South Africa’s booming renewable energy sector presents a golden opportunity for commercial property owners. Have you considered your empty rooftop or unused space in your parking lot as a potential source of income? Commercial solar power rental agreements can transform these spaces into revenue generators while enhancing your property’s value.
Partnering with an Independent Power Producer (IPP) is a win–win. The IPP will handle everything from installation to long-term maintenance, while you collect rent for your previously vacant space.
Here’s how it works.
Picture transforming your open parking area into sleek, modern solar carports. These engineered structures not only provide shaded parking and a better customer experience, but also contribute to a more sustainable environment. Feeling ambitious? In time, you could upgrade your parking lot with solar-powered electric vehicle charging stations.
The most cost-effective location for solar panels is often the roof, especially if it’s unshaded and faces north. With proper mounting, solar panels on suitable roofs offer the lowest cost per watt of any mounting structure. However, a structural assessment is crucial to ensure safety and feasibility.
Before proceeding, you should review your existing lease agreements to understand utility clauses and tenant obligations. Typically, tenants are responsible for city or Eskom tariffs, which can be recovered by the landlord. This creates an opportunity to monetise previously vacant space without impacting existing tenant agreements.
Independent Power Producers play a key role in facilitating solar power agreements between landlords and tenants. They supply power to the property at the same price specified in lease agreements, while paying you rent for your space. This mutually beneficial arrangement creates a win–win for everyone involved.
By leasing out otherwise unused space for solar power generation, landlords immediately increase the net operating income of their properties. This, in turn, enhances property values without requiring capital investment. There’s nothing more attractive to buyers or investors than a property with a steady stream of additional income.
An IPP can be your ideal tenant, transforming unused space while increasing your property’s financial and environmental value. Decentral Energy, a leading IPP, has helped numerous landlords implement solar power solutions through roof or carport rental agreements. We will guide through the process and provide the perfect solar solution for your needs.
