Green Principles and Practices

And The Modular Building Industry

Overview1. What is Green?2. Why is it becoming such a widespread initiative?3. Green materials, systems & design considerations4. Voluntary Standards & Programs5. Is Modular Construction inherently greener than

conventional construction?6. Marketing and Selling Green7. Resources8. Q & A

What is “Green”Green SustainableHigh Performance

Don’t be confused by the terminology. These are just 3 different ways of describing the very similar building design principle.

What is “Green Building”

“Sustainable building” describes an integrated, or “whole building” approach to the design and construction of a facility. It incorporates a series of specific “green” products and design principles that work together to create a more environmentally friendly, energy efficient facility that promotes occupant health and well-being.It considers not just building science, but the site, location and other environmental impact factors.

Why is Green Building becoming such a

widespread initiative?

1. It’s environmentally responsible

2. It promotes a healthier indoor environment

3. It has life cycle economic benefits

1. It’s environmentally responsible!

Impact on the Outdoor Environment– Global Warming – Greenhouse gases

– Green Buildings use less energy, so contribute less greenhouse gases and by extension are considered to have less of an impact on global warming.

– Ozone Depletion– Green Buildings reduce or eliminate the use of substances such

as CFC’s in mechanical equipment that can harm the ozone layer.

– Pollution– Green Buildings minimize or eliminate the use of products that

can emit VOC’s and toxins into the air, water or land. They promote the use of natural building materials that require less processing. Even the transportation of people to and from the buildings is considered in the whole building and site design strategy.

– Fresh Water • Some Experts are concerned about our future supply and

quality of fresh water. Green buildings reduce pollutants to help keep our water cleaner, and adopt ways to conserve and reuse indoor and outdoor water.

– Energy – Green Buildings use less energy to operate. They also support the

use of buying local materials to reduce transportation energy consumption , thereby reducing the burning of fossil fuels.

– Resource ExtractionGreen Buildings help conserve and protect our natural resources by specifying products that are more readily replenished, reforested, or do not adversely affect the ecosystem.

Waste and Landfill sitesWaste management is an ongoing environmental challenge. Green buildings are designed to minimize solid waste generation and promote recycling and reuse

Did You Know?According to the US Green Building Council,

in the US -building construction, use, and demolition accounts for:

36% total energy use70% of electrical consumption38% of greenhouse gas emissions30% of raw materials use (136 million tons/year)12% of potable water consumptionA typical 1700 sq. ft. wood frame home requires the equivalent of clear cutting one-acre of forest.

And..

If only half of the buildings with a lifespan of 50 – 100 years used 50% less energy – that would be the equivalent of taking more than 1 million cars off the road annually. Scientists predict that left unchecked, emissions of C02 and other greenhouse gasses will raise global temperatures by 2.5 to 10 degrees this century, resulting in rising sea levels, morefrequent floods and droughts and spread of disease. The “average” LEED certified building uses 32% less electricity and saves 350 metric tons of C02 emissions annually.

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Average Savings of Green Buildings

ENERGYSAVINGS

30%

CARBONSAVINGS

35%

WATERUSE

SAVINGS30-50%

WASTECOST

SAVINGS50-90%

Source:Capital E

2. It promotes a healthier, more productive workplace

Impact on the Indoor EnvironmentIndoor Air Quality – Green Buildings limit the use of products and materials

containing Volatile Organic Compounds and toxins– Moisture Control is a key design strategy for the building

envelope and for operating systems to help prevent the possibility of deterioration and mold.

Day lighting– Diffused natural lighting is incorporated through skylights,

glazing, light shelves, and clerestories to enhance the work environment and produce energy savings

– VentilationSuperior high-efficiency mechanical systems integrated with passive ventilation is promoted

– AcousticsNoise from inside and outside the building is controlled.

– Thermal controlEnhanced thermal protection helps keep occupants comfortable.

On average, we spend about 90% of our time indoorsAccording to studies – more than 30% of the buildings in the US have poor indoor air quality, resulting in workday losses each year in the 150 million range with costs to business in the billions.

