30 — November 2024 — Owners, Developers & Managers — M id A tlantic Real Estate Journal
www.marej.com
O wners , D evelopers & M anagers By Shaun Keegan, Solar Landscape
Unlocking revenue opportunities with rooftop solar: A guide for commercial real estate owners
in the com- mercial real estate sector, the need for shovel-ready energy solu- tions is more p r e s s i n g than ever. Expe r t s W
ith data centers and manufacturing facilities on the rise
Rooftop solar not only gen- erates onsite energy but also offers significant revenue op - portunities for commercial property owners. Rooftop Solar is Good Business Leasing rooftop space to a reputable solar developer pres- ents a unique opportunity for property owners. Large com- mercial buildings—especially those with over 30,000 s/f of available roof space—are prime candidates for solar. Commercial real estate own- ers can consider solar leases as a strategic response to market
volatility. In a market char- acterized by softening rental prices and high vacancy rates, many owners are turning their rooftops into a source of steady income. By leasing rooftop space, owners can generate consistent revenue regardless of tenant occupancy or onsite energy needs. Unlike traditional mod- els that required buildings to consume all generated energy, advancements like community solar allow the energy gener- ated to be fed back into the grid. The result? Property own- ers can earn lease payments without needing to utilize the energy produced. Zero Upfront Investment One misconception about rooftop solar is that it requires substantial upfront invest- ment. In reality, the opposite is true. Property owners can host solar arrays with zero invest- ment – and zero hassle. In a third-party ownership model, solar developers finance, build, and maintain the instal- lations. The developer pays the property owner lease pay- ments, enhancing the proper- ty’s net operating income (NOI) without any capital outlay. The developer also handles maintenance of these systems, removing the burden from property owners. Solar Land- scape provides 24/7 monitor- ing and regular inspections to ensure optimal performance, allowing property owners to focus on their core businesses. Ideal Locations Commercial rooftops are some of the best locations for so- lar energy generation. They are typically not used for other pur- poses and are often located near urban centers where energy is most needed. This proximity streamlines energy distribu- tion, mitigates strain on the electrical grid, and reduces the potential for construction de- lays associated with large-scale solar farms. The commercial rooftop so- lar market is at an inflection point for building owners. Current solar programs offer lucrative incentives for early adopters, and those who de- lay might miss substantial financial opportunities. Now is the Time for Rooftop Solar Many states are also imple- menting building perfor- mance standards (BPS), man- dating energy upgrades and continued on page 34
Shaun Keegan
project that electricity needs from these facilities could dou- ble by 2035, underscoring the urgency for new approaches to energy sourcing.
Commercial rooftop solar generates revenue for building owners at no expense to the owner.
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solarlandscape.com | 844.765.2769 | partners@solarlandscape.com
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