Two thirds of motor dealership showrooms are among the least energy-efficient workplaces and face debilitating lighting, heating and air quality bills this winter.
Investors are increasingly sceptical about businesses with the worst EPC or energy performance certificate. Rapleys reckons that 3,000 of the country's 4,500 dealerships have the worst ratings of E, F or G.
Dealerships are typically large properties with extensive glazing that require huge amounts of lighting, heating and compressed air, it said. Soaring bills are not the only issue. There are reports that some lenders are not ignoring anything less than a B grade EPC in order to future-proof their portfolios and protect values after 2025 all assets must be E grade or higher to be able to be leased or transacted. Rapleys said that traditional structures are struggling to support charging points on their existing supply, let alone the rising costs of energy, because of the focus on electric vehicles. Lee Fraine, head of sustainable buildings at Rapleys, said: Typically, car dealerships focus their investment in the brand and aesthetics of their showrooms. The race is on to retrofit in order to support both the future and value of these businesses. The big dealership chains are struggling to deal with the issues. Vertu, the listed Bristol Street Motors group, has warned that it would be looking for the off switch, or at least the dimmer control, and start investing in solar panels. It told investors that their fixed-rate energy contract will expire at the end of the month. In the second half of the financial year, there will be an increase in the group's energy cost, according to Vertu.
An energy purchasing strategy has been developed that includes sourcing off-grid energy solutions in order to manage the group's exposure to energy market price volatility risks.