The Value Of Energy Star Certification Image 99

ENERGY STAR is the trusted, government-backed symbol for energy efficiency helping building owners save money and protect the environment through energy-efficient products and practices. Your building can earn ENERGY STAR certification just like the appliances with which we are familiar and save money, save energy, and help protect the environment by generating fewer greenhouse gas emissions that typical building.

ENERGY STAR certified buildings use an average of 35 percent less energy and are responsible for 35 percent fewer greenhouse gas emissions than average buildings.  They also cost $.54 less per square foot to operate and have higher rental and occupancy rates.

ENERGY STAR Eligibility

  • A building must earn an ENERGY STAR score of 75 or higher.  This indicates that the building performs better than at least 74 percent of similar buildings nationwide.  
  • The building’s performance must be verified by a third-party, licensed professional - such as Pegasus.
  • Certification is Annual -Certification is given on an annual basis, so a building must maintain its high performance to be certified year to year.
  • Property Types Eligible for ENERGY STAR Certification  Not all property types qualify for ENERGY STAR certification.
    See the ENERGY STAR list for the property-types that can qualify.

Cost of ENERGY STAR Certification

There is no cost to apply for certification. However, you’ll need to get your application verified and stamped by a licensed Professional Engineer (PE) or Registered Architect (RA). This means they’ll need to sign off on a few things: your reported property use characteristics (including square footage of the building), your energy data, and whether each of the indoor environment criteria has been met. This requires a site inspection by the Licensed Professional - that's us.  Contact Pegasus to get your building ENERGY STAR Certified.

Value of ENERGY STAR Certification

Studies have shown that ENERGY STAR certified buildings:

  • Have lower operating costs
  • Are more marketable
  • Contribute fewer greenhouse gas emissions to the environment
  • Command higher rental rates
  • Have increased asset value

But you don’t have to take the EPAs word for it. Academic and industry research supports the value of certifying your building as ENERGY STAR. Below is a summary of several studies that evaluated the added market value of ENERGY STAR certified buildings.

Value Energy Star Graph

Source:  Benchmarking and Disclosure:  Lessons from Leading Cities, based on data from the Institute for Market Transformation.

Top 5 Reasons to Become ENERGY STAR Certified

1. Connect with Customers

In an era when fears of “greenwashing” abound, cut through the clutter with ENERGY STAR, the most trusted environmental label in the United States. More than 85 percent of Americans recognize it when they see it. And ENERGY STAR is the only energy efficiency certification that is based on actual, verified energy performance, making your buildings more attractive to potential buyers and lessees who want guaranteed savings.

2. Higher Income and Increased Rental Value

Reliably persistent energy performance makes it more likely that the higher net operating income from energy cost savings will be recognized through higher building valuation. Experienced managers of large portfolios of ENERGY STAR certified buildings interviewed for one study confirm that ENERGY STAR helps increase building value. ENERGY STAR certified buildings generate more income when compared to similar buildings.

3. Reduced Greenhouse Gases

Because ENERGY STAR certified buildings are verified to use 35 percent less energy, on average, than similar buildings, they can also be verified to contribute 35 percent fewer greenhouse gas emissions to our atmosphere. By earning the ENERGY STAR, you’re joining the front lines in the fight against climate change.

4. Increased Occupancy Rates

ENERGY STAR certified buildings have higher occupancy rates when compared to similar buildings. A 2008 study conducted by the University of San Diego's Burnham-Moores Center for Real Estate showed that ENERGY STAR certification gave a roughly 4 percent boost to occupancy rates.

5. It's the Right Thing to Do

Americans are big believers in doing the right thing, and they expect the same of the professionals in their communities. Sixty-eight percent of adults like to do business with environmentally responsible companies.  More than 80 percent of workers are attracted by an employer with an environmental reputation. And about half of workers said they would forgo higher pay or a promotion to work for an organization with a good reputation.

To explore getting your building ENERGY STAR certified contact Pegasus at 415-937-5046 or