For businesses, the question “Does it pay to be green?” is increasingly answered with a resounding “yes.” Commercial real estate projects are being constructed to meet rigorous LEED standards, while logistics companies are electrifying their fleets, and municipalities are even embracing energy-efficient LED lighting on a massive scale. But for condominium boards and property managers, the decision to go green isn’t quite as clear-cut. 

Sustainability Standoff in Condos

So, if there are so many high return-on-investment green projects available, why aren’t condos leaping at the chance? I believe the reasons are two-fold. First, condos are inherently risk-averse. Faced with the choice between an innovative new approach and the comfort of the status quo, most condo boards and management teams will stick with what they know. The incentives to experiment are rarely compelling enough for a board, and the potential downsides—such as cost overruns or owner pushback—are often too daunting.

The second reason lies in the classic conflict between the urgent and the important. Condo management tends to be reactive, focusing on fixing what’s broken rather than investing in long-term solutions. With property managers already stretched thin, finding time to implement energy-saving initiatives that promise future savings can feel like a luxury, not a necessity.

When Green Becomes a Necessity

However, the last few years have brought a rude awakening. Condo fees have spiked in ways no one could have predicted, driven by skyrocketing insurance premiums, escalating electricity and gas prices, and soaring reserve fund requirements. These rising costs have shifted the calculus. Suddenly, green projects that once seemed like optional upgrades now look like essential strategies to keep condo fees in check.

The high-rise condo where I’ve had the privilege of serving as a director since 2008 is a testament to the value of investing in the right green technologies. By strategically implementing green technologies over the last decade, we’ve slashed operating costs and reinvested generated savings back into our building. The results speak for themselves: our condo fees are an astonishing 20% lower than the neighbourhood average, and our reserve fund is larger than most of our peers.

Six Big Green Ideas

As a resource for the condominium community, in the sections that follow, I’ll share six green initiatives that our high-rise condo implemented that have consistently delivered cost savings year after year. These strategies not only reduce costs but also enhance the long-term sustainability of our community, proving that it indeed pays to be green—even in the world of condominiums.

1. LED Lighting

LEDs use approximately 50-75% less energy than fluorescent or incandescent bulbs, resulting in substantial reductions in energy consumption. This translates to significantly lower electricity bills, especially in common areas like hallways, lobbies, and parking garages where lights are on around the clock. Additionally, LEDs have a much longer lifespan, which reduces the frequency of replacements and lowers maintenance costs. For condos, upgrading to LED lighting often provides a quick return on investment, making it a smart and cost-effective choice for long-term savings.

2. High Efficiency Boilers

These boilers often use condensing technology, which captures and reuses heat from exhaust gases that would otherwise be lost in conventional boilers. This process significantly increases the boiler’s efficiency and reduces the amount of fuel required to produce the same amount of heat as traditional boilers. High-efficiency boilers can reduce energy consumption by 15% to 30% compared to older, less efficient models. 

3. Building Automation System

A Building Automation System (BAS) is a centralized control system that integrates and automates various building systems, such as heating, ventilation, air conditioning, and sometimes other mechanical systems. The BAS monitors and adjusts these systems based on real-time data, such as occupancy levels, outdoor temperature, and time of day, to optimize energy use and ensure efficient operation. Implementing a BAS can reduce energy consumption by 10% to 30%.

4. Variable Frequency Drives

A Variable Frequency Drive (VFD) is a device that controls the speed and torque of electric motors by varying the frequency and voltage of the electrical power supplied to the motor. VFDs are commonly used in HVAC systems, such as pumps, fans, and compressors, where they can adjust motor speeds to match the actual demand, rather than running at full capacity all the time. VFDs can reduce energy consumption by 20% to 50%, depending on the application and the extent of demand fluctuations.

5. Garbage Compaction

Condos can install compactors in their waste disposal areas to handle the trash generated by residents more efficiently. Garbage compaction can reduce waste volume by up to 75%, depending on the type of waste and the efficiency of the compactor. This reduction directly impacts the number of waste pickups required, which can be decreased by a similar percentage. 

6. Hosted Virtual AGMs

Shifting AGMs online allows condo-minium boards to cut out fees for printed materials, travel, and venue rental. The financial benefits are immediate: for a 300-unit condo, avoiding the usual $10 to $15 per unit cost for printing and mailing AGM packages translates to an annual savings of $3,000 to $4,500. Additionally, going virtual means condos can sidestep the often steep in-person attendance fees for legal counsel, auditors, and minute takers, as well as the cost of renting a venue.

The Smart Money’s on Green

The shift to greener practices in condominiums is no longer just a lofty ideal, it’s becoming an economic imperative. As condo boards face escalating operational costs, the hesitation to embrace sustainable initiatives is looking increasingly short-sighted. The success stories from those who have already made the leap, like my own building, show that green investments aren’t just about doing right by the planet—they’re about savvy financial management. By implementing energy-efficient technologies and adopting sustainable practices, condos can dramatically slash their expenses while boosting their long-term financial health. And for condominium communities, the message is unmistakable: investing in sustainability isn’t just a luxury anymore; it’s the smart choice.

Anthony Ing is the Co-Founder of Condonexus, a leading electronic proxy collection and hosted virtual & hybrid meeting service provider. Condonexus is trusted by 1,000+ condos managed by 60+ property management firms in Ontario to host virtual owners’ meetings.
www.condonexus.com

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