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Non Domestic (Commercial) Energy Performance Certificates (EPCs)
Selling, renting or building commercial property? You probably need a Commercial EPC – or Energy Performance Certificate.
CEADA are fully accredited and able to provide Level 3 / 4 /5 and New Build Commercial EPCs, offering a quick, reliable and competitive service. We have many national clients and offer full England/Scotland/Wales EPC coverage. We are happy to quote on any size of portfolio or building from a single corner shop to a portfolio of thousands. Our aim is to make the Energy Performance Certification process as straightforward as possible for you.
An EPC or Energy Performance Certificate is required upon the sale or let of most commercial properties – there are a few exceptions.
The first page of the EPC including the graph should be attached to all advertising, electronic or marketing media. Agents may be asked by Trading Standards Officers to prove that an EPC has been ordered prior to marketing and will have seven days to produce an EPC – although there is a 21 day exceptional circumstance clause.
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What is a Commercial EPC?
Do I need a Commercial EPC?
When is the EPC required?
How long is an EPC valid for?
Are there any circumstances where I don’t need an EPC?
What happens if I do not have an Energy Performance Certificate?
What if I have a building that is subdivided into separate parts?
The certificate records how energy efficient a property is as a building and provides A-G ratings. These are similar to the labels now provided with domestic appliances such as refrigerators and washing machines.
They are produced using standard methods and assumptions about energy usage so that the energy efficiency of one building can easily be compared with another. This allows prospective buyers, tenants, owners, occupiers and purchasers to see information on the energy efficiency and carbon emissions from their building so they can consider energy efficiency and fuel costs as part of their investment.
An EPC is always accompanied by a recommendation report that lists cost effective and other measures (such as low and zero carbon generating systems) to improve the energy rating. The certificate is important because nearly 50 per cent of the UK’s energy consumption and carbon emissions arise from the way our buildings are lit, heated and used. Even comparatively minor changes in energy performance and the way we use each building will have a significant effect in reducing energy consumption
More information can be obtained at the Communities and Local Government (CLG) website.http://www.communities.gov.uk/planningandbuilding/sustainability/
If you are selling, renting or building commercial property, you need a Commercial EPC. There are a few exceptions – see ‘circumstances where I don’t need an EPC’ below for details.
If a building is split into parts ‘designed or altered to be used as separate accommodation’ the parts may each require their own EPC. The sale and let of commercial buildings can be complex with multiple tenancies and uses. Whether you need a single or multiple EPCs may depend on the heating systems and your future plans for the building. See ‘What if I have a building that is subdivided into separate parts’ below, or contact CEADA for free guidance on the most cost effective solution to your buildings EPC requirements.
An EPC should be provided to a prospective buyer or tenant at the earliest opportunity and no later than when a viewing is conducted or when written information is provided about the building. Even if no marketing takes place it must be provided before entering into a contract to sell or let. The EPC should be ordered prior to marketing and be obtained within 7 days of marketing – although there is a 21 day exceptional circumstance clause.
An EPC is valid for up to 10 years, unless a newer EPC is produced for the property, in which case only the latter is valid.
The penalty for failing to make an EPC available to any prospective buyer or tenant when selling or letting non-dwellings is fixed, in most cases, at 12.5% of the rateable value of the building, subject to a minimum penalty of £500 and a maximum of £5,000. There is a default penalty of £750 where the formula cannot be applied. The EPC will still be required.
Selling or letting a building as a whole: You need an EPC for the whole building. If that building has parts designed or altered to be used separately with separate heating systems then it is also permissible to provide EPCs for each of the individual parts, plus an EPC for any communal areas.
Selling of letting part of building, where the building has a common heating system: If a building has a common heating system, then the seller or prospective landlord can prepare an EPC for the whole building or for the individual part designed or altered to be used separately (in which case Communal areas are ignored).
Buildings with separate parts and separate heating systems: An EPC should be prepared (or made available) for each part of a building that is being offered separately for sale or let. If selling or letting the whole building it is permissible to provide EPCs for each of the individual parts plus an EPC for the conditioned communal areas or provide one EPC for the whole building.
Residential accommodation: Any separate residential accommodation that is self-contained will require its own domestic EPC. Residential space that can only be accessed via commercial premises (i.e. a house with a shop in a downstairs room or a shop with accommodation where the access is through the shop) will be assessed with the commercial premises as a single building.