invested in our clients’ success. From the initial assessment to project execution to managing rebates, we take care of the entire process.”
With climate change continuing to be an ever-growing concern, the need for sustainable building practices is expected to only grow further. In this context, Source Forward is taking a leading role in the sustainability movement. By making sustainability both accessible and lucrative, we’re driving CRE forward into a greener, profitable future.
