Tune Up: Improving Hotel NOI with Retro-commissioning

You keep your car running in great shape with regular tune-ups and oil changes (we’re looking at you, check engine light), but what about your hotel assets? As most new hotels get ready to open their doors, engineers perform a commissioning process to observe building systems and make sure everything is operating at optimal efficiency.

But buildings also stand to benefit from retro-commissioning followed by regular re-commissioning across the asset lifecycle – typically every three to five years. Studies have shown that re-commissioning can save a typical 100,000 square foot hotel 10 to 15 percent of its energy costs, or roughly $20,000 per year. This is accomplished by resetting existing controls to reduce HVAC waste while maintaining or even increasing comfort levels for occupants.

That’s a huge boost to net operating income (NOI) and great news for hotel owners and operators. According to MACH Energy’s 2016 Hotel Industry Survey: Energy and Water Management Best Practices, reducing costs and improving guest comfort are the top reasons to incorporate a sustainability and energy management program for hotel operations and engineering teams.  When it comes to energy-related priorities, 93 percent of respondents selected the reduction of energy and water costs as one of their most important energy goals, and 63 percent cited improving customer satisfaction as a top priority.

Want to learn more about improving hotel asset energy performance to increase operational savings and asset value? Click here to download the complete survey results and companion whitepaper.