Langan Energy Solutions (LES), based in Elmwood Park, N.J., recently completed a 50-kilowatt rooftop solar system for an office building owned by Entin Road Realty Associates in Parsippany, N.J.

The 65,800-square-foot, two-story building at 7 Entin Rd. is the home of the law firm of Pressler and Pressler, which occupies about 75 percent of the space. The building owners expect to save about $7,500 per year in electricity costs from the solar system, which offsets about 15 percent of the building's electricity load.

LES helps customers reduce energy expenses, generate investment income and preserve the environment through the installation of solar photovoltaic (PV) systems and energy-efficient technologies, and by providing energy procurement services to commercial, industrial, retail and non-profit customers in New Jersey, New York and Pennsylvania.

In addition to the solar system, LES also worked with Hackensack Roofing to install a new Firestone EcoWhite EPDM roof, which will help the building owners save on air conditioning costs, as well as provide a solid base for a ballasted PV system.

"Although solar goes a long way in terms of saving on electricity expenses, LES' approach is to evaluate the entire energy-use picture," said Joseph Langan, president and CEO of LES. "New Jersey has some of the nation's highest electricity rates, which makes it important for owners of office buildings - for whom electricity is the biggest expense - to examine all aspects of energy consumption."

The savings on electricity costs are also an attractive incentive for tenants, said Michael R. Herman, managing director of MRH Real Estate Services of Lodi, N.J., the leasing agent for the building. MRH Real Estate Services is seeking to lease about 16,500 square feet of second-floor space in the building, which is conveniently located near Interstates 80, 287 and Route 10.

"Tenants are seeking out buildings that offer savings and protection from rising energy costs, which are their major operating expense," said Herman, who spearheaded the initiative to install solar at 7 Entin Rd. "The ability to offer electricity at reduced rates helps a property stand out in a challenging office space marketplace; also, many corporations are now looking to locate in a building with sustainable features."

The payback period for the system is expected to be about three years, Herman said. The building owners were able to take advantage of the federal 1603 Treasury Grant Program, which covers 30 percent of the upfront cost, as well as a state rebate that covered about $40,000 of the cost. In addition, the owners were able to recoup some of the upfront cost through an accelerated depreciation allowance.

The building owners will also benefit from the sale of SRECs (Solar Renewable Energy Certificates), a state incentive that represents the environmental benefit of solar. Solar suppliers are able to sell SRECs for 15 years from the date a system is commissioned. New Jersey's generous SREC incentives have made it a national solar leader, second only to California in solar capacity.

"The combination of reduced electricity costs, the competitive edge offered by the energy savings and state and federal incentives, along with the environmental benefits, made this a hard deal to pass up," said Herman. "We will be saving tens of thousands of dollars, as well as helping to improve the environment and enhance energy independence by generating power from a clean, renewable source."

The building owner selected LES because of its connection with a construction company, River Drive Construction Co., which allowed them to handle the solar installation as well as the roof work, which included structural reinforcement, Herman said. LES' construction background also meant that they were skilled at the complex logistics of working in an occupied building.

"Although saving money on electricity was important to us, we were even more concerned that the work would not disrupt Pressler and Pressler's employees," he said. "A lot of solar integrators don't have a lot of experience; we were confident that Langan had the experience and expertise to deliver the entire package, and that they understood how to work in an occupied building."

"I'd like to acknowledge Mike Herman, who took the initiative, on behalf of his client, Pressler and Pressler, to study the benefits of solar power, the state and federal incentives and get this deal done," said Langan. "Mike is certainly not your typical commercial real estate broker."

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