Well the way I met Cohen was through
my former student will match you will.

Bob Matthew interviews me to college and

as you know it kind of typical fashion I'm
always talking about my wonderful students

and my wonderful classes and
this past fall.

I shared with Will and
this is Father of our class and

he said Well there is one person that
you have to have to come speak and

that's college campus so
I we had spent a few hours with colony and

understood a little bit about
his development his company.

He's the co-founder of
capital thirty three and

we're going to be taking a two hour of
here is development next week next week

two weeks she waits we three weeks three
weeks so I want to call him to come and

give you an overview of the project
before we went out to the site to see

if you know we're we're talking
about all the big deal and

Collins going to present today developers
challenge to pay and benefits and

we end up with that we've been talking
incessantly Hello Woodrow all of you.

We've been talking about issues
about when does it make singer and

from a from an economic perspective and

also from from the user from for
the consumer standpoint as well.

So I take good notes we will be
using this as a speaker summary and

I will share call and e-mail address
with you want to reach out or

even our guests that are here
today we'd like to network and

we want you to invite us to some of your
yellow light of the so we want to get you

network to work last so without any
further ado What's the little board for.

Well OK everyone I'm calling and

today we're going to go through
a little project that we're currently

under construction over on the east
side of town right beside Glenwood park.

We're in the process of naming our project
but it's currently called eighty Glenwood

and it will be the first LEED certified
project here in the city of Atlanta.

And will be a total of about three
hundred twenty five units so

people have asked what is this logo from

as you can hear I have a little bit of
a Southern accent and so I'm from Sydney.

My partners from Atlanta.

So we decided to have
the latitudes of both countries so

that's capital thirty three
capital thirty three.

It's been in existence for about seven
years we've primarily stayed in town.

We've done three or four projects and

we've done about six to seven hundred
units both condos and apartments for rent.

So we have a very diversified
real estate background.

And what we also try and do is do deals
that are somewhat on a niche basis so

we did the first in town deal
which was a venture with the lane

company called Freedom Lawson Heights near
the Carter Center you probably have seen

that in your travels.

And we try and stay in town because
that's what we know best and

we like you all that like to have
the amenities because walkability for us.

Now in juice.

Which is heads on beds that's how we
get all paid is having that walkability

componentry So this is a day to Glenwood
chance we could just in the lights

a little bit of this is
Alcide that we bought this

is a brownfield listed site
in the city of Atlanta here.

This is that's terrific.

This is Glenwood park
which Charles Brewer and

Green Street properties did and
we bought from two people the Trust for

Public Land this side here and
then from Green Street.

This side here.

And that was about five acres.

It is right next door to
a lovely concrete plant

batching plant where on
the beltline as well as a result

the beltline Royal will come down
this side here and the trail.

Will go around our succumb
from survey our property so

we've had to build in to today.

The requirements for the future belt line.

We bought this land from
the trust the public land in

December two thousand and eight.

We had to make sure that we made
all the requirements of the city.

This is a shot of our construction.

This is the site work.

Basically sorry.

Basically this is the outline
of our building here.

This is our sister normal talk a little
bit about that this is their deep

wall foundations that go down
to about twenty eight feet and

this is where our parking garage is.

And we've had some work with getting our
street access all squared away here.

It's what we call in the business
a Texas donut star property.

So what that means is that.

We're going to build the parking garage.

That's a pretty cost concrete deck
of five hundred fifty spaces and so

what we'll do is we'll
leverage all around it.

Our units and hide that parking deck today
if you went out to the site you would see

that that's fully completed and
as you can see more deep wall foundations.

So this just gives you a good
feel this is I twenty here.

Bill Kennedy way will have our main
entrance here off Eighth Avenue

units out here wrap around
with the beltline trail.

What's nice about the side is it's
urban renewal brownfields listed but

there is a community.

Right next door.

So we had to be very sensitive
to their requirements.

We had the side under contract for
about twelve months.

And.

We talked about what we
needed to be done and

we talked to the neighborhood
extensively in that rezoning process and

it was quite a challenge and
we learnt a lot from the neighborhood and

we're here today because we
decided to make some challenging

out of context risk risky steps
to get this development going.

And we hope it's going to pay
which we believe it will.

So there's a developer's dilemma.

Today you're hearing
about all these different

requirements do you want
to be a lead building.

Do you want to be Energy Star rated.

National multi housing councils got
their own requirements then there's

a craft housing and
then there's green globe.

So how do you make a choice
as to what you do and so.

In July of two thousand and eight.

