The Board of Building Regulations and Standards (BBRS) voted in July to adopt several changes to the energy provisions of the existing building code (8^th edition). The BBRS adopted the next edition of the International Energy Conservation Code (IECC 2015) as the base energy code in non-stretch code communities and adopted a new stretch energy code (approximately 15% more energy efficient than the current base energy code), which will automatically take effect in existing stretch code communities without a vote by the city or town.

NAIOP was pleased that the BBRS did not advance the solar rooftop readiness or electric vehicle readiness requirements that had been proposed (and opposed by NAIOP), but disappointed that a new stretch energy code was adopted.

A concurrency period will run from August 12, 2016 – January 1, 2017 which allows persons seeking building permits to submit plans and other required documents that conform to either the energy provisions in effect prior to August 12, 2016, or the amended energy provisions effective August 12, 2016, but not a combination of the two. Beginning January 2, 2017, all building permits and submitted documents must conform to the amended energy provisions only.

Public hearings on the next (9^th) edition of the building and energy codes are expected this fall. NAIOP will continue to advocate on behalf of the industry on these important issues.

NAIOP Massachusetts recently filed a Motion to Intervene in Conservation Law Foundation, Inc., et al v. United State Environmental Protection Agency, et al. The plaintiffs in that case seek to compel USEPA to impose a new regulatory program that would require owners of commercial, institutional, industrial and high density residential properties in the Charles River watershed with one acre or more of impervious area (parking lots, roofs, sidewalks) to apply for a stormwater discharge permit. NAIOP decided to intervene in the case given the significant impact this duplicative and burdensome regulatory program would have on property owners in a watershed that includes 35 communities and covers 310 square miles.

On April 28, the Conservation Law Foundation and the Charles River Watershed Association filed a complaint in federal court alleging that nutrients, including phosphorus, in runoff from a number of “commercial, industrial, institutional, and high density residential” properties are polluting the Charles River. The goal of the lawsuit is to force EPA into using its rarely used “Residual Designation Authority” (RDA) in the 35 communities that make up the Charles River Watershed to create a new stormwater permitting program. This proposed program would be in addition to the recently issued stormwater permitting program for municipal separate storm sewer systems (MS4s), which collect and manage a substantial portion of the stormwater discharged into the Charles River from developed properties. In this case, CLF is incorrect; EPA does not have a requirement to use the RDA.

This will affect all privately owned commercial and multifamily properties in the Charles River Watershed (communities including Boston, Cambridge, Needham, Newton, Natick, etc.) with more than one acre of impervious area.

In 2010, EPA proposed an RDA pilot stormwater permitting program in the towns of Milford, Franklin and Bellingham. As proposed, this program would require property owners to construct costly, retrofitted stormwater treatment systems. EPA funded a study to determine the potential costs to comply with its proposed permitting program. Though the pilot program targeted sites with two acres or more of impervious area, compared to the one acre threshold now being considered, the total cost in the three communities to comply with the draft permit was astronomical. EPA’s own consultants estimated that the costs would be at least $180 million for the three communities. Expanding such a program to all 35 communities in the Charles River Watershed would easily move that number into the billions. Costly and substantial retrofits of privately owned property would be immediately required if this is implemented. We estimate the costs to be at least $150,000 per acre for compliance. This would apply to existing owners, even if they are not redeveloping or renovating their property.

NAIOP supports the overall objective of improving water quality throughout the Charles River Watershed. However, any regulatory program developed to achieve that objective must be cost-effective, feasible and fairly allocate the regulatory burdens and costs. As we learned through the pilot program, the RDA approach is not the right tool. NAIOP has long championed alternative approaches that focus on public education, source control, and Best Management Practices. We actively supported the recent legislation restricting the use of phosphorous-containing fertilizers. Our intervention in the lawsuit will provide an important stakeholder group with an opportunity to have a seat at the table as these important policy and economic issues are being discussed.

The following Op Ed appeared in the Boston Business Journal on July 31, 2015.

As we saw in New York City with Hurricane Sandy, climate change can have significant impacts affecting the overall economy; directly, by damaging structures, and indirectly, by compromising transportation systems, communications, and utilities. An increasing number of extreme weather events and future sea level rise may lead to more frequent and extensive flooding along the East Coast.

A primary role for city and state governments should be to ensure the continuity and protection of public infrastructure and public safety. The business community, and the community at large, need to have a clear understanding of the government’s responsibilities and its plans for preparing infrastructure and critical services for these potentially cataclysmic events.

NAIOP Massachusetts, The Commercial Real Estate Development Association, has long been one of the leading business groups advocating for a coordinated approach between the public and private sectors with respect to climate change planning.

However, we are very concerned about a bill that was recently passed by the Senate to establish a far reaching planning and regulatory process for addressing climate change. Senate Bill 1979 contains very subjective, vague, and expansive language that could have extremely negative consequences for the Massachusetts economy today and into the future.

