Brookfield Leverages Decreased Occupancy During Pandemic to Optimize Efficiencies in Downtown L.A. Office Portfolio
LABBC CASE STUDY
PROPERTY OWNER
Brookfield Properties
PROPERTY TYPE
Office
SQUARE FEET
9,249,770 (6 Properties)
Sponsoring Organizations
34.3%
Energy Reduction Since Ownership
49.3%
Water Reduction Since Ownership
2021 Innovation Awards: Industry Leadership (Private) Finalist
“While we are still in the throes of a pandemic, the full impact of COVID-19 has not been realized. We have been able to reduce energy and water consumption with lessened occupancy and establish operational criteria for once occupants return. Our organization’s ability to adjust and modify rather than bend and break due to this hectic pandemic year has been remarkable.”
JAIME VILLARNO
Consulting Company/Sustainability Manager, Leading Edge Consulting Services
CHALLENGE
Brookfield Properties, one of the largest real estate managers in the world, operates more than 650 properties and 325 million square feet of real estate in gateway cities around the globe, including a 10-building portfolio in Downtown Los Angeles. These buildings include office towers at 777 Tower, Bank of America Plaza, Ernst & Young Plaza, Figueroa at Wilshire, Gas Company Tower, Halo and Wells Fargo Center.
In 2020, a majority of Brookfield’s L.A. office portfolio saw a significant decline in occupancy due to COVID-19. While the circumstances allowed the asset manager to benefit from reduced energy and water consumption, Brookfield anticipates energy costs will increase in response to efforts to maintain healthier air quality as tenants begin to reoccupy their spaces in the coming year.
STRATEGY
Brookfield considers sound ESG practices—balancing economic goals with responsible citizenship—integral to creating long-term value for its investors and shareholders. To continue that work, the company completed a variety of efficiency projects in 2020 across its L.A. portfolio, including a water harvesting project and lighting and HVAC retrofits and upgrades. The water project at Bank of America Plaza consisted of a filtration system to remove hardness from thousands of gallons of groundwater a year, which will be injected into the cooling tower to help lower total dissolved solids and increase efficiency by reducing blow down.
At Wells Fargo Center, Brookfield invested in the Siemens Demand Flow program and completed the installation of variable frequency drives for its primary chiller, adjusting and commissioning its HVAC system to more optimally meet operational needs. The company also completed an LED lighting retrofit at loading docks and in locker rooms at the building, installing the Halo lighting system controlled by Lutron System. Similar measures were taken at Ernst & Young Tower, where Brookfield replaced control valves on chilled water lines and rebuilt the cooling tower for retail HVAC with control valves and energy efficiency motors. There, the company also completed a 60,000-square-foot tenant improvement project, complete with a Title 24-compliant lighting control system. At 777 Tower, Brookfield retrofitted all common areas with automated lighting and began work to replace its fire and life safety system, for a savings of more than $100,000.
Brookfield also put extensive measures in place in response to COVID-19, adjusting operating procedures in all of its office buildings to follow public health guidelines and best practices. In addition to increased cleaning and regular communications, Brookfield mandated indoor air quality testing for each building and kept pumps, motors and other systems operational to ensure proper operation and maintenance. At Wells Fargo Center, MERV 13 air filters were installed to replace MERV 8 filters; at Ernst & Young Plaza, humidity sensors were installed to monitor conference and meeting rooms; at Bank of America Plaza, UV disinfecting devices were installed for handrails on four escalators and an anti-microbial coating was applied on metal elevator interiors and call-button panels both in-cab and in elevator lobbies.
IMPACT
Brookfield pushed forward with efficiency projects in 2020 with an aim to maintain ENERGY STAR and LEED Gold or better certifications, reduce energy consumption by 10% and water consumption by 5% for its L.A. portfolio. The company was able to not only achieve—but exceed—each of these goals over the last year. Due to a combination of reduced occupancy and upgraded efficiency systems in place, the company witnessed a reduction in portfolio energy consumption of about $3.9 million, or some 22,800 kWh in 2020. The company looks forward to a return to normal occupancy levels before getting a true reading on much of the savings from projects it implemented in 2020.
Other notable wins the company registered last year include a rebate of $85,000 from LADWP for completion of its Demand Flow and chiller VFD project at Wells Fargo Center and recognition for indoor air quality across its portfolio. Specifically, UL Healthy Buildings, which provides annual indoor air quality testing for Brookfield, awarded the company its most recent accreditation: the UL Verification Mark for Health Buildings.
Brookfield Properties is also focused on improving the communities in which it operates by providing opportunities for employees to donate to a “not for profit” of their choice and receive a match from the company.