3. Economic Benefits

Reduced Operational Costs– Energy Savings – an average of 30 - 50% less consumption in

Green Buildings. – Less maintenance as a result of improved durability from better

building technology – less replacement of failed components.– Lower water costs through conservation and collection strategies.– Less cleaning. – Less grounds maintenance with natural landscaping using native

plants. – Reduced waste – improved recycling

Reduced absenteeism – A healthier environment will reduce illness – Productivity and employee satisfaction is improved

Construction Waste Disposal– Green Building design principles promote the reduction in

construction material waste by optimizing building dimensions and recycling.

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ImprovedBottom Line.

30-70% ENERGY SAVINGS

VERIFIEDPERFORMANCE

ENHANCEDPRODUCTIVITY

REDUCEDLIABILITY &IMPROVED

RISKMANAGEMENT

INCREASEDVALUE

“On the financial front you can’t argue that green buildings aren’t a smart financial decision. In terms of energy savings alone, they have a huge impact on the cost of running a building. And today, green buildings –LEED certified and silver buildings – can be built for not a penny more than conventional buildings on a first cost basis.”

USGBC Website

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Average Productivity Gains

HIGH-PERFORMANCE LIGHTING

ENHANCES PRODUCTIVITY

6.7%

INDIVIDUAL TEMPERATURE

CONTROLENHANCES PRODUCTIVITY

3.6%

What makes a product green? (A summary of Product Standards by “GreenSpec” Directory)

1. Products made with salvaged, recycled or agricultural waste content.

2. Products that conserve natural resources3. Products that avoid toxic or other emissions4. Products that save energy or water5. Products that contribute to a safe, healthy built

environment.

A collection of green products applied to a building design do not necessarily make it a green building. Achieving higher sustainability requires a carefully orchestrated,integrated approach to design principles, client priorities and specific environmental considerations.

Trade Offs

Although a product may have one or more green attributes, it may not qualify as truly green if it carries other environmentalburdens. – As an example, wood treated with preservatives may be

considered green for it’s extended durability but that may be offset by any health hazards the preservatives may present.

A product may not have any apparent green characteristics in and of itself, but when integrated into a total building design,contributes significantly to sustainability. – As an example, a certain window may not be considered green

as an isolated product, but when applied to a building design, can enhance the day-lighting required to achieve an elevated level of energy conservation or occupant well-being, or can assist in the buildings solar gain or resistance performance.

Sample Checklist for Environmentally Responsible

Design & Construction Considerations

From Guidelines as identified in Environmental Building News – www.BuildingGreen.com

Design1. Smaller is Better:

Optimize interior spaces to minimize overall building footprint and thereby the resources required to create it.

2. Design for Energy Efficiency:High levels of insulation, high performance windows and tight

construction.

3. Optimize material use:Minimize waste by designing to standard dimensions (walls, ceilings,

floors) and simplify building geometry.

4. Design for durability:Spread environmental impacts of the building over as long a period as

possible.

5. Design for future reuse and adaptabilityMake the structure adaptable to other uses, and choose materials that

can be recycled or reused.

6. Avoid potential health hazards:

Materials1. Use durable products and materials:

Manufacturing is very energy intensive, so a product that lasts longer or requires less maintenance generally saves energy and contribute less to our solid waste problems.

Provide detailing to avoid moisture problems that can result in mold contamination. Design for insect resistance.

2. Buy locally produced building materials:Transportation contributes to energy consumption and pollution.

3. Use materials made from recycled products:Reduce solid waste problems, cut energy consumption in

manufacturing and can save on natural resource use. 4. Use salvaged building materials whenever possible:

Reduces landfill issues and can help preserve natural resources,however be careful not to sacrifice energy efficiency or other design strategies by using old inefficient products.

5. Avoid materials that will offgas: Ensure materials do not contain high levels of VOC’s or formaldehydes.

Equipment1. Install high efficiency heating, cooling and ventilation

equipmentSaves money and produces less pollution. Mechanical ventilation

promotes healthy indoor air.

