Telergy Building, Syracuse, NY

  • Class A suburban office building
  • 116,000 net rentable area
  • 9.7-acre parcel with 430 parking spaces
  • Built in 1981 and significantly expanded in 1999
  • An energy hog in a depressed market

Telergy Appraisal

  • Telergy defaulted on mortgage to HSBC in August 2001 and soon after filed for bankruptcy.
  • HSBC commissioned appraisal.
  • Draft appraisal based on historic utility bills of $4.46 psf valued property at $4,300,000
  • HSBC-commissioned energy analysis revealed tenant-specific electric loads (telecom and data centers).
  • normalization of energy bills led to $1.2 million increase in appraised value to $5.5 million - a 28% increase.

GREAT RESOURCE LINKS

QUOTE

"Three years: That's how long before the market turns non-green buildings into financial and competitive liabilities for the tenants that occupy them and the firms that own them"
- Source: Charles Lockwood (2008). Deloitte/Lockwood Study.
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