The Lifecycle of Building Automation Systems Savings: How Investing in BAS Increases Value Every Step of the Way

Building automation is the secret to energy efficient buildings with higher marketability and increased cost savings.

Building automation has been on the rise for years, and interest in it is only expected to increase due to its huge environmental, security, and operational benefits. 

In North America, the adoption of Building Automation Systems (BAS) has been increasing steadily — and that growth is only expected to continue, with the market expected to surge by 2034. 

Without smart building technology, your building will be left behind thanks to increased green building standards, advancements in wireless technologies, the need for energy efficiency, and more. 

If the upfront cost of investing in BAS is holding you back from making the change, understand that building automation technologies will continue to save money at every stage of every building’s life — from construction to retrofit.

Cost considerations for Building Automation Systems:

• Savings during construction
• Immediate operational savings 
• Reduced maintenance costs
• Higher building value 

Building automation: the lifecycle of savings

An investment in smart building technology will continue to pay off at every stage of a building’s life. 

New buildings: the construction phase

Savings from smart building technology start before the building even exists. Surprising, right? But Internet of Things (IoT) — the sensors and connected devices used to make building automation tick — can offer operational efficiency and huge savings as early as the construction phase. 

That’s because sensors can monitor construction conditions and quickly alert workers to any conditions that may cost money or delays and can even reduce costs by up to 29%.

IoT increases construction site efficiency through:

• Security alerting
• Environmental monitoring
• Aiding in site inspection 
• Equipment maintenance

Older buildings: Retrofits

If you’re hesitating about retrofitting an aging building, stop right now. This line of thinking is a money-losing trap. Natural Resources Canada claims that a deep building retrofit can even save up to 60% of energy costs.

One of the top reasons to retrofit an older building is to reduce energy usage. Like any technology, newer systems are far more efficient than their predecessors — that goes for basic pieces of equipment to more sophisticated software. 

Building retrofits lead to big savings in myriad ways, including:

• Reduced energy loss
• Lower utility bills
• Lower repair costs by avoiding surprise breakdowns
• Efficient troubleshooting to address issues quickly 
• Staying ahead of code changes or regulations
• Potential for new equipment rebates through FortisBC

That being said, a full building retrofit is a daunting undertaking. The first step is consulting a professional to see what’s possible, the timeline, and how they can help avoid disruptions to your operations. Learn more about when to retrofit your commercial building on the blog. 

Immediate cost savings

The immediate cost savings when using smart building technologies are truly multifaceted — from the dollar amount on your next utility bill to increased employee productivity and lower maintenance costs. 

Short-term cost savings include:

• Increased energy efficiency 
• Lower utility bills
• Increased employee productivity
• Lower maintenance costs<

Energy savings: Energy efficiency goes hand in hand with cost reduction. Once you’re running building automation technologies, you’ll start to see cost savings as quickly as your next utility bill. 

Low maintenance: BAS also run smoothly and are less likely to break down, avoiding disruptions to daily operations. 

For the most part, building automation is very “set it and forget it.” Once it’s set up, no one needs to be touching it. Contractors can also easily diagnose and even treat some issues remotely. 

 As a property or facilities manager, you’ll be able to quickly adjust and monitor and adjust vital systems from your desk, including:

• Remote settings and adjustments for lighting, temperature, and more
• Shut units off and on 
• Monitor security
• Look into analytics that are clear, easy, and localized
• See trends to improve efficiency
• Troubleshoot minor issues  

High productivity: On top of freeing up time for operations managers by demanding less attention, employees are more productive when they’re comfortable. Automated lighting, temperature and other atmospheric considerations will adjust based on existing settings, including factors like time of day and number of people in the room. 

Medium-term cost savings

In the midterm, intelligent building technology pays for itself by creating a building that is not only responsive to needs, but is able to make improvements for the future of operations. 

Increase savings in the medium term through:

• Repair and replacement predictions
• Machine learning and AI for improved efficiency through 
• Reduced maintenance costs
• Lighting quick troubleshooting

Budget for repairs and upgrades: Smart building technology is better at communicating its needs and diagnosing issues. That helps your commercial HVAC contractor find equipment issues before they become an emergency repair — allowing you to budget for them. Pro tip: the best way to stay ahead of equipment failures is through a preventative maintenance program, learn more. 

• Predict and budget for repairs and replacements
• Avoid larger, costly emergency repairs

Reduce maintenance costs: A facility runs more efficiently when controlled by a building automation system to prevent breakdowns and other issues, especially within HVAC systems.

Intelligent buildings tend to experience less wear and tear, increasing longevity and lowering repairs.  

Additionally, your HVAC contractor is able to troubleshoot any issues quickly — and sometimes remotely. 

Machine learning and AI: Knowledge is power. Artificial intelligence algorithms are working hard in your BAS to increase efficiency. These technologies collect data to enhance predictive analytics, optimize systems, and improve fault detection. 

These robust building controls are how equipment failures can be predicted, but also optimize energy usage based on historical patterns and improve performance while reducing downtime.

Long-term cost savings

Building automation will transform your property as an investment. By staying on top of building retrofits, upgrades, and new technologies, the value of your building will quickly depreciate — particularly as building codes continue to change and become more green-focused. 

In the long term, building automation will:

• Increase the value of your property
• Attract more tenants, businesses, or buyers 
• Avoid ongoing upgrades to stay up to date with building codes

Building codes: Building codes are essentially the set of rules laid out for construction permits that your building must adhere to. More and more, building codes have moved towards green or energy-efficient standards — a trend that won’t be slowing down. 

In Kelowna, for example, the building Energy Step Code is a provincial policy focused on creating more comfortable, healthier, and energy-efficient buildings. 

Increased property value: smart building technology increases the value of a property, particularly in a Net Zero market. With increased pressure to reduce carbon emissions, behind ahead of the cure on energy efficiency is a huge bonus. 

Attract more: Whether it’s the ability to charge an EV on site or the optics of working in a newly upgraded building, smart building technology impresses potential tenants, businesses, and buyers. It also gives occupants a sense of stability since there will be no/less need for renovations or repairs down the line.  

Don’t get left behind

Investing in smart building technology isn’t the way of the future — it's the way of right now. Create a greener, less costly, energy-efficient space with the help of technology professionals like Kimco Controls. 

Work with a people-first company that has been on the cutting edge of building automation, HVAC, and electrical technology in the Thompson-Okanagan for 40 years. See how Kimco can help.