Ask The Experts - Commercial Landlord
“I often tell clients that solar energy is win-win for both landlords and business tenants; I say it often because it is so glaringly true!”
We sat down with industry expert, David Stretch - Head of Customer Real Estate Solutions, to get a valuable insight into why commercial landlords and business tenants make for a perfect combination to mutually benefit from installing a solar energy system.Q1. What are the key benefits of installing solar for commercial landlords?
If I had to sum it up in two words it would be: ‘saving money’. That’s me putting it simply. Solar generates cheaper electricity and subsequently protects landlords from market volatility and price increases. Carbon reduction is another major driver, as many landlords, particularly in high-power industries, face increasing pressure to cut emissions, meet evolving legislation (EPCs), and strengthen ESG reporting. Installing solar accelerates progress toward sustainability goals and can also attract tenants who prioritise environmental responsibility, helping to secure and retain business. Additionally, solar can enhance property value through both its environmental prestige and its long-term operating cost reductions, making it a renewable asset that delivers ongoing returns.
Q2. How will solar energy benefit business tenants?
I often tell clients that solar energy is win-win for both landlords and business tenants; I say it often because it is so glaringly true!
Leasing a building with a self-generating, cost-saving solar asset offers tenants multiple benefits. They gain access to electricity at rates lower than grid prices, along with greater energy security and independence from market volatility and sudden price increases. Solar also enhances resilience, enabling operations to continue during outages. Furthermore, it provides one of the most accessible and impactful ways for tenants to progress toward sustainability and net zero targets.
Q3. How can I find out if my building is suitable for solar panels?
Generally speaking, commercial properties of all types can take advantage of solar systems. We see demand from all industries and property types. Having roof or spare land is a good place to start. I don’t say that flippantly, I say it to make a point that solar power is very flexible, adaptable, scalable and affordable.
I think the key point to get across here is that each system we design is tailored precisely to fit the infrastructure and operating requirements of your building and your tenant’s business needs. We work out exactly what size system you need to get optimum efficiency and maximum cost savings.
Q4. Can a landlord sell the solar energy their building generates?
The answer is a resounding, yes! Self-generating reliable, secure, sustainable energy delivers long-term value and attractive income streams. Firstly, you can sell electricity directly to your commercial tenant at a more competitive rate than grid-derived power - keeping both parties happy.
Not only that, by generating more power than your tenant may need, you can sell this excess energy back to the grid or even sell that power to other businesses.
Q5. How does Centreco support landlords through the installation process?
I’m sure I speak for the team and Centreco’s ethos when I say how much we pride ourselves on delivering a complete customer-centric experience from a client’s first approach all the way through to installation and system management.
Unlike some competitors, the service we provide is end-to-end from: consultation, costing, design, building, installation and system maintenance. We manage this entire process in-house among a tight-knit team of experts. We do this because it works! And what I mean by that is, it ensures a consistently high quality service and a totally connected process for you from start-to-finish.
Q6. What is the best way to fund a solar installation?
Our flexible finance packages are designed to ensure that you maintain a cash positive profile throughout a solar system’s lifetime. In other words, you’ll be earning more profit from self-generating energy and selling it on to the tenant than you’ll be paying for the solar asset. Solar as a Service (SAAS) is a new, fully managed way for businesses to access sustainable, low-cost solar energy through zero upfront cost solar installations. This innovative financing model, has been designed for commercial and industrial businesses seeking the benefits of solar power without the risks, such as capital risk, upfront costs, or operational burden.
The financial rewards for a landlord become even more attractive at the end of the payback period because you will own the solar asset outright and continue to cash in the benefits of producing and selling renewable low-cost onsite energy.
In today’s climate of rising energy costs and tightening sustainability targets, the shift to solar isn’t just environmentally responsible, it makes solid commercial sense. David Stretch highlights the broad advantages: lower utility costs, reduced carbon footprint, and enhanced energy security.
Centreco’s fully managed service, from navigating procurement and tenders to installation and lifetime maintenance, removes barriers and simplifies the process. For Commercial Landlords looking to future-proof their operations, solar isn’t a distant ideal, it’s an immediate, impactful solution. Now is the time to lead by example and invest in clean, reliable energy for the long term.