Why we invested in ecoworks
.jpg)
Although new buildings are constructed with high standards, many existing buildings need an upgrade to meet our climate goals. Throughout Europe, a significant portion of the existing building stock dates back to an era when energy efficiency was not a central concern. These buildings commonly have outdated insulation, inefficient heating and cooling systems, and single-pane windows that lead to excessive energy waste. Improving the energy performance of these buildings is not only an environmental necessity but also an economic one. Such structures tend to have higher energy bills due to inefficiencies, making them more costly to maintain and less attractive to both owners and tenants.
Despite recognizing the urgency of these upgrades, the current rate of renovation falls short of what is necessary to achieve climate targets. The current annual renovation rate in Europe hovers around 1%, while at least 2% would be needed to meet the continent’s climate goals. At the same time, falling productivity in the construction sector, coupled with a shortage of skilled labour as well as rising energy and building materials prices, threaten to make energy renovation even more costly and — ultimately — uneconomical.
This situation underscores the critical need for a more industrialized and streamlined approach to energy renovation.
At KOMPAS VC, we back exceptional founders who accelerate the digital transformation and decarbonisation of the building and manufacturing industries. This is why we are excited to partner with Ecoworks, a pioneer in the serial energy renovations market.
Market Leadership
Ecoworks has rapidly positioned itself as a market leader in the serial energy renovation space, displaying a clear understanding of the industry’s challenges and opportunities. Unlike traditional firms, which often require multiple parties to complete a project, Ecoworks provides an all-in-one solution. While complex energy upgrades usually entail significant coordination efforts, leading to slow processes and limited scalability, Ecoworks has introduced a streamlined and scalable approach, setting it apart in the industry.
In a time where environmental responsibility is a priority for both individuals and businesses, Ecoworks’ leadership in the market positions them to capitalize on the growing demand for sustainable renovation solutions. By being at the forefront of the industry, Ecoworks is well-positioned to drive change and set new standards for energy-efficient building practices across Europe.
Digital Process
Ecoworks has leveraged the power of digital tools to create an integrated process that moves all planning and coordination onto a dedicated platform. Their adoption of digital technology caught our attention as a pivotal factor. By integrating a robust digital platform into their operations, Ecoworks brings unparalleled advantages for both clients and the company itself.
The digital integration starts at the planning stage, where advanced analytics and modelling facilitate precise assessments of a building’s envelope and potential upgrades. This enables the customization of renovation strategies to meet the specific needs of each building, optimizing efficiency and outcomes, while also potentially enhancing floor space and tenant experience.
Industrialisation of energy renovation
The platform also enables the industrialisation of the energy renovation process, allowing for a step change in the speed and scale of these projects. The use of standardised, prefabricated components, produced in controlled factory environments away from the construction site offers several advantages vs. the traditional approach
- Precision and Quality Control: The controlled factory environment allows for precision in manufacturing, ensuring that each component meets the highest quality standards. This reduces the likelihood of errors and defects commonly associated with traditional on-site construction.
- Speed and Efficiency: With components pre-fabricated offsite, the on-site construction process becomes significantly faster. This acceleration is crucial for serial energy renovations, enabling Ecoworks to efficiently upgrade entire building portfolios within shorter timeframes.
- Cost Savings: Standardization and mass production of components contribute to cost savings. Ecoworks can negotiate bulk pricing for materials, reduce labor costs through streamlined processes, and minimize construction delays, resulting in a more cost-effective solution for clients.
- Tenant-Friendly Upgrades: The use of standardized components and offsite prefab construction minimizes disruptions to building occupants. Tenants can often remain in their apartments during the renovation, experiencing only minimal inconveniences. This tenant-friendly approach not only enhances the overall experience but also encourages broader acceptance of energy renovations.
Investing in Ecoworks is not just a sound financial decision; it’s a commitment to supporting a company that is reshaping the future of serial energy renovation. As we strive to meet climate goals and build a sustainable future, Ecoworks stands out as a beacon of innovation and leadership in a vital industry.
Serial energy renovation is the path forward, and Ecoworks is not only walking it but leading the way. Through our partnership, we look forward to witnessing Ecoworks contribute significantly to the transformation of Europe’s building landscape, making it more energy-efficient, sustainable, and resilient for generations to come. Together, we are investing in a greener, cleaner future.
— by Andreas Winter-Extra, Partner at KOMPAS VC
