SAN DIEGO--(BUSINESS WIRE)--Hines, the international real estate firm, and equity partner J.P. Morgan Asset Management, announced today that the 13-story, 415,000-square-foot building under construction at La Jolla Commons in San Diego will become the nation’s largest carbon-neutral office building to date. The new building will achieve carbon neutrality on an annual basis through a combination of high-performance building design, directed biogas and on-site fuel cells that annually will generate more electricity than the building and tenant will use. While there are other small net-zero buildings in the U.S., LPL Financial at La Jolla Commons will be the largest and most ambitious net-zero office building in the U.S. developed for lease.
“Our involvement in the most ambitious net-zero office project to date in the U.S. is an indication of the strength of LPL Financial’s commitment to sustainability and will hopefully serve as an inspiration for the global financial industry to follow.”
The building will be fully leased and occupied by LPL Financial, LLC, the nation’s largest independent broker-dealer*, a leading RIA custodian, institutional service provider and a wholly owned subsidiary of LPL Financial Holdings Inc. (NASDAQ: LPLA). It is being developed and will be owned by a partnership of Hines and institutional investors advised by J.P. Morgan Asset Management. Construction began in April 2012 and completion is scheduled for mid-2014.
The building design incorporates a highly efficient under-floor air system, advanced curtain wall materials and many other features that reduce the energy required to operate the building. The fuel cells, acquired from Bloom Energy, will generate approximately 5.0 million KWh of electricity annually, which is above what the building will consume. Total on-site energy production will be roughly equivalent to generating the electricity required to power 1,000 San Diego homes. The fuel cells convert methane into electricity in a non-combustion process. Sufficient methane for the system will be acquired from carbon-neutral sources, such as landfills and wastewater plants, and placed into the national natural gas pipeline system. This system will contribute to California’s ambitious goal of deriving a third of its electricity from renewable sources by 2020.
This achievement is the result of an extensive research study undertaken by Hines and leading engineering firm WSP Flack + Kurtz to evaluate currently available technologies and combine them with Hines’ long history of maximizing the efficiency of office buildings in a state-of-the-art, commercially viable building.
“LPL Financial at La Jolla Commons is one further step in our objective to put new building strategies and technologies into practice in an economically viable way, using our experience to continually reset our own standards of quality. First and foremost, we designed a Class A, commercially viable property, then we devised strategies to make it net-zero. We could not have made this project net-zero without the commitment and participation from LPL Financial,” said Hines President and CEO Jeff Hines.
Gary Holtzer, Hines’ global sustainability officer, added, “Our net-zero project at La Jolla Commons gives us a great foundation for furthering the use of carbon-neutral technologies and fuels. Our next step is to adapt what we have learned and apply it to an existing urban property in a less temperate environment. We believe that through this ongoing investment in sustainable R&D, we will lead the industry forward.”
LPL Financial President and COO Robert Moore remarked, “Our involvement in the most ambitious net-zero office project to date in the U.S. is an indication of the strength of LPL Financial’s commitment to sustainability and will hopefully serve as an inspiration for the global financial industry to follow.”
About LPL Financial:
LPL Financial, a wholly owned subsidiary of LPL Financial Holdings Inc. (NASDAQ: LPLA), is the nation's largest independent broker-dealer (based on total revenues, Financial Planning magazine, June 1996-2012), a top RIA custodian, and a leading independent consultant to retirement plans. LPL Financial offers integrated technology, comprehensive clearing and compliance services, practice management programs and training, and independent research to over 13,100 financial advisors and approximately 685 financial institutions. In addition, LPL Financial supports over 4,500 financial advisors licensed with insurance companies by providing customized clearing, advisory platforms and technology solutions. LPL Financial and its affiliates have more than 2,900 employees with primary offices in Boston, Charlotte and San Diego. For more information, visit www.lpl.com.
LPL Financial, Member FINRA/SIPC.
*Based on total revenues, Financial Planning magazine, June 1996-2012
This does not constitute an endorsement of any products or services provided by the companies mentioned.
LPL Financial is not affiliated with any company noted herein.
About J.P. Morgan Investment Management:
J.P. Morgan Asset Management–Global Real Assets has approximately $63.2 billion in assets under management and more than 400 professionals in the U.S., Europe and Asia, as of September 30, 2012. With a 40-plus-year history of successful investing, J.P. Morgan Asset Management–Global Real Assets’ broad capabilities provide many of the world’s most sophisticated investors with a global platform of real estate, infrastructure, maritime/transport and energy strategies driven by local investment talent with disciplined investment processes consistently implemented across asset types and regions. J.P. Morgan Asset Management has over 100 LEED®-certified or ENERGY STAR®-labeled properties in its client portfolios. It is a leader in embracing green building technologies and operations to preserve or enhance competitive market positioning.
About Bloom Energy:
Bloom Energy is a provider of breakthrough solid oxide fuel cell technology generating clean, highly efficient onsite power from multiple fuel sources. Founded in 2001 with a mission to make clean, reliable energy affordable for everyone in the world, Bloom Energy Servers are currently producing power for several Fortune 500 companies including Google, Wal-Mart, AT&T, eBay, Staples, The Coca-Cola Company, as well as notable non-profit organizations such as Caltech and Kaiser Permanente. Also, with its Mission Critical Systems practice, Bloom Energy provides grid-independent power for critical loads in data centers and manufacturing. The company is headquartered in Sunnyvale, California. For more information, visit www.Bloomenergy.com.
About WSP Flack + Kurtz:
WSP Flack + Kurtz is a mechanical/electrical engineering firm that provided both building and energy design services in support of the entire project team. WSPF+K is part of the WSP Group (currently owned by Genivar). Together, WSP and GENIVAR are one of the world’s leading engineering and design consultancies. They provide services to transform the built environment and restore the natural environment, having 14,500 employees, based in more than 300 offices, across 35 countries, on every continent. Expertise ranges from engineering iconic buildings to designing sustainable transport networks, from land remediation to urban planning, and from developing the energy sources of the future to enabling new ways of extracting essential minerals.
Hines is a privately owned real estate firm involved in real estate investment, development and property management worldwide. The firm’s historical and current portfolio of projects that are underway, completed, acquired and managed for third parties includes 1,208 properties representing more than 488 million square feet of office, residential, mixed-use, industrial, hotel, medical and sports facilities, as well as large, master-planned communities and land developments. With offices in 104 cities in 18 countries, and controlled assets valued at approximately $23.8 billion, Hines is one of the largest real estate organizations in the world. Hines is also a world leader in sustainable real estate strategies, with extensive experience in LEED, ENERGY STAR, BREEAM, Haute Qualité Environnementale and DGNB green building rating systems. Visit www.hines.com for more information.