 From Site Selection magazine, March 2002
IDRC ABSTRACTS |
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Following are abstracts of major presentations of the International Development Research Council, which this year is merging with NACORE to form CoreNet Global — the world’s pre-eminent corporate real estate association. “Corporate Energy Strategies: Corporate Real Estate and Economic Development Perspectives,” Texas World Congress, Oct. 22, 2001:Solving America’s energy crisis will require the construction of new power plants, development of new sources of energy and the financial commitment of the U.S. government, a panel of experts concluded at a theme program of the IDRC Texas World Congress. However, even those measures will not be enough to spare corporate real estate leaders from facing higher energy costs and their need to reduce power consumption. “Higher energy costs are here to stay,” said Darr Hashempour, vice president of energy solutions for Irvine, Calif.-based Syska & Hennessy Inc. “Don’t fool yourself into thinking that we’re going backward.” The reality, said Hashempour, is that deregulation of the electricity industry spiked power prices, rather than reducing them as many advocates and analysts had predicted. “Since deregulation, energy costs have risen 75 percent in California and 52 percent in New York,” he said. “Meanwhile, our supply of available power has dwindled. In California, demand has increased 48 percent over the past 10 years, while our available supply of power has increased only 2.5 percent. Without financial assistance from the government, we won’t be able to make it.” Gregory Byrnes, director of economic and business development for PECO Energy Co. in Philadelphia, concurred. “If the U.S. does not develop new sources of renewable energy, the country will run out of available supplies of fossil fuels within 60 years,” he said. “At home, we have become energy hogs. We have become a nation of electronic gadgets, but we are paying a price for that.” The solution, Byrnes said, must include large-scale development of new power plants in America, which is projected to need 1,200 new power plants by the year 2020. “Managing Risk After Black Tuesday: New Strategies for Worker and Workplace Security,” Texas World Congress, Oct. 22, 2001:Sept. 11, 2001 changed the world as we know it in more ways than one. For corporate real estate managers, it meant a changed world for building security planning and crisis management. “If you thought 9-11 was bad, it can be a lot worse,” said Samuel Raines, a national security advisor who works for Booz Allen Hamilton and the White House. “You represent the infrastructure of America, jobs and our livelihood. You represent what America stands for, and he (Osama bin Laden) hates you for your success.” That means building managers must suddenly take nothing for granted. “You can’t defend against everything, but you can minimize it,” Raines said. The first step is to raise everyone’s awareness of the potential dangers. The second step is to increase on-site security. Morgan Williams, principal with architectural firm HOK, estimated that companies are adding $300 to $1,000 more per square foot into workplace security and safety. He noted that incorporating a more secure building design “doesn’t have to be brutal; it (the building) can be a great place to be and still be more secure.” Williams named three key areas that must work together to ensure workplace security: human resources, information technology and real estate. The panel of experts offered this checklist for real estate managers:
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