Engineering Economic Analysis
Engineering Economic Analysis
13th Edition
ISBN: 9780190296902
Author: Donald G. Newnan, Ted G. Eschenbach, Jerome P. Lavelle
Publisher: Oxford University Press
Question
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Chapter 9, Problem 1QTC
To determine

If building owners pay heating and cooling costs. What effect it have on decision of tenants about renting space in green buildings.

Expert Solution & Answer
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Answer to Problem 1QTC

It will have positive effects.

Explanation of Solution

Green buildings are those which have better access to natural light, efficient heating-ventilating and Air conditioning system, water conservation, public transit, better quality of indoor air and many more. It keeps people comfortable in office buildings. protect inventory in warehouse. So people prefer to have office space in green buildings. But in such structures maintenance, repair and replacements of systems becomes crucial and expensive also.

If these entire cost will be borne by owners then tenants have to pay rent only. Then theses office spaces will be in more demand .Tenants will be more happy to have renting spaces in such buildings where they have to pay rent only.

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Chapter 9 Solutions

Engineering Economic Analysis

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