Is There a LEED Cost Premium?
The following examples show there is no one right answer to the question "Does it cost more to build to LEED standards?" Generally speaking, over the life of a building, an effectively designed LEED building is as cost effective as standard construction. LEED buildings with more credits in the Energy & Atmosphere and Water Efficiency categories tend to be more cost effective than standard buildings, over the long term. The initial cost for such buildings may be higher than for standard construction, as the following examples illustrate.
The Rocky Mountain Region found that the initial cost for the Bessey Ranger District office (figure 10) in Halsey, NE, was higher than would have been expected with standard construction. The Rocky Mountain Region staff includes several LEED APs, and one was assigned to shepherd the Bessey Ranger District office project. The 7,700 square-foot office, which includes showers and space for containers used to collect materials for recycling, was the first Forest Service building to be LEED certified at the Silver level. Costs for design, energy modeling, commissioning, construction, and LEED documentation were $143 per square foot, about 11 percent higher than the cost would have been without LEED. The region suspects that there is a higher LEED premium as a percentage of the total building cost for smaller buildings.
Figure 10—The Bessey Ranger District and Nursery office in
Halsey, NE (Rocky
Mountain Region, Nebraska National Forest),
was the first Forest Service building
to achieve LEED Silver certification.
The building achieved four points (the
maximum) in the Innovation
& Design Process category because the district
entered into a
long-term contract to purchase renewable energy credits equal
to
100 percent of the electricity used by the building, cut potable water
use
in half, doubled the required amount of preserved and restored
open space around
the building, and created an exhibit explaining
the sustainable features of
the building. District employees provide
presentations on the building's
sustainable features.
What Line Officers Need To Know
Those who haven't kept up with directives and regulations in the last couple of years may be surprised to learn that buildings designed for the Forest Service, whether LEED certified or not, must use many of the sustainable design strategies that earn LEED points. These requirements will result in better Forest Service buildings, but there will be an initial cost premium over other buildings constructed to meet just the minimum building code requirements.
The Southern Region has not experienced any cost premium for design and little if any cost increase for construction of several LEED office projects. The Southern Region has several LEED APs on the Regional design staff, and they often do much of the LEED documentation and commissioning. The Sylamore Ranger District office (cover figure) in Mountain View, AR, was the first Forest Service building to be LEED certified. It is certified at the Basic level because design for the building was completed before the Forest Service required LEED Silver certification. The cost of construction was $175 per square foot for the 4,877 square-foot building.
The Southern Research Station paid 35 percent more than standard construction costs for the Savannah River Forestry Sciences Laboratory (figure 11) in Aiken, SC. Stringent design standards at the County Research Campus, where the lab is located, were responsible for some of the cost increase. The 3,734 square-foot lab building cost $223 per square foot. The facilities engineer in charge of the project is a LEED AP. The contractor, however, was inexperienced with LEED. The station experienced more challenges in obtaining LEED Silver certification for the small, specialized lab than it would have for an office building.
Figure 11—The Savannah River Forestry Sciences Laboratory
in Aiken, SC
(Southern Research Station), uses operable steel
shutters over the insulated,
low-emissivity windows to protect the
interior from the sun's heat. Other
sustainable design features
include a ground-source heat pump heating and air-conditioning
system, highly efficient light fixtures, minimal storm water runoff
and improved
runoff water quality, and retention of nearly
all the
site's existing
vegetation. The lab is 33 percent more energy
efficient
than a standard building.
The "rockets" on the roof are actually lab hood vents.
Other than extra costs for LEED certification and documentation, the Southwestern Region probably hasn't experienced cost increases that are directly attributable to LEED, although the recent huge increase in construction costs makes it hard to tell. The Southwestern Region has two offices under construction at the time of publication that should achieve LEED Silver certification: the 8,300 square-foot Verde Ranger District office (figure 12) in Camp Verde, AZ, and the 10,250 square-foot Sacramento Ranger District office (figure 13) in Cloudcroft, NM. The offices were first advertised locally as design-build projects. There were no bidders because local contractors and architects had plenty of other work at the time and they felt that LEED Silver certification would be too time consuming. When the two offices were advertised as a single design-build project nationally, based on conceptual designs developed by Forest Service staff, 15 firms bid. The region feels that the integrated decisions of the design-build process and a focus on value engineering and cost-effective design choices have been integral to containing costs.
Figure 12—The Verde Ranger District office in Camp Verde, AZ
(Prescott
National Forest, Southwestern Region), will be water
efficient, both inside
and outside, and will employ many other
sustainable design strategies. Construction
began on the steel-roofed
building during 2008. Stucco and rock siding and
window detailing
complement traditional buildings in the area.
Click here for the long
description.
Figure 13—The Sacramento Ranger District office in Cloudcroft,
NM (Lincoln
National Forest, Southwest Region), was about
68 percent
complete when this
photo was taken in
September
2008. The locally produced wood trusses visible
in the photo
will be a dramatic feature in the finished entry and lobby area.
Other locally produced products that will be used in the structure
include
gypsum board, carpeting, landscaping, asphalt, and concrete.
The Northern Region's Sandpoint Ranger District (figure 14) in Sandpoint, ID, will be that region's first LEED-certified building. The region paid about $25,000 extra for the building design and LEED registration. Although the design firm's staff included several LEED-accredited professionals, the staff may not have been experienced in cost-effective, energy conscious design. Although the region hopes to achieve LEED Silver certification for the building, the design may not have been as effective as it could have been if the designers had been more experienced in LEED and integrated design. The construction contract for the Sandpoint Ranger District office had not yet been awarded at the time of publication. The architect's estimate of about $250 per square foot is a 10-percent initial construction cost premium for the 13,336 square-foot building. Construction on the new office was scheduled to start in early 2009.
Figure 14—The design for the Sandpoint Ranger District office
in
Sandpoint,
ID
(Idaho Panhandle National Forests, Northern Region), includes the
use
of
locally produced small-diameter logs for bundled columns and trusses
supporting
the porch and lobby area roofs. A ground-source heat pump
will supply energy-efficient
heating and cooling.
Click here for the long description.
Some costs of LEED design are unavoidable, including the costs of LEED registration, documentation, commissioning, and submittal. However, extra construction costs can be avoided in many cases by using cost-effective design strategies (figure 15). It pays (literally) to use designers who are comfortable and experienced with integrated design methods and with LEED design and construction.
Figure 15—Although not LEED certified, the leased building that
the Lincoln
National Forest Supervisor's Office (Southwestern
Region) shares with
several other USDA offices has many sustainable
features. For example, the
110 solar panels on the roof provide
15 percent of the electricity used in
the building.
A table has been developed using data from 19 Forest Service LEED offices across the country that shows initial costs and life-cycle payback time for each LEED credit. See the "LEED Prerequisites and Points for Forest Service Offices" table in appendix A.