How this property giant is waging war on office waste
Property fund and landlord ISPT is waging war on waste by re-using office furniture and fit-outs as it upgrades its vast portfolio.
Instead of knocking down a property and rebuilding, the fund is upgrading and retrofitting its assets, sending unwanted desks, ceiling tiles, chairs, carpets and even kitchen sinks to use in other buildings across the country.
The office building at 270 Pitt Street is being renovated and ISPT is recycling as much of the office furniture as possible. Credit: Dominic Lorrimer
Items that cannot be relocated are being donated to charities or sold, with the cash generated funnelled back to the charities.
This will be the case for its site at 270 Pitt Street, Sydney, where it will invest $170 million to create an A-grade, 25-storey tower with 22,660 square metres of office space while retaining the building’s internal structure and facade.
ISPT head of property Amanda Steele said the fund is increasingly investing in repositioning assets as part of a commitment to its environmental, social, and governance (ESG) program. Other major recent refurbishments include 477 Pitt Street, Sydney, and 500 Bourke Street, Melbourne, saving upwards of 57,000 tonnes of embodied carbon.
ISPT has invested more than $460 million across the three assets to transform them into A-grade office space.
‘Retrofitting 270 Pitt Street will allow us to unlock the full value of the site, while adding more A-grade commercial floor space to the inner-city office market.’
ISPT Head of Property Amanda Steele
Within 270 Pitt Street, there were 1400 workstations and chairs relocated to Parramatta. The cost was $400 per desk, compared with $1600 for a new desk. The remaining desks will be reused within 270 Pitt Street and other ISPT assets
“We explored several potential uses for 270 Pitt Street, but given our proven track record in successfully refurbishing commercial assets into market-leading offices and the fact that the most sustainable building is one that already exists, we decided to invest in revitalising this strategically located asset,” Steele said.
“Retrofitting 270 Pitt Street will allow us to unlock the full value of the site while adding more A-grade commercial floor space to the sought-after inner-city office market.”
Companies move, on average, every five to 10 years – more frequently now as they seek better facilities – leaving landlords battling to dispose of what is left behind in a sustainable and cost-efficient manner.
Render of the ISPT 270 Pitt Street upgrade,Credit: ISPT
To help landlords, sustainability experts The Better Buildings Partnership was formed as a collaboration of property owners and managers. It tracks waste from office towers and helps its members to become more sustainable and boost their green credentials.
The partnership’s 2023 annual report, published in April, shows renewable energy now equates to 92 per cent of base building electricity use – a huge jump from 54 per cent a year earlier.
More than 55 partnership buildings have an electrification plan, and the group is working with the Green Building Council of Australia to develop a circular fit-out toolkit following engagement with stakeholders on the challenges of office fit-out waste.
Steele said that at 500 Bourke Street, after National Australia Bank moved to Docklands in 2022, it was left with more than 15,200 desks and chairs, 42,000 sq m of ceiling tiles, 173 whitegoods and about 1000 blinds.
ISPT and construction partner Built co-ordinated to reuse tables, couches, fridges and microwaves within the building via not-for-profit ReLove, which provides funding, furniture and support to victims of domestic violence.
ISPT chief sustainability officer Steven Peters said part of the retrofit at 270 Pitt Street will include a redesigned ground floor public area featuring a new cafe and bar, business lounge, seminar room and a stronger pedestrian link at street level. Cox Architects has been appointed as lead architect on the ground floor and retail spaces.
Peters said at 255 Pitt Street, ISPT is determined to avoid contributing to the waste problem, with none so far going to landfill. About 34 per cent of furniture items were rehomed and a further 12 per cent has been flagged for internal reuse by ISPT. More than 43 tonnes of carpet tiles also have been reused.
The goal is to save at least 95 per cent of the material within, reducing project costs by cutting the need for storage and transport.
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