2. Install high efficiency lighting systems. Use high efficiency lights, and consider interior and exterior lighting

control systems with sensors that integrate with day-lighting strategies and occupancy to conserve energy.

3. Use water efficient equipment. Water conserving toilets, showerheads and faucets reduce water use.

Rain water bladder systems collect run off water to reuse in landscape irrigation.

Land Use & Site Issues1. Renovate older/existing buildings

Considered one of the most sustainable building practices.

2. Minimize Automobile dependence:Locate buildings to provide easy access to public transit, bicycle paths and

close to basic community services where possible.

3. Value site resourcesDo a site evaluation that considers, solar access, soils, vegetation, water

resources, natural areas and allow this information to help guide the design.

4. Situate buildings to benefit from existing vegetation.Trees on the east and west sides of a building can reduce cooling loads.

Hedge rows and shrubbery can block cold winds or channel cool summer breezes into buildings.

Standards,Resources & Certifications

LEED (Leadership in Energy and Environmental Design)

CHPS (Collaborative for High Performance Schools)

Energy Star® Rating Systems (EPA)

Forest Stewardship CouncilGreen SealGreenguard

What is LEED?

A comprehensive set of voluntarily applied standards established by the U.S. Green Building Council used to maximize both the economic and environmental performance of a building.LEED uses a rating system as a design guideline and for a third-party certification program. LEED is rapidly evolving into a blueprint for achieving higher levels of performance and return for sustainable buildings.

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What is the LEED System?

LEADERSHIP inENERGY andENVIRONMENTALDESIGN

A leading-edge system for certifyingDESIGN, CONSTRUCTION, & OPERATIONSof the greenest buildings in the world

Scores are tallied for different aspects of efficiency and design in appropriate categories.

For instance, LEED assesses in detail:

1. Site Planning2. Water Management3. Energy Management4. Material Use5. Indoor

EnvironmentalAir Quality

6. Innovation &Design Process

LEED –Leadership in Energy and Environmental Design – is the leading green building rating system in the country. It’s a roadmap for how buildings can be built to meet high performance standards so desired by tenants and owners alike.

Levels of Certification

The rating system provides for up to 4 levels of certification with a total of 69 available points. Certified = 26 to 32 pointsSilver = 33 to 38 pointsGold = 39 to 51 pointsPlatinum = 52 to 69 points

A Summary of LEED Rating System

Sustainable Site 14 pointsWater Efficiency 5 pointsEnergy & Atmosphere 17 pointsMaterials & Resources 13 pointsIndoor Environmental Quality 15 pointsInnovation and Design 5 points

Total available 69 points

How to Begin with LEED

At the heart of obtaining LEED certification is the LEED Accredited Professional (LAP). In fact LEED grants one point for having a LAP register the project with USGBC.If you choose the LEED path, a project team should be identified, and your design professionals experienced or qualified in this area. You should begin with the intent of obtaining a LEED certification in mind if that is the probable goal, as to switch over once the design strategies have begun is difficult.

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Estimated value of new LEED for New Constructionregistered projects

The value of U.S. construction starts significantly declined by almost half from 2000 to 2003

2000 2001 2002 2003 2004

$792 MILLION

$3.24 BILLION

$3.81 BILLION

$5.76 BILLION

$7.73 BILLION

2006

$10 BILLION

$200 BILLIONPROJECTED

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LEED for new construction buildings

Distributionby geography

1-1920-4950-99100-199200+

9 4

91111

69

1252582

4028 14

8

134

186480

22

23

57

19

66

18

73

1022211

19

120 79

11936

52

74

95

173

17433105

61 2712

9 (DE) 38 (DC)

23 (DE)

24 (NH)

5 (OK)

4

68AK=10HI=16PR=1

as of 07/06 LEED certified and registered projects in every state with California leading.

What is CHPS? CHPS is a set of design standards specifically for the design of Schools in CA. It was organized in 1999 as a collaborative of Government Agencies, Utilities and Non-Profits and other school stakeholders.While the program has not been adopted state wide, is has been adopted by the major school districts, including the LA Unified District.

