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Monday, February 24, 2014

New California Law Requires Disclosure of Building Energy Use


AB 1103 requires owners of non-residential commercial buildings to disclose the property’s energy use before the execution of major financial transactions, including sale, lease or refinance.

The non-residential structure types are defined in the California Building Code, and specifically exempted are buildings with residential components and buildings with occupancy type F (Factory/Industrial).

A report produced by the EPA’s Portfolio Manager online tool ( provides the disclosure, using the building’s operational and physical characteristics and twelve months of energy usage. The report is called the “Data Verification Checklist” for compliance with AB 1103.

Effective January 1, 2014, the disclosure is required for all non-residential buildings greater than 10,000 square feet. The compliance deadline is July 1, 2014 for buildings greater than 5,000 square feet.

Marika Erdely, CEO of Green EconoMe, was Guest Speaker at the BHGLAAR Commercial Networking & Marketing Session on February 18, 2014. She provided the information on this new requirement to the attendees. Visit or call the Association at (310)967-8800 to learn more about BHGLAAR Commercial Real Estate Committee events.

Brian Brubaker

Chairman, BHGLAAR Commercial Committee

4:35 pm pst 

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