Kenneth Smith, managing partner of Glen, Smith & Glen Development (GSG), said the idea of incorporating green building principles into the company’s Sullivan Square project was motivated by a deep personal concern for the environment. “When respected national publications like Time Magazine, National Geographic and the New York Times run article after article saying the planet is in peril, we shouldn’t stick our heads in the sand and pretend everything is okay,” Smith warned. “Each person has a responsibility to change things in his or her own corner of the world. For me, as a real estate developer, that means looking for ways to make subtle changes in projects that will make a huge difference in their effects on the planet, either by causing less damage or by reducing consumption of valuable resources.”
Sullivan Square will eventually contain 1,300 residential units in mid-rise and high-rise buildings, as well as neighborhood retail shops and services and a 13-story Class A office tower. GSG is seeking LEED (Leadership in Energy and Environmental Design) certification for the project, a designation from the National Green Building Council. The LEED Green Building Rating System is the nationally accepted benchmark for the design, construction and operation of high-performance green buildings.
“The LEED system is like a cafeteria plan,” explained Smith. “There are hundreds of options that can save energy, reduce waste and lessen environmental impact. Each choice you make has points, and the more points you accumulate, the higher your rating. It’s fascinating to look through the list and realize all the different ways there are to make a difference at little or no extra cost.”
One innovation GSG is making at Sullivan Square is reclaiming water to use for landscaping. Smith estimates this will save 45 million gallons of water a year. Green building principles also involve using different materials. Smith explained that it used to be difficult to find products made from recycled materials, or to find carpet that did not emit harmful vapors. “People are waking up to the need for green materials,” said Smith. “You get points from LEED for using them, so there’s more demand, which leads to more production. The costs have come down, and it’s often cheaper to use non-toxic or recycled materials than to use the traditional, harmful products. If they cost the same or less, why not go with the better ones? However, if you don’t take the time to look for these alternatives, you won’t find them.”
Smith said the principal costs of getting LEED certification are not in construction methods or materials, but in paperwork. The general contractor on a project must document each step in the process and turn in the proper records in order to get accredited. “That’s because it’s a new program,” he explained. “As it matures, the process will get easier and those extra costs will go away.”
Most changes in the Sullivan Square project will be invisible to the people living and working there; changes such as better insulation or more efficient windows may each save 1 or 2 percent in energy costs, but making many subtle changes can result in saving a substantial percentage. Smith estimates the end user at Sullivan Square can reduce energy bills between 25 percent and 30 percent, compared with the same-sized home or office in a traditional building.
Additional savings could come in the form of property tax abatements. Because of a recent bill passed by the Nevada Legislature, if the project receives the LEED Silver certification it is seeking, residents may recognize a tax abatement up to 42 percent for seven years.
Smith believes the movement toward more green high-rises is inevitable, and pointed out that MGM Mirage has committed to getting LEED certification for its $7 billion Project CityCenter. “Green buildings are healthier to live in, healthier to work in and cheaper to maintain,” he said. “I absolutely think green building will be the wave of the future.”
