Hybrid Heating Systems – Cushman & Wakefield Analyzes Real Savings for Poland’s Warehouse Market
Rising energy prices, regulatory pressure, and companies’ pursuit of sustainable development goals are making operational cost management in industrial and logistics properties a key element of operational strategy.
The latest analysis by international advisory firm Cushman & Wakefield shows that implementing an appropriately selected heating system can bring significant savings: up to 50% lower operational costs and over 40% reduction in CO₂ emissions compared to traditional gas solutions. Such substantial reduction in operational expenses is now crucial not only from the perspective of business efficiency, but also due to investor and tenant expectations, for whom cost predictability is becoming an increasingly important factor in location selection.
The Future of Heating Systems – Hybrid as an Answer to Complex Needs
Cushman & Wakefield notes that current market habits – particularly regarding the use of gas radiant heaters – may hinder rapid transformation, however economic and environmental arguments are increasingly prevailing. Changes in tenant expectations, for whom both total rental cost and the level of sustainable development goal achievement matter, make energy efficiency one of the main competitive differentiators of a property. Faced with growing legislative pressure and rising CO₂ emission allowance prices, companies are actively seeking solutions that will allow them to reduce their carbon footprint and maintain regulatory compliance without sacrificing operational flexibility.
The report “Hybrid Savings. Savings and Efficiency in Warehouses” compares three main heating technologies: gas radiant heaters, air-to-air heat pumps, and hybrid systems. Each has its advantages and limitations. Gas radiant heaters stand out with low installation costs and quick response, which works particularly well in halls with high air turnover and high loading dock doors. However, their disadvantage remains high operational costs and carbon dioxide emissions. Heat pumps, the most energy-efficient, offer significant operational cost savings and emission reduction, though they lose efficiency in extremely low temperatures. Hybrid systems, combining both solutions above, automatically adjust the heat source to current weather conditions and energy prices, ensuring flexibility, reliability, and compliance with environmental requirements.
Cost Analysis and Investment Profitability
From an investor’s or property manager’s perspective, choosing a heating system cannot be purely a cost decision – it’s a strategic choice affecting the long-term attractiveness of the asset. An example analysis conducted for a model warehouse facility with an area of over 11,000 sqm shows that a gas system generates annual operational costs of PLN 266,510 with CO₂ emissions of 101.9 tons. Heat pumps reduce these costs to PLN 131,226 and reduce emissions to 58.7 tons. A hybrid system offers a compromise solution – costs at PLN 174,987 and emissions of 62.3 tons CO₂. Moreover, although investment in heat pumps requires the largest outlay (approximately PLN 1.9 million), its payback period is 8.2 years, while for a hybrid system it’s 10.4 years.
However, it should not be forgotten that hybrid systems offer not only flexibility in energy management, but also resistance to extreme temperatures and energy carrier price volatility. This makes them a particularly interesting solution for investors expecting cost predictability over a longer time horizon. From property owners’ perspective, implementing such systems can also positively impact the asset’s market value. Properties offering high energy efficiency and modern technologies are today decidedly better perceived by both tenants and investment funds. In the longer term, it will be precisely the technical standard and ability to adapt to changing market conditions that will determine a property’s competitive position.
Renewable Energy Sources and Automation Provide Additional Support
Photovoltaics constitute an important complement to hybrid heating systems. In facilities where installation of 300 kWp panels is possible, it’s possible to cover approximately 20% of annual energy demand. This translates to savings reaching up to PLN 200,000 annually, with investment payback time ranging from 4 to 6 years. Such solutions additionally strengthen the property’s positive image in the ESG context. Moreover, partial independence from external energy suppliers is possible, which gains additional significance in the situation of geopolitical instability.
Building automation is also playing an increasingly important role. Intelligent HVAC control systems, based on temperature and humidity sensors, allow precise adjustment of equipment operation to real user needs and variable external conditions. Thanks to integration with energy management systems, investors can monitor utility consumption in real time and make quick optimization decisions. Furthermore, data generated by these systems support ESG reporting, enabling transparent communication with investors and tenants.
These systems can also be integrated with energy consumption forecasting and dynamic load balancing. Modern tools, such as machine learning, allow predicting thermal demand with accuracy down to individual hours, which additionally increases energy efficiency and reduces operational costs. The future belongs to “smart” facilities that not only react to current conditions, but learn usage patterns and optimize their operation in real time. These solutions are beginning to be not only an attractive innovation, but are becoming a new standard expected by conscious tenants and institutional investors.
ESG Reporting as a Tool for Building Competitive Advantage
In the context of growing pressure for sustainable development, ESG-related issues are becoming not only a regulatory requirement, but also a factor building market value and property reputation. More and more tenants and investors – especially institutional ones – expect detailed data on energy efficiency, emissions, and environmental impact of facilities. Modern hybrid heating systems and supporting photovoltaic systems and automation allow for collecting and analyzing data necessary for preparing reliable ESG reports. A well-designed and coherent reporting system can today be as important as the facility’s location or lease terms – especially in the context of raising capital market financing.
It’s worth noting that implementing modern ESG reporting systems not only improves the facility’s transparency and reputation, but also allows for faster and more effective response to changing legal regulations and financial institution expectations. In the longer term, this may translate to more favorable credit terms, greater interest from foreign investors, and the possibility of obtaining environmental certificates that enhance the property’s prestige compared to competition. The better a facility fits into sustainable development and energy efficiency assumptions, the greater its chances of maintaining stable market value over a longer period and maintaining high occupancy levels.
Market Ready for Transformation
The Polish warehouse market is characterized by one of the youngest infrastructure resources in Europe – one third of approximately 35 million sqm of area has been commissioned in the last three years, and half of the resources are no more than five years old. Such a modern building base favors implementing low-emission and automated solutions, which are becoming not so much an advantage as a necessity in the reality of increasingly demanding EU regulations.
A modern approach to designing and modernizing heating systems assumes not only choosing appropriate technologies, but also integration with energy management systems, monitoring, and ESG reporting. Both owners and tenants today expect cost stability and compliance with EU taxonomy. Hybrid systems, supported by renewable energy sources and intelligent management, are becoming the answer to these challenges and the foundation of sustainable development in the logistics real estate sector.
About Cushman & Wakefield
Cushman & Wakefield (NYSE: CWK) is a leading global firm providing services to commercial real estate owners and tenants. It employs approximately 52,000 employees in nearly 400 offices in 60 countries worldwide. In 2024, its revenues reached $9.4 billion USD. The company’s key services include property, facility and project management, leasing brokerage, capital markets transaction services, and valuations. For its continuous pursuit of excellence according to the principle “Better never settles,” Cushman & Wakefield receives numerous distinctions and awards in industry and business competitions. Additional information at www.cushmanwakefield.com.
Technical Manager in the Industrial & Logistics department at Cushman & Wakefield. Responsible for providing technical support to the department.
He gained professional experience including at Panattoni Development Europe Sp. z o.o. as Predevelopment Manager responsible for warehouse-service-production projects in Silesia. Previously, he worked in general contracting and design offices on industrial facilities.
Jakub is a graduate of Silesia University of Technology in Gliwice (Architecture) and AGH University of Science and Technology in Krakow (BIM). He also holds building permits for unlimited design in architectural specialty.