CHPS Best Practices Manuals for CHPS are:– Volume I Planning– Volume II Design– Volume III Criteria– Volume IV Operations and Maintenance– Volume V Commissioning– Volume VI Relocatable Classrooms (06)

A Summary of CHPS Rating System

Sustainable Site 15 pointsWater Efficiency 5 pointsEnergy & Atmosphere 20 pointsMaterials & Resources 13 pointsIndoor Environmental Quality 20 pointsPolicy & Operations 11 points

Total available 84 points

The CHPS approach requires a minimum of 28 points to obtain certification.A minimum of 2 points must come from the Energy category.It does not have levels of certification

LEED and CHPS Comparison

LEED1. Various Shades of Green2. All non-residential buildings3. Formal application/review

process4. ASHRAE/IESNA Standard

90.1 – 1999 energy code5. Energy simulations required

for energy credits6. Calculations required for

other credits7. Leed Innovation Credits

CHPS1. Simple Pass/Fail System2. Just Schools in CA3. Self-certifying4. California Title 24 2001

Energy Baseline5. Prescriptive methods

available for energy credits6. Prescriptive options

provided for most credits7. Credits for school district

resolutions on green construction

Energy StarEnergy Star is a government backed program helping business and individuals protect the environment through superior energy efficiency.New Homes that qualify, achieve their energy savings through a variety of reliable and established technologies and building practices including– Tight Construction – Building Envelope– Tight Ducts– Energy Efficient HVAC– High performance Windows– Improved Insulation

Is Modular Construction more Eco-friendly than site built?

Lets take a look..

Gaining Advantages in Green with the Modular Process

There are several basic principles in the modular construction process that could make it more eco-friendly than conventional construction.

Potential Benefits Matrix based on LEED criteria

Improved Recycling Practices

Improved Material Reuse (Inventory)

Improved Diversion from Disposal

Building reuse with relocation

Building Reuse up to 100%

Materials & Resources

Reduced site disturbance

Reduced construction pollutants at site

Reduced Waste to landfill from site

Reduced Vehicular Traffic /site activity

Shorter on-site time / less community disruption

Sustainable Sites

LEED SECTION Modular fabrication process off site can mean..

Building & Materials Reuse. Modular technology allows up to 100% recycle, reuse by it’s ability to relocate the entire facility to an alternative location.

Manufacturing processes vs. on site construction may lend themselves to better construction IAQ practices, reuse and recycling of materials..

Results of a Study done by The Steel Construction Institute of UK

Barling Court and Wyndham RoadSite Built project as compared to “Volumetric” modular construction project of the

same size and scope

(8)27%

(27)59%

(146 MW)24%

(20 weeks)35%Comparison

11 skips66192 MW31 WeeksOn-site

3 skips3946 MW11 WeeksOff-site

Waste*DeliveriesLabourDurationMethod

Excerpt from Table 5.8 – Comparison of Off-Site and On-site

*Building waste at site only – excludes excavated soil from foundations

Marketing and Selling Green

If you are not involved in marketing or selling green

building technology today, you can be sure someone else is.

Green Building is a World-Wide Marketing Campaign!Regardless of your own level of belief in the magnitude of the environmental issues we face today, or your level of commitment to addressing them, a campaign to restore the environment through initiatives such as green building, is underway world-wide.

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IncreasedProductivity.

20%BETTER TEST

PERFORMANCE

SCHOOLS

EARLIERDISCHARGE

HOSPITALS

INCREASEDPRODUCTION

FACTORIES

2-16%PRODUCTIVITY

INCREASE

OFFICES

INCREASEIN SALES PERSQUARE FOOT

RETAIL

And productivity isn’t just about making things better and faster –look at what we’re seeing in schools, where the test scores are higher, in the hospitals where discharge can come sooner, in retail where sales are higher . . . .

The impacts of green building on productivity are tremendous.

