07 Jan 2019

Sustainability Profile - Hazard Center

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Property Spotlight: Hazard Center


Location:  San Diego, California

  • Building Type:  15-story office tower, open-air retail center
  • Building Size:  Office Tower - 284,000 sq ft; Retail Space - 137,325 sq ft
  • Constructed:  1989
  • Acquired:  2003
  • Property Manager:  PM Realty Group (PMRG)

Property Overview: 

Located in San Diego’s Mission Valley neighborhood, Hazard Center offers 284,000 square feet of class-A office space and over 137,000 square feet of upscale, open-air retail space. The office tower and retail structures opened in 1990 and serve a variety of tenants, including leading credit and insurance companies, law firms, and a professional hockey team.

Improving Sustainability:

Celebrating its 25th anniversary in 2015, Hazard Center has long been an innovator in San Diego’s historic Mission Valley neighborhood. One of the first properties to incorporate the “live, work, play” holistic development concept, the property has its own trolley stop and multiuse trails developed as part of the First San Diego River Improvement Project. Spurred by a strong commitment from both PMRG and Principal Real Estate Investors, the property began monitoring energy performance using ENERGY STAR® Portfolio Manager in 2003, when the office tower achieved the first of its 12 consecutive ENERGY STAR certifications.1 The property has continually improved its energy performance through various capital upgrades, including the installation of an energy-efficient cooling tower, a cool roofing system, and variable frequency drive controls for all major pumps and fans. The team also installed LED lighting for the 2,100-space parking lot in 2009 and piloted an innovative on-bill financing program offered by San Diego Gas & Electric (SDG&E), which allowed the team to pay off the cost of the project through the observed energy savings. As a result of these improvements throughout the property, the team at Hazard Center has reduced energy costs by approximately US$108,000 per year.

The team is also actively navigating water-use restrictions, and continually seeks opportunities to reduce water consumption by pursuing landscaping and fixture upgrades, and engaging tenants by offering conservation tips and best practices. Over the past two years, the property has significantly reduced irrigation water consumption by converting turf-to-drought-resistant local plants and mulch, and installing drip irrigation systems and low-flow sprinkler heads. The property attained LEED Silver Certification for Existing Buildings in 2010. It achieved LEED Gold status upon renewing the certification in 2015, and received Building Owners and Managers Association (BOMA) 360 and BOMA International’s The Outstanding Building of the Year (TOBY) awards.


Key Facts, Awards, and Recognition:

  • ENERGY STAR score (office tower): 91

  • ENERGY STAR Certification (2003-2014, 2015 anticipated)

  • LEED EBOM Silver (2010), LEED EBOM Gold (2015)

  • BOMA San Diego TOBY Award (2005)

  • BOMA International Southwest Region TOBY Awards (2005, 2006)

  • BOMA International TOBY Award (2006)

  • BOMA 360 Accreditation (2013)

  • GRESB Green Star (2014)

  • 20% water use reduction

  • 10% energy use reduction

  • 73,000 pounds of waste diverted through recycling

Sustainability Initiatives:

The property team used the following strategies to reduce energy, water, and waste and improve the environmental impact of Hazard Center:

  • Installed energy and water efficient chiller and cooling tower, and conducted other HVAC upgrades

  • Installed a reflective, cool roofing system

  • Installed drip irrigation and low-flow sprinkler heads

  • Installed LED lighting in the parking lot and garage

  • Installed new bike racks and EV charging stations

  • Implemented an LED-only building standard in 2014

  • Began installing low-flow water fixtures in restrooms

  • Engaged landscape, pest control, cleaning, and waste management contractors that use industry best practices for sustainability

  • Converted turf to mulch and added drought-resistant plants

  • Diverted waste through paper shredding, cinema furniture, and electronic waste recycling programs

  • Held annual Earth Day events focused on recycling unique materials, item reuse, and electronic waste

  • Communicated sustainability awards and activities through media center, social media, and webpage

  • Developed quarterly tenant newsletters documenting, communicating, and encouraging sustainability efforts

  • Pursued rebates, incentives, competitions, and innovative financing mechanisms for sustainability projects with SDG&E

  • Required the property’s brokers to use sustainability communications with potential tenants

  • Distributed PRPI-related welcome packages for new tenants and vendors

  • Conducted cost analyses and implemented sustainable procurement policies for office and cleaning products


"The sustainability efforts have helped Hazard Center to continue growing as a showcase property in the San Diego market. The success of these programs has resulted in reduced operating costs and helped to differentiate Hazard Center among our Western Region investments." - Troy Koerselman, Assistant Managing Director - Principal Real Estate Investors



1Retail spaces are not currently eligible for ENERGY STAR certification under the current program.