NEARLY a third of Scotland’s office space could soon be rendered unusable if the Scottish Government follows the Minimum Energy Efficiency Standards (MEES).
Under rules brought in on April 1st 2023 in England and Wales, non-domestic properties that fail to meet certain efficiency standards cannot be let to an occupier.
If the standards that apply to England and Wales are brought into effect in Scotland, the vast majority (79%) could be unlettable by 2030, according to analysis from real estate company Knight Frank.
The MEES rules will be tightened further in the coming years.
From April 2027, commercial properties will need at least an EPC rating of C to be lettable, while in 2030 this will rise again to only buildings that achieve an A or a B rating.
The independent commercial property consultancy found that 29% of Scotland’s office stock has an Energy Performance Certificate (EPC) rating of E or below.
If Scotland follows a similar path, more than half – 55% – of office space will need to be brought up to a C rating or better.
Just one-fifth, 21%, of current office space in Scotland is rated B or above – with 8% achieving A or A+.
Edinburgh has the highest percentage of properties rated C or better of Scotland’s three largest cities, with 53%. Meanwhile, Aberdeen has the highest percentage of space with an A or B rating at 24%.
Toby Withall, office agency partner at Knight Frank, said: “It seems inevitable that there will be some form of legislation coming in Scotland that reflects what the UK Government has sought to do with MEES.
“With the Scottish Government setting an earlier net zero target and the built environment known to account for a significant share of emissions, it is only a matter of time before building owners will have to take action.
“Even in the absence of legislative pressure, many corporate occupiers have their own net zero targets and will not consider space with an EPC rating below B.”
These new targets could be adopted as the Scottish Government is aiming for the country to be net zero by 2045 – five years ahead of the rest of the UK.
