North American urban centres contain hundreds of mid-20th century mid- and high-rise buildings, many of which have cladding systems approaching the end of their design service life. There are many options available to building owners, including: continued maintenance; selective repair or replacement; large scale systems replacement, or; whole-building renewal and re-cladding. These interventions typically provide opportunities for extending the useful life of a building, addressing ongoing performance concerns, reducing energy consumption, improving occupant comfort, and updating a building’s aesthetic.
Building renewal projects are subject to an array of market challenges: the ‘Class’ ceiling, static revenues, existing tenants and lease agreements, rent pressures, vacancy rates, capital expenditure forecasts, leasing partnerships, etc. Further, there are very few examples in the marketplace that demonstrate whether whole-building recladding projects have an attractive return on investment.
This session will provide an overview of the existing buy, hold, and sell approach – or “real estate hot potato” – that can leave buildings in a deteriorated state and owners at risk. We will analyze the building renewal ‘decision arc’ for existing building owners using case studies and will assess factors leading to building renewal such as risk mitigation, measured and predicted cladding deterioration, revenue generation, and improved aesthetics. This session will include information on the steps and processes used to move building renewal from an idea to implementation and will provide useful information to owners, designers, and contractors exploring opportunities in the building renewal market.