Marketing GreenIn order to influence “greener” buying behavior, we first have to reason that this world wide environmental condition truly exists, and then buy into it’s magnitude. Levels and types of response by the marketplace to take steps to positively impact change through green building, are numbered and varied, and are priority-based. Whether you decide to proactively take a frontline position or reactively follow along, one thing is certain – a movement to restore the environment has begun that will touch our business, and our industry.If you choose to elevate your design portfolio to include sustainable construction, be prepared to spend time learning and researching alternative products and systems.If you choose to “wait and see”, be aware that there is significant pressure within the Architectural, Engineering and Construction community to develop and implement green principles and practices today.

Marketing Strategy Alternatives1. A green design concept?2. A green building system?3. A green construction technology?4. A green product?

The amount of green product and design information available today is overwhelming and difficult to sort out. Buyers may be generally skeptical and confused.

Regardless of how you choose to communicate your offering to the marketplace, emphasize the value of your knowledge and capabilities in order to gain buyer confidence.

In the Modular Building Industry, the sales professional representing your company can also be one of your most powerful marketing communication tools.Once you have decided on your own corporate marketing strategies, make sure your sales people are armed with the tools and training they need to help create a customized solution for your clients, and to get your message through.

As a Corporate Sales Professional….

1. If you understand and believe in what you are offering, your client will too.

2. Not all clients have the same eco-sensitivities, budgets, values and end-use needs, so it is important that you develop a basis for identifying the priorities of your customer and all the project stakeholders.

3. The LEED program helps compartmentalize all the variables and provides steps and measures, HOWEVER, you still need to identify the agenda and resources of your client to create the appropriate individual solution.

Prioritize the OptionsEstablish at what level your client wishes to engage sustainability and make that your basis. If the criteria is to achieve a LEED rating, remember, there are 69 possible credits, of which only 26 are required for certification, so identifying, sorting out and prioritizing are still required.If the client is not necessarily interested in LEED or any other certification, but has an interest to build a more sustainable facility, look for some of the “no-brainer”, lower cost design alternatives that will give them best value for least cost. These should include some of the inherent green benefits that modular construction offers..

Selling GreenWork with the client and consider all the stakeholders before you agree on the scope and spec for whatever level or shade of green your client requires. Specify all the green elements of your building proposal clearly and outline each benefit, including environmental impact and life cycle cost benefits.Not every client will be looking for the same outcome.– Permanent modular construction can offer the owner the same

life cycle cost benefits as conventional construction.– Temporary modular construction applications can present more

of a challenge when factoring in life-cycle payback.

Example KPI’s as perceived by Stakeholders (UK Study)

Maximum recycling & safer processes

Increased productivity & site safety

Minimum defects

Reduced use of resources

Minimum waste

Flexibility of building use

High qualityReduced waste

Predictability of cost & program

Reduced road traffic

Speed of completion

Good performance

Flexible building use

Reduce site storage

Speed of completion

Minimum landfill waste

Minimum site traffic

Reduced running costs

Reduced running costs

Speed of Construction

Business Operating Cost

Reduced C02 production

Minimum noise & vibration

Minimum defects

High level of sustainability

Construction Costs

Whole building cost

Society & Gov’t

Neighbor-hood & local authorities

UsersArchitectContractorClient

*Sustainable Sites:

Shorter Process, Cleaner Sites, Less Waste to Landfills, Less Site Disturbance Less Neighborhood Disruption

In SummaryAs owners, designers, and builders continue to engage more and more sustainable construction methods and materials, the modular building industry must maintain stride to avoid widening any perceived gaps between a modular building and one built by conventional means. Whether you choose to make a complete shift to sustainability or just take a few steps – be proactive and be aware of how the design and construction sector is changing around you.

Presentation Resources

U.S. Green Building CouncilLEED Green Building Rating System Version 2.1 and 2.2Collaborative for High Performance Schools (CHPS)www.BuildingGreen.com (Greenspec)The Steel Construction Institute Urban Impact Case Studies (UK)Sustainable Buildings Industry Council (SBIC) High Performance School Buildings, Resource and Strategy GuideEnvironmental Protection Agency – Energy Star