Pebblebrook Implementing Sustainability Best Practices Across Portfolio
02/04/2016 | by Sarah Borchersen-Keto

Jeremy Tobin, asset management analyst at Pebblebrook Hotel Trust (NYSE: PEB), joined REIT.com for a video interview at NAREIT’s 2016 Leader in the Light Working Forum at the Ritz Carlton – Coconut Grove in Miami.

According to Tobin, most of Pebblebrook’s sustainability achievements are made on an individual asset basis, rather than portfolio-wide. Pebblebrook’s asset management team takes a “deep dive” approach and implements a list of best practices at both new and existing assets, Tobin said. The list has been developed through Pebblebrook’s interactions with various management companies, and includes items such as operational best practices and large capital investments, he noted.

To date, Pebblebrook has identified more than $8 million of energy-related savings across its portfolio, according to Tobin.

Meanwhile, Tobin said the Hotel Monaco in Washington, D.C., best exemplifies Pebblebrook’s sustainability achievements. The hotel, which is the original United States General Post Office and Tariff Building, was built in 1839, and its historic nature has presented some unique challenges, Tobin said. Since purchasing the hotel in 2010, Pebblebrook has undertaken a range of projects that include a steam to natural gas conversion.

As a result of these efforts, Pebblebrook has been able to achieve more than $525,000 of annual savings at Hotel Monaco, and the overall cost per occupied room has fallen by more than 40 percent, Tobin added.

Tobin also said he expects the real estate industry to pay increasing attention to sustainability metrics, which will increase disclosure and boost competition.

“Pebblebrook is definitely a proponent of sustainability initiatives. It’s a great way to invest in our assets and has a favorable return on investment for the owner,” he said.