If you can go back a couple
years the market was still

relatively very very strong.

We were in this rezoning process with the
neighborhood the neighborhood said to us.

Where not going to approve this
unless you make a determination

as to a standard that
will be acceptable to us.

I'm the big developer how can this
neighborhood tell me what to build.

Well clearly it wasn't a question of

density they were happy
to give us the density.

But they wanted us to care about
their neighborhood and commit and

care about their community and so
we had to make a decision without

truly knowing the full costs as to what
was important for the neighborhood.

I remember one night sitting down
with one of the neighborhood leaders

because by this stage we
were fairly frustrated.

We had thought we'd got all that.

The conditions all worked out and
then eight months into it.

There was this came this road block and so

what we decided was we had to understand
and care for their ongoing neighborhood.

If we were not going to be
around there after we had built

the project in Tennessee.

So we made a choice.

As to what we were going to
do is that development for

the developer sake in profit soley for
the consumer and what's left behind and

so what we decided to do is
that we had to make a decision.

And that decision that we
made was we decided one month

prior to the financial
meltdown in September.

Because we had spent a lot of money
on the development at that stage and

through throughout the process
that we were going to go with lead

lead by the US B.C.G. Council was
the checklist we were going to do.

That was going to help us
with the neighborhood.

Acknowledged to them that we were
going to have a monitoring standard.

And a check method for them to know that
their development in their neighborhood

was going to be taken care of.

Yes and if we were in the OR.

There was street we were right on
the boundary of three neighborhoods.

So we had Grant Park.

Who had a very specific land use
set of requirements in their M.P.U.

then we had Glenwood park which
was part of north on wood park and

then we had the neighbors of
Glenwood park a district where.

Mr Cathy Woolard who was a big
proponent of the beltline lived.

And so we had gone what we thought and
got everyone in support.

Before we got there but we really didn't.

So we were really scared
we had to make a decision.

Yes Patrick White usually
Yeah OK We'll get to that.

Thank you.

Good question please.

If you got any other questions be happy
to try and answer the best I can but

we had spent.

A lot of money getting up to this point
but we hadn't closed on the land.

So I was looking at a big financial drain.

If we decided to walk away.

We knew that there was a lot
of we knew we had to go.

Sustainable but
we didn't know to what level.

And so we had heard throughout
the whole process that

the cost was somewhere between five to ten
percent of the total construction budget.

Now if you're building a condo building
you can usually recover those monies.

So we're a forty five
million dollar project.

So we could probably solve for
two and a half to four and

a half million dollars If we were
selling those units as condos.

But we weren't where a five storey
stick framed apartment building

rental rates matter.

We were always taught that you know
you shouldn't do a deal on less

it worked as a rental project if
it worked as a rental project and

you decided to go condo that was a bonus.

So we had to make sure
that we could afford it.

So the neighborhood had the foresight to
push us as the developer to go and do

something that was sustainable to protect
the long term duration of their project so

we had spent about six hundred
thousand dollars on our due diligence.

So if we didn't close we
were going to lose that.

And our respective families my partner
Mark and I would have been very upset.

We had the fear because we didn't
know what we were going to do

as to what is really the true cost but

we had a commitment that we said
well we've got to try something.

So we had to commit to a budget
without fully understanding.

The deal so
we decided that we would close.

Now we had a letter of intent from our
partner coming in on September the tenth.

I remember these dates vividly
September the fifteenth

financial Armageddon started and
the world markets financially.

Meltdown.

We had a construction.

Amendment.

We've got the last construction loan
in the city of Atlanta I believe for

multifamily December the eighteenth
we closed in those three months.

The hardest three months of my entire
career of getting a deal closed.

We close to forty five
million dollars transaction.

We brought on a very significant.

Institutional partner we
had a construction loan.

We had fully set design set of plans and
we're ready to go.

And we committed that we're going to
do a leave certified project but.

We've closed.

How do we find the consultants.

There are a lot of consultants out
there today that will tell you that

lead certified and can help you but
are they going to be practical

to understand the economics of apartment
building because there's a big difference

between a consultant who understands the
technology versus a consultant who knows

how to help you build an apartment
community and so when you're

doing a made rise stick frame building
it's a very very hard to get the right.

Air quality it's much easier for
it's a concrete steel frame building

stick frame is got a unique
set of challenges so.

We have a little operating procedure and.

Well sorry you can see I don't
like this technology apologize but

we have an operating procedure in
our company at Capital thirty three.

We like to have champagne
taste of a big budget.

So that's the way we try and
operate is what we want to try and

get the best pricing using
the best technology.

There's only been two
projects in the southeast.

That would stick framed.

So we had to try and
find those people that were practical.

So we decided to go with Lee.

And the coordination effort of lead was
far greater than we all and to support it.

You know and we can turn the lights up
here a little bit if you like but I'd.

Decided to do was write down
about fifteen little things that

I'll give this to Debbie so
that you can all.

Keep because this is very important when
you're building a sustainable project.

I think you've got to be.

Realize that in a lead checklist or
an earth craft or

a green global whatever is the standard
you choose to build in you're going

to be overwhelmed because every
decision does matter a system and

we decided to you know harvest
the rainwater off our roofs.

OK So we have landscaping.

My pet peeve in the business is
multifamily developers don't have

an established environment when you open
up a facility it looks like it's just new

so I decide I want to bring some gum trees
in from a stray you know the things that I

want to try and bring and unfortunately
don't have any qualities here but

you know I'll try that as well but
what we decided was that the landscaping.

It was very important we did Sun studies
and while we did some studies is because

that would determine how the plant would
react to how much water would need.

So if you were in the summer.

And we had an aspect on the west side.

A populous going to drink a lot more
water than something that's in the shade.

So just to get to points
on our lead checklist

water consumption became
a very very critical aspect.

So we oversized our sister and thank
goodness we did because we're now living

feet fall and we've only got two feet to
go it will be full for the whole summer.

But it basically thirty six thousand
dollars increase in cost to go

bigger cistern than we needed will save us
money because the city of Atlanta is water

sewer charges have gone up sixty three
percent in the last two and a half years.

So this word here every
decision matters that needs to.

Written on your forehead guys and
ladies because that really really

is critical because if you make a step
of doing something differently in your

landscaping that means
that there's more water.

You will lose the impact in other areas.

So you have to be creative to look for
solutions.

You have to have a two way
conversation with your consultants

sometimes consultants only want to
have a one way conversation but

you've got to have a two way conversation
I'm picking on Jake because he's

an architect but that's not just a but
there are other people that really.

Want to push their own agenda and
you've got to have

you've got to try and
reduce the risk to the owners and

to the consumers by making some of
these decisions in a vacuum and

so what we decided to do was
to be determined internation.

And to challenge for different solutions.

So this is THE LEAD checklist we're using
that wonderful This is my pitch we're

using a wonderful consulting
firm called B.P.M. engineering.

They have also done the Daniel
high rise in Midtown and

they've been very very practical to
help us go through the various steps

you might want to give these out there.

If you pass or you might have to share.

I don't want to spend too much paper but
basically this is out

checklist that goes through
the various stages of what we need and

how our requirement initially was
to try and get to a certification

level in the lead as you may know
you've got certified silver gold and

platinum will never get to platinum on

a multifamily stick frame property because
we can't control all the air quality.

But we can do some things
that we're going to do that.

So from certified to gold.

What we are basically at this stage is.

We have.

Construction activity so we recycled.

Ninety six percent of all our concrete off
the site and put it back into the site.

We're using seventy five percent of all
our construction waste back into the site.

Because we're a brownfield site.

We're also getting some
points from that we have.

That's Brownfield real development we have
some transportation because there's model

on the front doorstep and
there's this whole checklist you think

it's easy to get thirty nine or forty one
points which is what you need to get to.

Well it's not because there are so
many different decisions and you'll see in

a minute with the energy model that's in
that package I gave you that you have to

a den of by those changes that change
the percentages of where you get to.

Ideally Mark and I wanted to try and

get to a situation where we save
thirty percent energy on a standard.

We wanted to try and save.

Thirty to fifty percent of the water
usage will actually do better than that.

And we wanted to try and save fifty
to ninety percent on the waste so.

The lead checklist is you
kind of it's the it's

the guide of how you can get there what
this doesn't do though is it doesn't

show the monitoring will be
able to share the metrics to.

A consumer like you that wants to come and
rent an apartment for me.

About why you need to come there so

there are some things that we have to do
to try and make it a little bit better.

So we're currently definitely in silver.

And if we have a bit of luck and
we push a few more Barton's and

change a few more models we'll be able to
get into the gold standard which will be.

We believe one of the very
first in the south.

These to be a stick framed apartment
community the gold LEED certification.

Are there any questions so far.

OK let's just talk a little bit about.

Two areas that we've really
spent a lot of time on.

I've given you a hand out which is about
lighting in the common hallways and

we've done a study about the energy
costs for the project and

based on our baseline case it's going
to cost about five hundred twenty five

thousand dollars to power this
facility that's just the common areas.

So we decided to look at things that
we would call the low hanging fruit.

But on twenty four seven and
can we adapt and do something to try and

reduce that cost and we think we have and
so what we've done is.

There is a payback for

the developer for me by reducing my common
areas because I have to pay that bill.

But then there's also for the consumer.

What can we do to make their
energy bill lower as well.

So the first thing we did worlds.

Naturally we went looked
at the developers list

to see what we could do
to reduce the cost so

that we could help us understand
what we could do to the consumer.

So this is a corridor lighting analysis.

And so.

I'm sorry for the small detail but I just
want to show you some of our thinking

of how we came to this conclusion why
we decided to use this technology.

So we have two types of product we
have a fluorescent mountain and

then we have Ellie doing fluorescent
is the same as we have here and

then the early days the new technology.

It's important that you know when they
say that the what it is twenty six.

It's really not because you have
ballast so it's really twenty eight.

This is the cap.

It'll cost.

This is the annual operational cost and

so we decided we want to
see what L E D is an L E D.

Is half the water which so uses half
the power but it's three times the cost.

So how do we pay for that.

And so what we decided to do is just to do
a bit more analysis paralysis is to see.

What is the lamp replacement.

Because when you have.

Big facilities you're going
to naturally change bulbs.

So we decided here that the president
was eight thousand ounces.

But if we went early D.
It's fifty thousand ounces.

There's actually a new bulb out now that's
one hundred thousand hours that's going to

be even better than all this.

It's coming from Korea.

But you can see the cost
differential here.

It's five five dollars for fluorescent or
forty dollars for an early day.

Look at the years to replace so

we could just make a decision
based soley on the economics.

It doesn't prove me anything wrong.

I can support in a big project like this.

An extra fifteen sixteen thousand
dollars in operational cost.

We decided to go with L.E.D..

And the early day was
the reason we have done that

specifically was because we decided
to look at what is the capital value.

Creation.

We went to the bottom line that's what

all developers want to try and
do what they should.

They're all doing it right now but
absolutely go to the bottom line and

see if you can create value.

So we looked at the bottom line and
we felt that that was the way

to do it now the way we've solved
this is has anyone gone and put

their hand up with a can light and felt
the heat from an a bulb versus a for us.

I'm OK There's a heap.

Well we learnt from this that.

If we go early do you now corals and

we have a three hundred thousand square
foot building that the heat is reduced.

So we don't need to have
as big enough H.P.A.

see plants so
we can go down on our capacity.

And that saving of the capacity
size pays for the early day lights.

That's what it's about
about being practical now.

I'm getting a few blank stares here
in my being clear about how we're

paying for this.

Is that we're using.

A lesser size system

because the heat is not throughout those
corals to pay for the early daylight.

So that's how you being practical
the next stage here is the energy model.

And J. Lo these energy models.

Most architects love these energy models
because they really do help us develop

a guide us as to what we
need to be doing up here.

Is the base case of how much
is the annual energy costs for

the project currently as designed these

here are the sections of what we're going
to do and how we can get to the savings.

So I won't go into much detail but
I'll just go down to number four.

If you have it on your
hand out you'll see it.

Basically four says that we're
going to run two point three

with Ellie daylight common areas
leasing office and fitness.

Plus do a combination of one two and three
which is basically L E D's in the garage

look at this twenty nine point
six two percent energy saving

one hundred fifty four thousand
dollars off the bottom line.

If that is off by fifty percent and

it's only seventy thousand dollars
at a ten percent capitalization.

That's seven hundred thousand dollars.

Bottom line to the owner.

Plus the potential points that we get is
six so that pushes us into another area.

Now I've got an interesting
story to tell you.

We have this massive Western Front into
this project at seven hundred feet long.

No buildings are in front of there's
no trees it's the concrete plan.

You probably recall that picture

from day one I said to well design team
in our engineers what are we going to do

about the sun's heat on
the western side in the summer.

I'm from Australia I think about the sun
all the time how it's going to be fine.

You don't need to be wary we've
got this new low you glass.

It's clear glass.

I've kept on saying no
this is not going to work.

We could do everything inside the unit to
make it energy efficient for the consumer.

But if we don't have the windows right.

And most developers use either
a vinyl framed window or

aluminum as I would call it.

Well that our medium heats up and
brings all the heat inside.

So you had this solar penetration.

So we've we've worked we sat down
with our winter manufacturer.

And I'll protect them.

I won't say the name.

But they said we don't do what
you want and I said Of course you

do what do you mean there's other parts
in the country we have all this full sun.

Can't we do something with this
window to protect the solar

penetration called the manufacture.

Yes we actually do something and
we can do it.

So for fifty thousand dollars for

my seven hundred fifty
windows on my Western aspect.

I have cut the solar penetration
from point five to point one three.

That means nothing.

I know to probably all of you.

But what that has done is
that all help me get past.

My thirty percent energy saving and for

fifty thousand dollars
we push the envelope.

So one of my other key phrases is

in this business of sustainable
multifamily housing.

It's important that you challenge
some of the conclusions because

the conclusions because people this is
a new new set of technologies don't know.

All the answers until you keep
on questioning keep challenging.

Now what this is going
to do is it helps us for

our resident by saying look we've
done some extra steps to try and

help reduce your energy bill and
we can prove that.

And so also in the energy model to
get to where we needed to get to.

We had to decipher all the various
different areas of the energy

model of how we got there.

And so this is just.

You know Ashura ninety point
one is the standard And so

these are the various sections of
how we cut that down to get to.

Over thirty percent.

So the next one is solar panels.

I love solar panels but it's a leap of
faith here and in Georgia at the moment.

In the in Australia because we have so
much sun.

You know it's very affordable you
have solar hot water systems and

you get a lot of power here in Georgia.

We're still in the sea.

Even though we have some wonderful
companies like Sunita that

are manufacturers out of Georgia.

This here is a rooftop installation so
on the top floor of our parking deck.

We're going to put a hundred
kilowatt system and

that's systems about six to seven thousand
feet about twice the size through.

Times the size of this room.

We also decided to apply through for

the stimulus funds and
we're one of fourteen projects that.

Got accepted into the program.

So it was a bit like Ticketmaster we
the window opened on the computer at two

thirty and by two thirty seven all the
money was gone that the state of Georgia

had for all these plants one of the big
projects it's going to get it is actually

the brave stadium they're actually
going to have their big new T.V.

powered by their solar panel and so.

Great news about solar
is once you install it.

You think it's going to pay for itself.

Well in Georgia.

It doesn't work that way because we have
such an advantage with Georgia Power to

have low cost power at nine point
three cents per kilowatt versus

other states that are two and three times
that the payback for a developer that's

building and needs to sell in a short
period of time doesn't make sense but

you've got to make that leap because in
the future as we all know there's going

to be changes in the regulatory risk of
higher energy cost and if you can produce

one hundred forty thousand kilowatts which
is what this system will do when it's

fully operational is something that
we have to make that decision on.

So here's here's an example of what
we're looking at in terms of the cost.

Well.

So it's a six hundred thousand
dollars capital cost.

It's basically five hundred
thousand dollars for the panels and

one hundred thousand dollars for
the install and then the framing

we are basically getting sixty
five cents on the dollar back.

Which is comprised of a federal grant
of thirty cents on the dollar and

the stimulus funds that we won through
the G. for a program of thirty five.

Cents on the dollar.

Now we had not in our budget

had this money set aside so
how do we how do we pay for it.

So the gap.

Down here.

You know is two hundred two
hundred seven thousand dollars.

How do we pay for it when we're
only going to get back thirteen or

fourteen thousand dollars
worth of generation.

I need some help

you guys got some money for me to help
me pay for this but it's more of.

You know when you look at an investment.

If you look at the cash on cash return
of six or seven percent down here.

It's like an annuity it
really doesn't make sense but

it does make sense because you have
to look to the future and take away.

Some of these caps now Georgia Power
has a program that is full for

the green power the P.S.C. commissions out
there now trying to increase that cap so

hopefully when that cap rises we'll get
in the program be able to sell it for

eighteen cents a kilowatt but
we've decided to go ahead and

spend the money spend the two
hundred seven thousand dollars.

Because we've got it through by out
savings we can afford to do it because we

feel that it will have a decided advantage
in the future to be able to have a portion

of all of your electrical supply
being covered by solar panel.

Power and

my going on time doing OK so
there's always a question about green and

sustainability as to what
are the benefits about nine months ago.

We had an aha moment.

Mark and I and we thought it was all
about getting the plug on the wall and

we're going to be so.

So proud that we had this nice
shiny new plaque up there.

Well we realize that we're
going down the wrong direction.

It's important that you
get the certification and

the acknowledgement that
the building is in that program.

But it's a consumer like you
are you really going to really.

Pay more for that certification.

I think the answer I think I know
that answer it's probably not.

It's an expectation that
you're going to want.

So how do we go in message to consumers.

Why they should come to this project and

so why spend a lot of time
in social media world.

To try and understand how we can
message to the consumer because

at the end of the day the consumer is the
one that's going to reward the project and

also talk about the project and help us so
we feel that we've cut the stand into.

You know three sections
first is the consumer.

It's about a healthier
lifestyle by having.

Clean internal It's about being
in an area that's walkable So

when you drive and you come home.

If you want to go and get a beer.

You can walk to the local pub.

It's a very good exercise
I can rest assured.

Your overall occupancy cost is reduced

because we anticipate that we'll put
in a charge in our leasing center

to show them how that we've spent about
four or five thousand dollars per unit

on specific energy saving
devices to help you as

the residents save money in your overall
occupancy cost and then in addition there

is the social responsibility to feel
good and that you're making a difference

bribe being in a location that's trying
to reduce your carbon footprint.

Now social.

Responsibility.

What does that really mean.

It's like we're having a two
way conversation with you.

So it's not just soley building the best
building but it's also getting your buy in

as a resident to help us with our
recycling program so that we can have you

helped pass not have a single stream
of recycling but have multiple sources.

It's having a compost.

It is having a tree orchard.

It's having the local chefs use
part of the landscaping for

their own vegetable growing to
use on the table next door.

We have to make it relevant and that has
to be real because we have to make it fun

for you to want to be here and share your
stories to all your friends on Facebook

for me it's about me it's about
helping me get fans on Facebook

for the partner for our equity partners.

Their expectation is greater
profits because we're reducing

the cost of operating the building.

We should be able to
increase the you know why.

And there is a case of study.

Now that's coming out that
there's green buildings and

then there's brown buildings and

the green buildings are going to have a
higher cap rate than the brown buildings.

There's also regulatory risk that is taken
away because you've gone and then of FIDE.

You've taken out the the variable
of thirty eight percent of all.

Commercial buildings and
use all the greenhouse gases so

if you have a building that's reducing.

The greenhouse gas.

You're taking away.

Potentially mandatory requirements
by cities and states coming in and

then there's then a hand
social responsibilities for

our partner that goes and
partners with other funds.

They can say we have a green project and
finally for me the developer.

Who's taking all the risk.

It's putting everything on the line
you know I'm hoping I'm going to have

bottom line savings which we will.

But will also be full at
the forefront of a consumer.

Led revolution and this is what's so
good about the sustainable movement at

the moment it's not the government
really mandating it.

It is the consumer who is
saying this is what we want.

So we like to keep it simple.

That's what Kiss is all about.

It's a consumer led red revolution.

We have to come up with metrics we
have to be able to show to you.

Why this place is liveable how many trees
we're saving what is the carbon monoxide

we're taking out the atmosphere and
what we're doing to reduce

everyone's consumptions of the world's
resources and we're going to share

those tangible benefits like I said we may
we had an aha moment eight months ago.

It's not about us.

It's about you being able to see
what you're doing to try and

reduce your footprint.

But we have to educate this and I'd love
to get some feedback from you all about

how you can help me get as we say in the
industry heads on beds because that's how

we get rewarded at the end of the day is
how quickly we can lease up that property.

So one of the benefits realized I
think this is an important thing for

any aspiring develop to really understand
what is important in the various stages

we have an immediate benefit realize we're
cleaning up a brownfields listed side.

We've also resigned called the current.

Contents on that site the best that we
can by crushing all the concrete out.

Upon completion we'll have a very

different environment right
beside a concrete badging plant.

It's an ongoing will have energy energy
use reduction will have water savings and

we'll also have.

You know recycling programs so
we're hoping we can try.

And get to a net zero recycling
program where the waste that goes

out we recycle so it all becomes so
we can actually make it

a bit of fun for our residents that
they can say well I've recycled.

Three thousand pounds out of my
project out of your own apartment.

Now there's various programs that are now
coming but we're still trying to work on

that and I think it's important
that you you live in a place

that reduces your carbon footprint and we
think that that's a deciding tiebreaker.

Opportunity for multifamily housing is you

can say I live in a place that has helped
reduce its energy by thirty percent.

I'm going to be coming over to
the side on March the nine.

I would hope that you
could all where some.

Sturdy shoes because it is a construction
site and probably trying to do it in

two was probably ten at a time because
that's the number of hard hats we have but

it should be very very busy because
we'll be framing so it'll be kind of

a very very busy stage will have about
two hundred people hopefully on sign.

So I also just wanted to give
you in conclusion a few little

additional nuggets of what we find.

That's important.

Very importantly is all stakeholders
count in the development process.

Social consciousness
really does matter today.

And will continue to rise.

What we're doing by doing this development
is we're minimising compliance risk but

we also intend to make money out of that.

But we're also trying to keep
pace with the new realities and

that is that we have to.

Not only inform people but

let people show us what they're doing
to reduce their carbon footprint.

So it can't be all about
us pushing the message out.

We want the residents to come and
tell us what they're doing.

So when we have a new resident movie.

Instead of giving them one or
two months rent free.

We're going to try and
change that paradigm and give them.

An Energy Star Energy Star
rated flat screen T.V..

Six fluorescent light bulbs and
a coupon card for

cleaning supplies of local Ace Hardware
in the community that are green.

So that they can see the message
that we're trying to be real.

We have to you have to have a two
way conversation with the with you.

Consultants and you always have
to be creative to looking for

solutions that are not readily
available if you remember.

We didn't even know that we
could save money to pay for

the lighting by reducing
the size of the plant.

We didn't know or a manufacturer
winning a window manufacturer

did not know that for
fifty thousand dollars upgrade.

We could get the solar penetration
significantly reduced and I think also.

You can be overwhelmed by all of this but
it's something that if you are creative

and you're determined internation as you
will be able to get to the conclusion.

This is being a very exciting project for
us.

We probably spent more time on
this project than any other

project we've ever done.

But we've now believe that
we've learned a lot of.

Tested stories now of how we can make
projects better for everyone's benefit.

So thank you for your time and

I'd be happy to take any questions or

any point where you take it away.

It's primarily going to be.

We front story.

I'm all about story so I apologize.

We we have this wonderful
landscaping plan that

we're spending about five
hundred thousand dollars on.

So we're going to make it very verdant and
lush and

so what we decided to do was sit
down with our irrigation guy civil

guy and the landscape
architect to get coordination.

Because when you're doing irrigation
you want to make sure it's drip right.

You don't want to be spray.

So we're cut down on L.
on the standard plant about.

Sixty percent of the water usage than
a normal plan by doing things coordinated.

So we upsized the system and so

that in July the hottest month
in Atlanta we could water.

The entire system and so it's basically
just it helps us it'll save hopefully

save us some money because water and land
is gone very expensive and will continue

to get very expensive but it's also
to make ourselves self-sufficient.

Yes there.

Well we kind of convinced
the manufacturer that

gas is what they do now there's
a new thing called are gone.

Gas.
I'm not really the technician that

understands that.

But we've also asked them to tell
the windows so that there's a glaze not

like a curtain wall for like an office
building but just a small tent.

So reduces the amount of penetration.

It was quite a happy moment for
me when I found out that I could do that.

Yes

fabulous question

still an ongoing study.

If we are just looking at lighting and

we're using lights that now have fifty
to one hundred thousand hours of use

it means that we'll have a.

Less time for a maintenance person
hopefully going out there to replace And

so what we're doing to reduce
the operational cost is go through every

hour line item that we have to
see what we can do to minimize

through technology or a new piece of
equipment that will save us time.

So we will do daylight cleaning.

We will we'll have you know green cleaning
products are expensive the moment

they're about thirty percent more.

So we've got to come up with
a solution where we can say

Man Power time to do
these maintenance issues.

Now the good news is because where
we are in the construction cycle.

We're asking for more than a twelve
month construction warranty and so we're

getting service level agreements that
are between two to five years in length.

So we're trying to take that out of the
equation right now in five years time I

think the biggest issues that any project
has is is the areas the greatest impact

which is you common areas and how the
residents as a whole take care of that.

So we're putting in you know low V.O.C.

carpet tiles because they're the best
wearing in areas of very high traffic.

We're putting in a ceramic tile so that
that's easy to maintain the landscaping.

We've specifically gone and addressed.

You know more native landscaping that will
in time have much greater wearability.

Yes we

are sure.

Time will tell.

In August.

We're opening and we're hoping
everyone here will sign a lease for

us on March that's part of the Course
study that OK we told you that you know.

We think that it's going to be more
generation intergenerational facility.

We have a project a mile away.

Also on the beltline we had tenants from

sixty from twenty two years of age sixty
seven that wanted to be in town and

have that walkability I think
the sustainability green message.

There's going to be more than
just the Gen-Y. people there.

We've specifically got seventeen
different floor plans.

We've spent a lot of time and
effort on various amenities that.

We've got seven thousand square
feet of common area space so

that people can go and hang out and
we've also negotiated with

Comcast to have in our common
areas super fast internet access.

