It's becoming easier to be green, as more embrace sustainable commercial design

As we look to what's ahead for 2012, Property Observer is republishing some of our most noteworthy stories of 2011.

You can no longer smell the yeast, but something sure is brewing at the old CUB site in the inner-Melbourne suburb of Carlton.

Since developer Grocon moved in with its heavy machinery and grand ideas, the birthplace of Carlton Draught has become a mecca for sustainable design.

By 2014 Delta (pictured above), the world’s tallest totally timber and totally sustainable building, will take pride of place next the puzzle-like Pixel building (pictured below), which last month picked up the sustainability prize at last month’s Australian Institute of Architects Awards Victoria.

Pixel includes a system that uses methane emitted from black (toilet) waste to heat water, has an insulating roof garden with wind turbines, enjoys 100% daylight penetration, and claims to not only be carbon-neutral but able to eventually generate enough power to sell back to the grid.

When US Secretary of State Hillary Clinton visited Australia last November she referred to Pixel as a building “Australians – and frankly Americans and others –will be studying as an example,” and even plans to use it as model for new US embassies around the world.

But arguably the biggest vote of confidence came from the Green Building Council of Australia, which awarded the building a perfect score of 105 under its green star rating tool, making it the most sustainable building in the country, and among the most eco-friendly in the world.

This places Pixel well above what the council requires for a six-star rating – its highest prize, which in industry circles translates to “world leadership in construction and design”.

Australia currently has 43 six-star projects, including the world’s greenest convention centre, the Melbourne Convention and Exhibition Centre (pictured above), and Darling Quarter (pictured below) on Sydney Harbour’s revamped foreshore, which is due to open in September.

Darling Quarter, which will house 6000 Commonwealth Bank employees, owes its six-star rating to a design that will save 2,500 tonnes of carbon and reduce water consumption by 92%.

The green star certainly is rising - and according to GBCA chief executive Romilly Madew, “11% of Australia’s CBD office space currently has some form of green star certification”.

“That’s because tenants and owners know that green buildings outperform non-green buildings in terms of comfort and productivity,” Madew says.

“What’s more, the property and construction industry can expect higher rents because tenants will pay more to secure lower long-term operating costs.

“Because they are built for high energy and water efficiency they are much cheaper to operate – they consume 26% less energy and generate 33% less greenhouse gas emissions.”

Madew supports a price on carbon, but doesn’t believe it will affect the fast-increasing take-up of Green Building Council of Australia accreditation.

“Green star has already transformed the Australian market to such an extent that it is now a standard consideration in the commercial office sector,” Madew says.

Although it is a voluntary scheme, some developers like Grocon have set their own minimum green-star standards.

“Two years ago our CEO, Daniel Grollo, stated that we would never again build a building that has less than five green stars,” says David Waldren, Grocon’s CUB site general manager.

“We have followed through with that vision, for example with the AXA building and Media House in the Docklands, and we are working very hard to establish six stars as our minimum standard,” he says.

That’s the plan at least for two new Grocon projects: Delta, which will use the same design team as Pixel, and Legion House (pictured above) in Sydney’s CBD, which will use Pixel’s engineers.

“Both projects share Pixel thinking in terms of very high energy-efficiency systems, a focus on water conservation and a holistic approach to the design process,” Waldren says.

“Legion House will be delivered as a high-quality office environment that does not draw any energy from the grid.”

Grocon has not been shy with its push for a low-carbon – and indeed carbon-neutral – design and construction industry.

This month CEO Daniel Grollo threw his support behind the Gillard government’s carbon tax by signing Grocon up to the Businesses for a Clean Economy group, which at the time of writing included 217 companies.

Grollo said in statement: “Personally I’m in favour of a cost on carbon. As I look forward in Australia, I see us at the threshold of some fantastic times, and I get disillusioned when I see some critical decisions that need to be made for our future getting bogged down in politics.”

Madew agrees that the carbon tax will be an important driver of innovation in the industry.

“A price on pollution is one of the most efficient and cost-effective ways for Australia to meet its international carbon reduction targets, while at the same time boosting investment in green technologies, potentially leading to a global competitive advantage.”