The LEED v5 advantage: 20% efficiency gains and higher earnings for sustainable buildings

By focusing on energy management, occupant experiences and electrification, building professionals can successfully work toward LEED v5 certification and improve profitability.

The definition of a high-performance building has radically — and rapidly — changed over the last decade, especially around decarbonization and occupant health and well-being. To define what it means today, the U.S. Green Building Council recently released the latest version of its Leadership in Energy and Environmental Design (LEED) green building program, LEED v5.

The new version to the globally recognized sustainability standard provides updated best practices and tools for professionals in the building industry to earn certification through facility upgrades.

The benefits from facility upgrades extend far beyond sustainability. Compared to non-LEED assets, LEED-certified buildings offer greater return on investment (ROI) and future earning potential:

• 21.4% higher average market sales price per square foot
• 11% higher average rent rate
• More favorable and stable financing options
• A more than 20% reduction in water, energy and waste¹

Two primary areas of focus for the new LEED v5 rating system include decarbonization and occupant health and well-being. Building professionals can work toward LEED v5 certification by integrating technologies designed to improve these areas. An intelligent building automation system (BAS) is a foundational technology that optimizes both simultaneously by providing the visibility and control to effectively manage energy performance and indoor environmental quality.

Simplifying energy management
Decarbonization is a primary focus for LEED v5, accounting for half of the points in the new rating system for certification. The average commercial building wastes 30% of the energy it consumes.²  A BAS with advanced energy management tools can simplify real-time emissions and energy monitoring for facility and corporate sustainability teams and reduce energy waste. Tools that track energy KPIs in real time not only help teams find and address efficiency opportunities that gain LEED points but also provides the reporting needed for LEED to determine a building certification.

For instance, the Energy Dashboard and Reporting application that’s part of the Metasys® BAS platform allows operators to easily manage energy use intensity, emissions, load profiling, benchmarking and budgeting. Using the intuitive dashboard, operators can effectively track KPIs, identify and eliminate energy waste and take a data-driven approach to decarbonization strategies.

Given utility wholesale prices are expected to rise by 19% on average between 2025 and 2028, and distribution expenses projected to also increase, this level of energy management can help facilities teams better control consumption to significantly reduce operating costs.³

As electrification is an essential step for decarbonization, the power source of the assets connected to a BAS matter, too. Equipment powered by electricity, such as high-efficiency air-cooled chillers, make it possible to electrify building HVAC systems and reduce utility costs.

Smart chillers equipped with connected chiller services can also maximize uptime and extend chiller life, reducing unplanned and emergency repairs by as much as 66% and up to a 65% reduction in mean time to repair. That translates to a 35% reduction in unplanned service expenses.

Ensuring occupant health and well-being
In addition to its focus on energy, the new LEED v5 rating system also emphasizes quality of life credits, which include indoor air quality (IAQ) and occupant experience. To promote positive occupant experiences and optimum IAQ, intelligent BAS platforms connected to environmental sensors integrate real-time monitoring with automated control sequences.

Through this combination, the BAS can analyze environmental data, including temperature, humidity, allergens and carbon dioxide levels, and automatically adjust HVAC system performance and airflow to maintain ideal conditions. This dynamic approach and in-the-moment environmental awareness can also extend beyond HVAC systems to include lighting, windows and ventilation systems to continuously balance occupant well-being and energy efficiency.

Seeing real-world results
Deployed across 54,000 installations worldwide, Metasys empowers facility teams to optimize building performance, mitigate risk and power sustainable operations. The Wings in Belgium is one notable building that leverages the proven platform to set new benchmarks in comfort, well-being and sustainability.

By integrating HVAC, fire, security and lighting systems, Metasys provides a digital window into the carbon-neutral facility and automated control that satisfies its unique specifications. The facilities team can easily track and control energy use to reduce costs and meet decarbonization goals while delivering an indoor environment optimized for occupant comfort, health, safety and productivity.

Because Metasys is designed to constantly update with new functionality that meets evolving needs, the platform will continue to deliver value for The Wings well into the future.

Applying a life cycle approach
LEED v5 underscores the importance of building life-cycle assessment tools as a strategic necessity. These tools can help building professionals predict the environmental impact of a building at every stage of its life.

At Johnson Controls, we take a life cycle approach to smart buildings that can align with life cycle assessments. Like life cycle assessments, a life cycle approach considers a building wholistically at every stage, from design, installation and commissioning to operation and updating. However, it expands beyond environmental impact to maximize the performance of building systems to make buildings smarter, more comfortable, more energy efficient, more profitable and easier to operate.

Through a life cycle approach, building owners and facility teams are best positioned to achieve the outcomes that matter most, including environmental impact, decarbonization and indoor environment quality, now and in the future.

Redefining what’s possible in the built environment
The high-performance buildings of today are more efficient, healthier, more comfortable and more profitable than ever before.

Equipped with today’s advanced innovations for the built environment, building professionals are well positioned to earn LEED v5 certification. The holistic solutions and life cycle approach from Johnson Controls support this standard while providing lucrative business benefits.

As a building technology supplier with a complete ecosystem of connected technologies, expertise and services that deliver results across every stage of a building’s life, Johnson Controls can deliver optimized building performance that positively impacts occupants, the environment and a company’s bottom line.

As we continue to transform today’s buildings, together, we redefine what’s possible — for the built environment, people and the planet.

¹ https://www.usgbc.org/articles/us-green-building-council-launches-new-more-comprehensive-leed-rating-system-sustainable
² https://www.energystar.gov/buildings/resources-audience/small-medium-offices
³ https://www.deloitte.com/us/en/insights/industry/power-and-utilities/power-and-utilities-industry-outlook.html