8M’s key mission was in creating a vibrant space that paid homage to its heritage, and the decision to pursue Green Mark certification only came later

When 8M took over the building in January 2020, their primary objective was to merge its history with modern amenities to breathe new life into the neighbourhood. Design began with a broad mix of consultants, architects and engineers, and public agencies such as the Urban Redevelopment Authority (URA) and Building and Construction Authority (BCA) were engaged early on on the vision – to create a vibrant public area with F&B services by a diversity of tenants.

It was only two years later when 8M started considering Green Mark certification for the century-old building. A consultancy study revealed that the required premium was not tremendous, and a Green Mark certification would align with the design. While there were postulations in the industry about the difficulty in greening aged assets, 8M wanted to take on the challenge in preparing buildings for the future through a more thoughtful approach to ESG.

Extensive addition and alteration works had to be done to bring the building back to its original glory. 8M then went a step further to unlock greater value with the provision of flexible, open spaces that allow tenants freedom for their F&B services. Staircases were shifted, cooling systems were introduced, and rooftop spaces were created for communal activities. With that, 8M just needed the right partners to bring the building to life.

The panel shared about their key learning points, especially on navigating the considerations to conservation to future-proof the project

Having been in the field for eight years and faced by a growing shophouse market, Sun Mi shared that 8M wanted to push themselves in this project. They had to think about staying competitive and future-ready in a sustainable manner, and at the same time work with different stakeholders to have the conversation on what the design would mean without putting a burden on the owner.

For Tamagin, he personally felt that Singapore still had a long way to go in conservation. Educating people through the design process was needed, especially when he only came onto the project midway through. Assumptions were made with respect to the MEP systems, so the more one could pre-plan integration, the more wastage could be reduced. The Great Room did a lot of test-fitting and engaged the landlord early to have the dialogue on what could be future-proofed.

In addition, decisiveness was key in helping him navigate the city’s crowded F&B market while relating it to design. Ultimately, it was important to think about the humanistic elements, finding balance between creating spaces for community but also of sustainable and sensitive design. Take for example the way The Great Room developed the spaces with considerations to human flow. At the street level, the vibrant ground floor aimed to entice people in, while the destinational rooftop would compel them to take the journey through the building. On the second and third floors, private tenants would feel at home with security and access to good F&B. These nudges had been carefully incorporated to ensure organic interaction and activity.

The need for good governance and policy, with flexibility and accountability incorporated, was raised

The discussion also revolved around governance and policy, such as the Green Mark Scheme. Considered as a playbook, it was co-designed with industry and the Singapore Green Building Design Council, and had been updated over time to ensure robustness against greenwashing. Although it may not have catered to all typologies, Kelvin said that BCA was open to adapting it based on each project. Its Incentive Scheme did not differentiate between conservation or new buildings, but it aimed to push the larger emitters more.

Sun Mi shared that 8M jumped on the scheme when it rolled out, as their total number of 25 shophouses exceeded the required quantum. They found that the local agencies were willing to have a conversation if asked the right question and appreciated the flexibility they were given to ensure the building stayed a relevant piece of architecture.

Sun Mi then mused that 8M were lucky to find a partner who wanted to continue with the Green Mark design. They were also able to build in a social and governance aspect into their lease agreement, which were sufficiently flexible for The Great Room. Accountability, Tamagin acknowledged, was essential in ESG.

However, current motivations in the industry still deviated from sustainability standards, observed Kelvin. Many buildings in the early years were made of poor concrete, so not refurbishing them had not been a consideration due to their structural issues. But the desire to tear down and build new had been purely commercial driven. Hence, on extending the Green Mark Incentive Scheme to buildings with high embodied carbon, BCA faced a dilemma between setting up funds or taking back the profit. Ultimately, their goal was to sustainably build a market of higher quality products, although it seemed to be highly supported by government subsidies at present.

Integrating various stakeholders including the end user while increasing awareness on the cost of not being sustainable could shift behaviours towards sustainability

While Kelvin noted the significant step needed to meet Singapore’s net-zero targets, attendees wondered whether incentives could be allowed for different mechanisms to motivate people other than the government to step in, such as Sydney’s Heritage Floor Space Scheme.

For Tamagin, he had learnt that it took a long time for the industry to catch up. A huge fear existed, which also affected the occupier. “It’s about integration,” he urged, “we need to do the work, create the case study, collect the data and show the evidence.” The role of end users was not forgotten, as Sun Mi shared about how other cities like New York had tried to encourage them to take action by assigning energy efficiency ratings to buildings.

In response to a remark on how residential developers increased their prices due to the premium in achieving Green Mark certification, Kelvin lamented that he had not yet seen the right behaviours in the private residential market. Buyers were not sensitive to prices and paid greater attention to location rather than sustainability, while the quality of commercial contracts could be improved. BCA was hence trying to shift such behaviours.

Tamagin pointed out that he had seen these trends emerging – he once had a tenant with a large workforce that did not need one-to-one desks because of their move towards technology and cloud-based systems. But consciousness around spending was also growing, as people were starting to spend on experiences and occupiers asking about ESG.

“Ultimately, it is about knowing the cost of not being sustainable versus the premium of being so,” Sun Mi reiterated. “The premium is getting smaller and there will soon be a cost to not being energy efficient.”

ULI Singapore and its NEXT Committee would like to thank The Great Room, venue host for this discussion.