Selection of district energy provider ensures greater system reliability, cost savings and better space allocation, instead of building and operating on-site heating and cooling plant

View Crain’s Cleveland Business Announcement, March 24, 2011 Headline & March 31st Fresh Water Cleveland post.

District energy provider Cleveland Thermal and Merchandise Mart Properties Inc. (MMPI) today announced that they have signed a contract under which Cleveland Thermal will serve as the heating and cooling energy provider for the new Cleveland Medical Mart & Convention Center (Cleveland MMCC) that is currently under construction in downtown Cleveland.

Cleveland Thermal, downtown Cleveland’s leading business district energy provider, will be responsible for providing thermal heating and district cooling service to Cleveland MMCC, which will be owned and operated by MMPI. Cleveland Thermal was selected by MMPI on the recommendation of Karpinski Engineering, which is handling the mechanical system mapping, analysis and design for Cleveland MMCC.

District energy is an efficient and reliable way to meet the heating and cooling needs of multiple buildings in a concentrated area, and buildings that have a high peak level usage. It eliminates the need for on-site boilers, chillers, air conditioners and other heating and cooling devices because the thermal heat and chilled water for cooling are delivered by underground pipes from the power plant to the buildings. District energy systems also provide around-the-clock operations and back-up systems in place to ensure adequate redundancy, which minimizes potential service interruptions from unforeseen events.

“We are pleased to announce that Cleveland Thermal has been selected to provide the heating and cooling service for the new Cleveland Medical Mart & Convention Center,” said Mark J. Bettin, PE, MMPI’s vice president of engineering. “Cleveland Thermal offers the reliability and cost savings that are essential for us in creating and operating a world-class, comfortable and energy-efficient facility in downtown Cleveland.” Bettin noted that MMPI’s positive experience with district energy providers at other facilities was also a factor in the company’s decision to contract with Cleveland Thermal.

“MMPI, with support from Karpinski Engineering, was a highly educated buyer of energy services, and Cleveland Thermal’s experience with them has been exceptional,” said Marc G. Divis, president, Cleveland Thermal. “During our contract negotiations, we were all focused on win-win outcomes in order to achieve the best possible end results in terms of relationship-building, system reliability and cost savings. We are delighted that our strong reputation in the downtown Cleveland district, built over many decades of service, was recognized and valued by Cleveland MMCC and Karpinski Engineering.”

Cleveland Thermal provides downtown Cleveland facilities with highly competitive thermal heating and district cooling solutions that are more efficient than traditional in-house systems. Cleveland Thermal estimates that MMPI’s decision to contract with Cleveland Thermal will save the company approximately $5 million over the 14-year life of the contract, compared with Cleveland MMCC building its own on-site heating and cooling plant. Cleveland Thermal offers 99.9 percent reliability and unmatched system redundancies to prevent loss of power. Cleveland Thermal uses a varied fuel mix in serving its heating and cooling network of more than 125 commercial, institutional, municipal and federal buildings throughout downtown Cleveland, which lowers the overall cost of energy across its customer base.

Dennis J. Wessel, PE, senior vice president for Karpinski Engineering, said, “The selection of Cleveland Thermal to provide heating and cooling for the Cleveland Medical Mart & Convention Center will help minimize project first cost because it eliminates the expense of MMPI having to cover the installation, operation and maintenance of this costly equipment. In a facility with potentially high occupancy, the on-demand availability of sufficient steam and chilled water capacity at peak levels, without having to actually build for the maximum use, is a very effective way to minimize operational costs and manage utility demand. In addition, this arrangement will enable MMPI to allocate valuable additional floor space to other uses.” Wessel also noted that the use of chilled water for cooling eliminates the need for refrigerants in the building, and the chilled water can be used even in winter, for cooling data rooms and high load spaces economically.

About Cleveland Medical Mart & Convention Center

Cleveland MMCC will integrate state-of-the-art permanent showrooms with world-class trade show and conference facilities in a single structure designed specifically for the medical industry. The complex will be a 235,000-square-foot medical mart at the corner of St. Clair Avenue and Ontario Street in downtown Cleveland and an adjoining convention center with 230,000 square feet of Class A exhibit space. The facility will also include more than 92,000 square feet dedicated to meeting rooms and a Grand Ballroom overlooking Lake Erie. Construction of the facility began on January 3, 2011 with a completion date set for fall 2013. For more information, visit www.clevelandmedical.mart.com.

About Karpinski Engineering

Founded in 1983, Karpinski Engineering is a multi-disciplined consulting engineering firm with offices in Cleveland, Columbus and Uniontown, Ohio, and Ashville, New York, specializing in building services engineering for mechanical, electrical, plumbing, fire protection, and technology systems serving regional and national architectural clients. For more information, visit www.karpinskieng.com.