That's about fifty K. P.S.
so it's super fast so

you can get a movie downloaded in twenty
seconds rather than three minutes.

So it's an experiment but

we do believe it's going to be
more widely received by other

people that want to be in an area where
they're reducing their carbon footprint.

Yes increase from

going we are very well

our current cost is about one and a half
to two percent of the total budget but

we're able to encapsulate that today
because of the severe construction

restriction because labor is
significantly down the timetable as

part of our condition to close we had to
have all the construction drawings done.

We closed with a complete set of plans but
not all the details of lead being done so

we probably have spend
an additional two months but

what we have learnt is the coordination
effort of having everyone involved and

having a compressed period
of time is actually helped.

Process.

Yes if you

go over you with your wallet with you for

every one of the ways that you would use

if you were viewing it
with you know if you're

always running all of the show.

That's it that's very very hard but
we have a G.C.

that has done a couple of projects
to the G.C.'s Cambridge builders

Mike Ross can we have a superintendent
that is like minded like us.

He's not lead a P.
but he is like minded so he gets it.

I think it's important that
you have a superintendent that

maybe not lead a pay but
has gone through the course and

they understand what you need you know
apartment quality is always a question.

It's always a question but
being not a production builder.

But just being hands on and
we have an office really right next door.

We will keep an eye on it
once it gets going and

we will have people that will help us do
the turn to make sure all the sections of

checked because you make you
design some middle to late and

then you have you commissioning side but
you get checked again.

So it's very very important
that you get that right.

I hope I've answered that point.

Yes but first we are.

Yes we're using a white roof so

we you know he dial in effect
reduced on our parking garage

that was the best place structed to
get the sudden tilt that you need.

To be able to put all the panels which
wouldn't affect the warranty on the roof

and the A C. unit so
we have to put on the roof as well.

The version of the stay in
the parking requirement

is something like fifty percent or
so specifically the parking deck.

You know as long as it's more a level.

Most of the cars are shaded so
you don't actually he that

you may be able to get an extra
credit if all you're here

you can go for a digital and then there
were four and a half stories shaded

so we don't need to get
to that next level.

Yes there was one of

us here

in apartment or common area power
is the landlord's responsibility.

So there's no up charge each unit
is separately mated for the tenant

so we're in.

Well it depends.

We're going to probably
wriggle system to try and

get the solar panel to run the common area
space is where the tenants are going to be

so I'm now looking at the gym equipment
to see if I can use any of the kinetic

energy by people being
on the treadmills to

run the T.V.'s There's some new technology
that's coming out that we could try and

do that now for our pull you know
we're going to have a salt water pool.

I've been looking at a solar thermal not
a solar powered heater so that we can

have this the pull season longer than
the traditional five or six months.

Plus we have shade.

So we need to have that temperature
of the water little bit more ambient

than a frigid main ice cold water.

Yes we had a crusher.

And it broke down every day because there
was always things they found were also

right next door to Williams Brothers all
the and they had all these concrete blocks

these big ten foot by ten foot
blocks that we would find and

you know we'd have to go and crash them
up and then the machine was broken

sixty percent of the time but
we had we saved.

You know probably two hundred thousand
dollars worth of film material that we did

not need to bring into the sun Very yes.

This is a tough one.

I mean there's an urgency and

a development person can you explain
why we struggled with this or

trying to explain why you
believe it will start

on you in the form of here with you.

You can use you have passed.

Can you explain how that
how this is operating.

Savings how that how that
works in a commercial deal of

the residential we do look at payback.

That's why we're having such
a challenge with the P.B.

because the paybacks not
that easy to discern.

But when dealing with partners

that their number one priority
when they give us the money

to go on developer is to
understand when is there payback.

It's like if you were lonely
a thousand dollars you'd want to know.

What's the value creation by
me using that money and so

we chose to we'll talk about
pay back to the consumer

make no mistake we'll say that we've made
this investment and in ten years time.

This is the payback.

All three years time the L.E.D. lobbying
the payback is in the first twelve months.

But we chose to communicate
the message to our partners.

What they understood and so
it was a bit more of the messaging that

we had to take care of rather
than what is the reality.

And so that's sometimes just
how you have to do it you know.

And the question you know
we're going to thank you.

I mean you know we.

Yeah yeah.

Yeah I do want to you know you know we

owe resource material so
that you do if you don't have it.

It's called building green.

Thank you.
Do you already have the OK yeah like I

say the class a wonderful
part we really appreciate it.

We want you to come back you
know grow what I want you

can bank you can thank you.