Less than 18 months until April 2027. If your commercial property isn't EPC Band C compliant, you can't legally let it. Here's what the market is saying.

The Reality:

• Modern buildings: £6,000-£15,000

• Victorian properties: £30,000-£50,000+

• Listed buildings: Often exceeding £50,000

Small landlords are running the numbers, and many are choosing to sell rather than invest. The question everyone's asking: upgrade or exit?

Commercial landlords are selling up before April 2027. Institutional investors are buying portfolios from individual owners who won't fund EPC upgrades.

Result: The UK commercial property market is consolidating. Fast.

Heritage properties in conservation areas can't use standard upgrade solutions. No external insulation. Restricted glazing options. Limited solar panel permissions.

The problem: Standard EPC improvements are prohibited, but the compliance requirement remains.

• April 2027: EPC Band C minimum

• 2030: EPC Band B proposed requirement

Property owners face staged investments—spend £15k-£30k now, then another £10k-£20k in three years. The double hit is forcing strategic rethinks.

Exemption pathways exist:

• Third-party consent refusal

• Devaluation cap

• Maximum cost exemption (£10k-£15k per band)

The catch: Exemptions don't improve energy efficiency. Low-EPC properties will still struggle with tenant demand and rental values.

Commercial tenants are demanding Band C+ properties. The market is splitting:

High-EPC (Band C+):
✅ Strong demand
✅ Rental premiums
✅ Fast lettings

Low-EPC (Band D-G):
❌ Declining interest
❌ Rental discounts
❌ Extended voids

EPC compliance isn't just regulatory—it's become a market differentiator.

Timeline Reality:

• Now-Jan 2026: Decision phase

• Jan-Oct 2026: Contractor procurement & planning

• Oct 2026-Mar 2027: Physical works

• Mar 2027: Final EPC assessments

Contractors are booking months ahead. Delays now = missing the deadline = no rental income.

For Commercial Property Owners:

1. Audit your portfolio EPC ratings - Know which properties need urgent action

2. Get professional cost assessments - Real figures, not estimates

3. Model upgrade vs. disposal - Run the numbers properly

4. Secure contractor quotes early - Avoid the 2026 bottleneck

5. Explore exemptions for heritage properties - Start applications now

6. Consider strategic disposal - Before non-compliant asset prices drop further

We help commercial property owners navigate the April 2027 deadline with clarity and confidence.

Our Services:

• EPC compliance audits

• Retrofit strategy planning

• Financial feasibility analysis

• Exemption application support

• Contractor procurement & project management

• Alternative use feasibility (conversions, aparthotels)

April 2027 isn't a distant concern. It's 18 months away.

Properties that miss the deadline cannot be legally let. The time to act is now.

📞 Need expert guidance?
Contact Kantarigan MC Group for a confidential portfolio assessment.

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#CommercialProperty #EPCCompliance #MEES2027 #PropertyDevelopment #UKProperty #CommercialRealEstate

Ruslan Kantarigan | Managing Director, Kantarigan MC Group | Commercial Property Development & Compliance Specialists