Use LED to increase Cap Rate

It's all about ROI

When you buy commercial real-estate the true value isn't just what was paid for it but by what it produces. You need to figure out the income it earns and subtract what the costs are to maintain the property, this is called CAP Rate. By reducing the costs to operate a property you increase the percentage or income as per the cost of the property. When comparing two commercial properties that are priced the same, the one with the higher CAP Rate is more desirable and will either sell faster or a higher sales price can be justified by buyers bidding the price up, higher rents can be justified and higher occupancy can be realized.

Happy tenants, happy accountant

I have spoken with commercial real-estate property managers and they didn't seem to care about making any efforts to lower the power bills for their properties because their tenants paid the energy bills and they had all of their units rented. When new units come available from new construction or existing properties are remodeled and retrofitted for LED reducing their energy cost and everything else being equal a lower power bill can make all of the difference. As difficult as corporate CFOs can be, they do pay attention to the bottom line.

Any flat surface

If a property management company leases roof space to cellular phone companies generating income. Imagine vacant wall space on a building that you could mount a video wall and tenants in your complex could buy add space or even better sublet that add space to manufactures of products they sell ,i.e. cellular plans, radio stations, local TV programming and community events.

Money making activities

Whether it is saving money or making money, it is all business. Lowering energy bills, reducing maintenance, eliminating hazmat disposal expense and increasing lumens all make a difference and when you add them all up and you can show it in cash flow property managers and investors pay attention.