We believe the open-ended language the bill contains could lead to widely varying interpretations of how the legislation should be implemented, creating uncertainty and potentially stalling projects for years to come. While we believe that climate change planning is an important issue, this bill is not the solution. Under the legislation, all grants, permits, licenses, approvals, or actions of any kind for any proposed projects, uses or activities issued by any state agency or state authority could be challenged and held hostage to these ambiguous goals. This would open the “regulatory door” to a wide range of proposals, substantially changing and exceeding well established standards and procedures – with few having any direct connection to climate change.

Given how this vague and confusing language could be interpreted, the potential for lengthy and costly legal challenges is quite high.

For these and many other reasons, the bill, as written, cannot and should not be passed into law.

Addressing climate change and sea level rise requires coordination at the highest level of state government and the participation of many state agencies. There needs to be a balance of adequate planning and a risk-based, cost-benefit analysis to ensure that funds are prudently expended by the public and private sectors when considering climate change-related investments. Through such an effort, climate change resiliency will become a more attainable goal.

Today is a sad day for the City of Boston. Mayor Menino cared passionately about his city and his 20 years as Mayor were proof of his determination to make Boston and its residents better. He was known for his involvement in the numerous large developments constructed during his tenure in the Back Bay, Financial District, and, more recently, the Seaport.  He took a “hands-on” approach to the permitting and, many times, the actual design of the high-rises (remember 101 Huntington?). But, he was also knowledgeable about the smallest projects that were proposed in the neighborhoods, from Brighton to Dudley Square. It seemed that no project was too small for him because he viewed development as an integral part of the local economy and community.

However, it was not only the built environment that caught the Mayor’s sharp focus.  He was, after all, the Urban Mechanic. There wasn’t a major business that did not know of his commitment to finding summer jobs for the kids of Boston. Reducing crime, improving education and, above all, making personal connections with so many of the City’s residents are what made him a Mayor we will never forget. We are so lucky to have benefited from his leadership, dedication and love for the City of Boston.

The following blog post was written by Danielle Simbliaris, Marketing Manager at Campanelli.

Strap a GoPro to your dog to show perspective apartment tenants what a “day-in-the-life” of your pet is like, test out a virtual space via Oculus Rift, turn flat floor plans into a 3D interactive experience, drive tech-tenants to Fenway by bringing the sausage man to Kendall Square. These ideas and more were discussed during Wednesday’s Trends & Technology Marketing Conference as we dove below the surface level to discuss how marketing is driving transactions nationally and in the Boston market.

Andi Simpson, Director of Marketing & Corporate Communications for Federal Realty Investment Trust as well as Stephanie Williams, Senior Vice President of Planning & Advisory Services of Bozzuto Management Company presented a resonating quote, “It’s not the what, it’s the why”. Whether you are talking about retail, multi-family or office space, tenants are driven to make decisions based on why it will benefit them, not by what is being sold. As commercial real estate sales people, marketing professionals and owners, we are not selling a building of concrete and glass – we are selling a way it makes a tenant feel when they are there, a commute that may be convenient or not, an amenity package that can retain employees and keep apartment renters happy, a dog park that will make pet owners content. Michelle Mastrobattista, Director of Digital Communications at Solomon McCown demonstrated a recent social media campaign launched by her team for 101 Tremont (Paradigm Properties) where the account is written from the perspective of “Boston’s smartest entrepreneur”. She explained, “People use social media to communicate with other people, not buildings.”

So then the question becomes: what new, great, amazing tools do we have to sell that “why” to tenants? Rob MacLeod, Founder & President of Neoscape showed us ways we can bring a building to life via video using a combination of photography, 3D visualization, music and incredible editing that creates a visceral reaction from viewers. Moderator, Krista Bourque, Senior Associate for ADD Inc Branding Iron as well as Deniz Ferendeci, Senior Manager of Building Services at Dyer Brown Architects showed us many ways we can bring our buildings, fit plans, stacking plans and neighborhood to life with 3D, interactive imagery. Barbara Hicks, Senior Associate and Director of Marketing & Media at Margulies Perruzzi Architects as well as Tina Snyder, Director of Marketing at The Bulfinch Companies, Inc. both use video in e-blasts and marketing materials to retain the attention of clients and tenants. A recent video e-blast sent by Hicks helped Margulies Perruzzi land a meeting with a new perspective client that ultimately led to a $40M+ project partner.

Now we have some great new tools, and we are implementing fresh new ideas, but what does the future of real estate marketing hold? Moderator Linda Swain, SVP of Marketing for JLL showed a video of the professional in 2020 filled with Google Glass providing constant data, computers reminiscent of those in Avatar and iPad tours for constant connectivity. During the RE:Tech Demo Day, founder Ash Zandieh discussed the recently huge influx of real estate start-ups and introduced us to companies that will advance the way we access buildings, organize leasing and deal data for analysis, communicate with the community before developments begin and help us to go green.

View event photos