Whether you’re creating a new multi-use property or office space or retrofitting existing space to better meet the needs of a community, you might be wondering if it’s worth installing electric vehicle chargers.
There are a few things you should consider before you answer:
- The U.S. has roughly 56,000 charging stations, which is not enough to meet anticipated demand in the next 7 years
- Canada needs “millions” of EV chargers to meet growing demands
Beyond that, consider the vast benefits of supplying EV charging stations for your customers or tenants. You can monetize EV charging stations or provide the service free, which can lead to faster lease-ups.
Properties with EV charging stations offer several advantages to:
- Corporations looking to lease office space
- Retail store owners that want to offer this amenity to shoppers
- Multi-dwelling unit owners, particularly in the luxury space, who can increase rent prices and attract better clientele by providing EV charging to tenants.
We’ll explore these benefits and then explain what you need to consider when choosing an EV charging station installer, what you’ll need to know before installing charging stations, and how to bill for EV charging service.
Why You Should Install EV Charging Stations on Your Property
With the massive projected growth in the EV market, demand for EV chargers will continue to expand. Convenience stores and gas stations seem to be a logical fit for EV charging stations, with locations on main highways and the other amenities drivers need already in place.
Parkland Corp., owner of Chevron and On the Run gas stations and convenience stores, is leading the charge in British Columbia, Canada, to add ultra-fast EV charging stations to 50 locations across Western Canada.
Meanwhile, Couche-Tard, parent company of Circle K and Couche-Tard fueling stations and convenience stores across the U.S. and Canada, has also added EV charging to its list of services for drivers.
But many other types of business can also benefit from providing EV charging capabilities. Target provides Tesla superchargers at many of its locations. The American Dream mall, a multi-purpose entertainment center near the Meadowlands in New Jersey also has a bay of superchargers.
According to a report from the KPI Institute, the more time a consumer spends in a store, they more they will spend. For every 1% increase in the minutes spent (known as “dwell time”), spending goes up by 1.3%.
The presence of EV chargers can attract shoppers to specific stores and keep them inside while their vehicle charges. For property managers looking to lease space in malls and strip malls, EV chargers can be a strong selling point.
Similarly, the U.S. Department of Energy reported that 80% of employers who provide EV charging in their parking lots say it has helped them with employee recruiting and retention, which are key concerns for managers today. Ninety percent of employees who use EV charging stations at work said they are happy with the program, according to the report.
Finally, since most drivers choose to charge their EVs at home, providing charging stations in multi-unit dwellings can help attract EV owners to specific properties.
Incentives for EV Charging Station Adoption
In all cases, property developers should consider that EV charging stations can help a building qualify for LEED certification.
There are federal, state, and local government incentives available to help offset the costs of EV charger installations, too. Since these programs vary widely – and change frequently – it’s best to speak with a professional in the EV charging station industry to learn about the programs available in your region.
Types of EV Charging Stations
Many types of EV charging stations exist, including proprietary chargers from Ford and Tesla and brand-agnostic chargers that work with virtually any plug-in electric vehicle. Tesla owners can purchase an adapter to charge at other EV charging stations.
EV charging stations are classified by how quickly they can bring a battery up to full charge and by the type of voltage they supply. Level 1 chargers operate off a regular 120-volt AC home electric system and typically charge vehicles overnight. Owners of MDUs might consider these type of chargers for their residents, but, in general, Level 2 and Level 3 chargers are more common in commercial settings.
Level 2 chargers operate off 240-volt AC connections, which means they must be professionally installed and you may need to enlist the help of an electrician to upgrade the power on your property. They typically offer 10 to 40 miles of charge per hour. These may be an affordable solution in an office space, since employees can plug in and charge during the workday.
Level 3 fast chargers, on the other hand, can give an EV a full charge in as little as 30 minutes. They run on DC power. These tend to be more costly but are the desired solution in many retail applications and in convenience stores or gas stations. These chargers can effectively drive consumers to your property during long road trips or shopping excursions, making them popular in businesses that seek to attract consumers.
Choosing an EV Charging Station Installer
EV charging stations have three components:
- The hardware (Level 1, Level 2, or Level 3)
- The software
- An app for users that allows them to find your stations
When you’re looking for someone to install your EV charging stations, you want to find a company that can provide a turnkey solution. They should be able to assist with site planning, procuring grants or tax incentives, completing or managing electrical upgrades, and of course, supplying and installing the appropriate equipment.
Most business owners installing EV charging stations will want a white-label software solution and app that allows drivers to find the charging stations on their route. The app should also make it easy for drivers to pay digitally through the app if you are not providing free charging as an amenity.
Networked charging stations allow you to monetize charging either by time charging, power used, or a monthly subscription fee that allows access to the charging station as needed. You can also track the power used to determine if your charging stations are profitable at the rates you’re charging.
Of course, having a profitable EV charging station is not just about the cash you might receive from drivers using your service. Other measures of ROI – such as faster lease-ups or increased time in your retail store – might be more valuable to your business.
Whatever your monetization strategy, the software you use as part of your service agreement should also make it easy to manage billing or subscriptions and monitor usage.
If there is ever an issue with one of the charging stations on your network, the software should alert you to the problem and allow technicians to troubleshoot remotely.
Finally, as with hiring any contractor, you’ll want to read company reviews and choose a company that offers positive customer service experiences. Contractors should be licensed and insured and should be partnered with reputable manufacturers of EV charging stations.
Let Monster Commercial be your first stop to find contractors focused on sustainability and eco-friendly upgrades to your commercial properties.
Acknowledgement to Eniac Energy LLC and US Charger for insight with the research for this article.