Solar panels are becoming an increasingly common sight on rooftops and car ports as more landlords and owner-occupiers get on board with the idea of onsite renewable energy.

From universities to retail outlets and corporate HQs, the variety of buildings boasting solar panels is growing. The Port of Hull recently unveiled the UK’s largest commercial rooftop solar system while Sussex University is aiming to be more energy efficient with more than 3,000 solar panels across 30 buildings on campus.

And big retailers like IKEA owner Ingka, which has installed 935,000 solar panels on the roofs of its warehouses and stores in recent years, have been joined by retail investors Hammerson and British Land, which have installed solar panels on shopping centres.

What’s more, fund managers and institutional investors are now including onsite provision as part of their wider green ambitions. Legal & General’s LGIM Real Assets Real Estate Net Zero Pathway, published in late 2020, includes onsite renewable provision as part of its construction refurbishment plans for the coming years.

“With renewable energy high on the agenda, investors are realising that onsite energy provision is a sound move – and it comes with the financial benefits of being self-sufficient,” says Bertie Readhead, director in JLL’s Energy & Infrastructure Advisory team. “There’s also a very valid reason to do so in terms of future-proofing buildings across investment or real estate portfolios.”

“Occupiers share similar green ambitions, so the putting in place of contractual agreements that help both sides is a win-win. But it’s something that we’re yet to see become mainstream.”

Securing green onsite energy supply could equally help existing buildings to compete for the best tenants.

“Occupiers will continue to seek the best and latest on offer in terms of renewable energy to help them meet their own sustainability commitments,” says Readhead.