Four buildings in Mission Valley, most with multiple tenants, were producing revenue, but the bare rooftops were not being put to good use to maximize the return on the real estate investment. The property owner was looking to create an additional revenue stream without disrupting or displacing any tenants.
HES Renewables designed and installed several rooftop arrays composed of a total of 549 panels across the roofs of the four buildings. The systems on the property create a combined estimated output of 428,386 kWh and offset utility consumption by 103%. The system delivers energy to the various tenants through Ivy Energy’s billing software.
The solar system is set up to operate as a small, local power plant. Each tenant can now operate their business on renewable energy while the property owner bills each unit for its energy use each month. The HES Renewables system created a new revenue stream for the location that will quickly pay for itself and improve the property’s Net Operating Income for decades.
The initial cost of the system was offset and the system immediately benefitted the property owners through incentives such as the Investment Tax Credit, California’s MACRS Depreciation, and the Federal 100% Bonus depreciation option.
Also, as more businesses look to lower their carbon footprint, the ability to offer solar-powered office space can retain current tenants and attract new tenants if a unit becomes available.
“It’s incredibly rewarding to bring energy cost savings and increased operations cost predictability to more and more businesses. As utility rates climb, solar’s overall value only increases. The payback period on a commercial solar system is impressively quick, allowing solar projects to provide a strong Return on Investment and then continue to deliver tremendous cost savings for decades. A commercial solar system is one of the best investments a company can make.”
Wenjie Chen, Vice President, HES Renewables
We are a San Diego-based solar energy production and energy storage installation company. We have been an energy innovator since 2001 and can handle projects from solar-only arrays to micro-grid solar and storage systems with on-site EV charging stations.
If you’re looking into the benefits of on-site energy production, energy storage, or EV Charging capability, we’d love to speak with you. We’ll show you how to lower and stabilize energy costs, receive the maximum incentives, open new revenue streams, and gain control over one of the largest expenses of your business or commercial property.
Click here to be contacted by an HES Renewables representative, or simply dial us at 866-HES-RNEW (866-437-7639).