Article by Tom McCarthy, Director, Valuation and Advisory, and Conor Lennon, Divisional Director, Offices, at Lisney. (tmcarthy@lisney.com) & (clennon@lisney.com)

Overview

The authors of the recent SCSI’s Real Cost of Retrofitting Offices Report (2025) warn of the danger of obsolescence in low BER-rated commercial buildings. This conclusion was formed in light of the new EU Energy Performance of Buildings Directive (EPBD), which is soon to be transposed into Irish law.

Unless owners of poor-performing commercial buildings can find a route to retrofitting, they face the risk of their assets becoming stranded and unoccupiable.

Retrofitting Can Boost Income and Value

The report finds that, in some instances, office retrofitting can boost rental income by up to 66%, along with increasing capital value.

Using real-world case studies of Dublin office building projects, the report also found that only three out of seven projects examined were financially viable. This emphasises the importance of developing a careful, building-specific sustainability strategy.

In relation to upgrading costs, the report notes:

“Services encompassing mechanical and electrical upgrades which cover lighting, heating and ventilation often represent the most significant cost component in retrofit projects.”

This is in line with Lisney Property Management’s experience, where such costs have ranged between 21% and 76% of the total project budget. Interestingly, the SCSI report also indicates that not all significant service investments result in an improved BER.

Smarter Retrofit Approaches

Lisney is exploring partial refits and elemental works to improve Building Energy Ratings without full refurbishment costs. We work with leading engineering advisors to identify strategies that deliver the best outcomes.

Our operational experience and market knowledge allow us to recommend building upgrades that align with legislation, meet tenant demand, and protect asset value.

Conclusion

For expert advice on retrofit strategies, contact us today. 

For more research or insights our expert team at Lisney is here to help.