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Hatch Data & Building Engines Partner to Streamline ESG Strategy for Leading CRE Firm

"Rather than bolting on yet another app, the Hatch Data platform integrates directly into our operational workflow, making it simple to identify, prioritize, and implement improvement strategies that deliver real value."
- Al Scaramelli, Managing Director, Beacon Capital Partners

Background

Hatch Data, the leading decarbonization platform for real estate, and Building Engines, the leading provider of modern building operations software, have partnered together to help commercial real estate leaders proactively manage building performance and operations.

One of their joint clients is Beacon Capital Partners, a tenant-focused private real estate investment firm with a 75-year legacy of successful development, ownership, and management. The firm has made a strong commitment to sustainability and ESG initiatives, including publicly committing to reduce energy consumption and carbon emissions by 2.5% annually over a 10-year period. As a widely recognized sustainability leader; Beacon has received the ENERGY STAR Partner of the Year designation every year since 2012, has over 55 million square feet of LEED Certified space, and most recently won GRESB’s Overall Regional Sector Leader award.

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Opportunity
Real estate leaders are on the constant lookout for ways to empower building teams to reduce operating costs. During site visits and regular virtual meetings, the real-time data from Hatch Data helps operating teams unearth costly issues in buildings’ operations that are often hidden in bills and occur without any noticeable disruption to staff or tenants. In 2010, the Beacon team partnered with Hatch Data to identify ways to trim operating costs, and started by examining how their buildings were starting up, shutting down, operating overnight and on weekends.

The next hurdle was rolling these waste-eliminating actions out across Beacon’s portfolio. For firms that leave building operations and engineering to experienced third-party operators, implementing firm-wide policies and initiatives can be a challenge. But Hatch Data’s portfolio-wide view of asset performance helps clients eliminate information silos and keep decentralized teams aligned, productive, and on target.

As ESG initiatives have become a more fundamental part of CRE business strategy, real estate leaders have sought out ways to improve building efficiency faster. But many firms still struggle to quickly and easily get operational recommendations into the hands of engineers, who are busy caring for tenants, doing preventive maintenance, and managing a never-ending series of daily activities. For Beacon, this meant that the review of (and subsequent actions from) automatically-generated energy efficiency measures from Hatch Data (while always well-received) often operated on a delay. But when Hatch Data integrated with Building Engines, it became possible to have efficiency measures from Hatch Data sent as work orders through Building Engines.

Approach

Through the Hatch Data platform, building operators can drastically lower building operating costs just by making inexpensive equipment adjustments to after-hours operations. With the energy performance scorecard from Hatch Data, operators can see how to maintain building thresholds within lease hours without wasting energy outside those hours. And more importantly, they can communicate these tasks to their team without burying them behind screens. According to Al Scaramelli, Managing Director and head of the sustainability and energy program at Beacon, “My engineers are always juggling dozens of priorities, moving from one platform to another. The last thing they needed was some other system to learn or some new thing to check on.”

By plugging directly into a company’s existing work order management system like Building Engines, the Hatch Data platform is able to surface issues using its own algorithms—no human input required—then populate work order tickets that get delivered directly to engineers as they move through their days. Hatch Data’s wealth of diagnostic information remains readily available within each ticket, allowing operators to quickly pull up relevant data as needed. And it can all be done via the same app that engineers use for other day-to-day operational processes.

With this integration, engineers don’t have to sit through trainings on how to use a new platform, or remember to log in every morning or sign off at the end of their shifts. When the Hatch Data platform detects unusual electricity usage, it homes in on the source of the problem and pushes a ticket to the engineers through the existing operations platform. “Building Engines is integral to my engineers’ ability to keep our buildings running smoothly,” said Scaramelli. “With Hatch Data’s measures added to it, we now have the power to consistently improve building performance and meet our company’s goals.”

Results

CRE firms need low-cost, efficient ways to get more results from their operations teams. “Reducing energy use, saving money—these are priorities for Beacon. But so are our people,” said Scaramelli. “We want our engineers to feel like they have the information they need to do their jobs well without added distractions. Hatch Data gives us that.”

Today the Hatch Data platform surfaces issues daily via Building Engines, and Beacon engineers close them out within a few days. The integration has streamlined the process of keeping buildings operating smoothly, and has helped save millions of dollars for Beacon over the past several years. “The process has become so seamless. And the amount of time it has saved the engineers—to look at the issue, identify the problem, develop the solution, and resolve the problem—it’s so much faster. It’s really been remarkable,” said Scaramelli.

“I’m confident that once our building’s data is in the Hatch Data platform, it’s only a matter of time until my team has it running optimally,” added Scaramelli. That confidence is borne from the returns Beacon continues to see on its investment in Hatch Data, year after year.

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