The solar installation questions we get asked most in our conversations with landlord clients

At Two Blues, we provide solar funding to clients ranging from businesses leasing a single property to landlords with numerous portfolios of industrial and commercial buildings. We noticed some of the same questions popping up in every early stage conversation we have with landlords, so we thought we’d collate this handy FAQ to answer the most common ones.

1. How can I, as a landlord, benefit from rooftop solar? 🏢

Both tenants and landlords are subject to increasing ESG regulation and reporting requirements, and therefore a building’s sustainability credentials are a higher priority than ever before.

Recent surveys have shown that “green” commercial buildings attract higher sales values and higher rental yields – partly due to the sustainability benefits, and partly due to lower associated energy costs. The installation of solar can also typically improve your building’s EPC rating by one grade.

Find out more here.

2. How much will it cost me? 💷

Whilst the initial upfront investment can be substantial, so too can the benefits. An average sized roof of 40,000 sqft can hold a solar system which generates c. 400,000 kWh of energy and will cost c. £365k. 

However, if you’ve got other priorities for your capital, Two Blues Solar offers a means of accessing solar without any capital expenditure. We’ll simply enter into a Power Purchase Agreement with your tenant to sell them energy at lower than market rates.

All we need from landlords is a licence to underlet the roofspace for the duration of your tenant’s lease. If their lease is short, we’ll also enter a roofspace lease with you for the remaining term that we’ll own the solar assets. Your future tenants can therefore benefit too. 

3. How long will it take to install and will it disrupt my tenant’s business operations? ⌛

A typical commercial rooftop solar project will take c. 6 months to complete from the point at which permissions are requested from the distribution network operator (DNO) to getting panels on the roof.

If you as a landlord are looking to arrange this for your tenant, you will need to select an experienced solar installer and manage this process effectively. Alternatively, Two Blues Solar offers a fully-funded and managed solution whereby we will coordinate this full process on your and your tenant’s behalf.

The actual installation only takes c. 2 weeks and any operational downtime is likely to be limited to half a day. This can often be arranged for weekends and/or evenings if needed.

Rooftop solar therefore offers you and your tenant a really quick and visible sustainability win.

4. What happens if there’s an issue with the solar panels in the future? 👷‍♂️

Most solar panels come with a 25 year warranty, and we are seeing longer warranties entering the market. However, both reactive and preventative maintenance is likely to be required over their lifetime.

If you as a landlord choose to fund a solar installation, it’s really important that you put in place the right legal agreements regarding repair and maintenance to manage landlord and occupier liability. 

When you embark on a solar project funded by Two Blues Solar, we are wholly responsible for the costs of the maintenance and it’s in our interest to ensure that problems are fixed as quickly as possible. We therefore have sophisticated monitoring systems to alert us to potential problems and also conduct regular preventative maintenance.

We also act as an intermediary between you and the tenant and have developed strong legal documentation to mitigate the risk of any disputes that might otherwise occur regarding repair liability.

5. What happens if the technology becomes obsolete? 🪟

When it comes to potential obsolescence, one of the advantages of solar is that it is already at a relatively cost efficient and sophisticated stage in comparison with many other renewable technologies. Future progress is therefore likely to be incremental.

At Two Blues Solar, our interests are aligned with our clients in ensuring their solar is as efficient and productive as possible. That’s why we seek out innovative solutions for our clients and will always look into upgrading panels if superior technology enters the market that would deliver a significant benefit uplift.

Any further questions? Feel free to get in touch with us at info@twobluessolar.com!