483 Bay St.

Decarbonizing by optimizing existing systems

To support the decarbonization of 483 Bay St., Northam worked with Purpose Building, a sustainability accelerator to develop a Zero Carbon Transition Plan. The plan was designed to provide a clear roadmap toward achieving zero carbon operations and obtaining CAGBC’s Zero Carbon Building – Performance Standard™ (ZCB-Performance) certification.

Like many in the Class AAA office market, Northam faces challenges with vacancies, which makes justifying capital expenditures typically required for decarbonization projects challenging. For 483 Bay St., Northam capitalized on the building’s existing strengths and took a creative approach to achieve a balance between maximizing carbon reductions while minimizing upfront expenditures.

To address the building’s largest source of greenhouse gas (GHG) emissions, Northam implemented several pragmatic space heating solutions. These strategies significantly reduced emissions and maximized the functionality of its existing systems. 

Three of the building’s original electric boilers for heating, which were abandoned in place but remained in good condition, were re-operationalized. With the current electrical capacity, two of these recommissioned boilers are now running simultaneously to meet the building’s needs.

Northam is also in the process of utilizing the building’s three thermal storage tanks, which have a combined capacity of 1.5 Olympic swimming pools to provide simultaneous hot and cold storage, optimizing energy use throughout the year. The building automation system (BAS) has also been optimized to balance the use of condensing gas boilers and electric boilers. To date, these pragmatic strategies have reduced the building’s greenhouse gas intensity (GHGI) from 7.96 kgCO2e/m² in 2021 to 7.23 kgCO2e/m² in 2024.

Reintegrating the electric boilers and optimizing their use based on hourly electricity pricing was a strategic move to help reduce emissions without increasing utility costs or incurring large capital expenditures.

Neil Armstrong, General Manager, Northam Realty Advisors

Standing out with building performance verification

To distinguish itself in a highly competitive Class AAA office market, Northam decided to certify 483 Bay St. under ZCB-Performance Standard. The ZCB-Performance certification supports Northam’s investor requirements and assists in attracting new tenants, particularly those with Environmental, Social, and Governance (ESG) priorities. Certifying has supported lease negotiations and strengthened Northam’s own ESG reporting, solidifying its reputation as a sustainability leader. Northam continues to build on this success, demonstrating an ongoing commitment to performance and sustainability.

Certification validates and helps us communicate our commitment to sustainability to our tenants and the market — We attracted a large and reputable tenant through a leasing RFP who were looking for AAA office space. A requirement of this potential 350,000 square foot tenant was strong ESG and environmental performance. We are now negotiating exclusively with this tenant and expect a deal to be completed in Q2, 2025. Our sustainability, ESG, and zero carbon initiatives played a large role in satisfying their needs and separating us from our competitors.

Neil Armstrong, General Manager, Northam Realty Advisors

For the past three years, Northam has certified the building on an annual basis, maintaining net-zero GHG emissions for the property by purchasing offsets. Annual recertification has encouraged Northam to track and verify energy and GHG emissions, which have revealed insights that have improved building function and reduced emissions without increasing utility costs. The team has monitored the building’s Energy Use Intensity (EUI) on a monthly basis for over eight years, with the current EUI at 13.56 ekWh/sqft.

Due to its unique building systems and an exceptional property management team, the building has continued to have market-leading energy efficiency. In addition to ZCB-Performance certification, the operational performance of 483 Bay St. has been recognized through its LEED Platinum certification and its 2024 BOMA Best award as the top performing Canadian office building over 1 million square feet.