HOW TO CALCULATE AND PRESENT DEEP RETROFIT VALUE

The executive summary introduces a guide for owner-occupants to capture the full value of deep energy retrofits, which are defined as those reducing energy consumption by 50 percent or more. It argues that these investments generate significant, quantifiable business value through non-energy benefits, such as improved employee health, productivity, and risk management. The document presents the RMI Retrofit Value Model, which links design and execution practices to direct and indirect outcomes, ultimately impacting property and enterprise performance. It details nine specific value elements—ranging from reduced health and employee costs to enhanced property-derived revenues—that professionals can use to build a comprehensive business case for deep retrofits.

• Deep energy retrofits, which are characterized by their ability to reduce a building's energy consumption by 50 percent or more, provide substantial financial benefits that extend beyond energy cost savings.
• The RMI Retrofit Value Model illustrates a causal chain where design and execution practices lead to direct and indirect retrofit outcomes, which then improve property or enterprise performance and create quantifiable retrofit value.
• Non-energy business value from deep retrofits is categorized into nine discrete elements: retrofit development costs, non-energy property operating costs, retrofit risk mitigation, health costs, employee costs, promotions and marketing costs, customer access and sales, property-derived revenues, and enterprise risk management/mitigation.
• Deep retrofits can lower corporate expenses by reducing health costs through better ventilation and pollutant control, and by decreasing employee costs related to recruiting, retention, and compensation.
• Sustainability leadership achieved through deep retrofits can offset marketing expenses and increase sales, as customers increasingly require demonstrated sustainability performance when making purchase decisions.

APA

RMI (2014). HOW TO CALCULATE AND PRESENT DEEP RETROFIT VALUE. https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_2014-12_DRV-ExecutiveSummary.pdf

Chicago

RMI. HOW TO CALCULATE AND PRESENT DEEP RETROFIT VALUE. 2014. https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_2014-12_DRV-ExecutiveSummary.pdf.

Wikipedia

{{cite report |author=RMI |title=HOW TO CALCULATE AND PRESENT DEEP RETROFIT VALUE |date=January 2014 |url=https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_2014-12_DRV-ExecutiveSummary.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{rmi2014how, author = {{RMI}}, title = {{HOW TO CALCULATE AND PRESENT DEEP RETROFIT VALUE}}, institution = {RMI}, year = {2014}, month = jan, url = {https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_2014-12_DRV-ExecutiveSummary.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }