The electric vehicle (EV) industry has experienced remarkable growth and evolution, particularly
over the last several decades. While electric vehicles have been around for more than a century, only in recent decades have they become a vital component in the global effort to reduce carbon emissions and combat climate change. The growing focus on sustainability has helped cast EVs as the future of transportation, and accommodating the development of EVs has increased the need for a nationwide EV charging infrastructure.
While electric vehicles have been around for more than a century, only in recent decades have they become a vital component in the global effort to reduce carbon emissions and combat climate change.
While the exact date is unknown, Scottish inventor Robert Anderson developed one of the first crude electric carriages. By the late 1800s, EVs had gained popularity due to their ease of use compared to steam-powered vehicles, but with the invention of the internal combustion engine, the mass production of the Ford Model T in 1913, and readily available fuel from Texas oil — EVs became virtually obsolete.
Fast forward to the late-20th century, when growing environmental concerns and advances in battery technology reignited interest in EVs. The 1990s introduced innovative models like the General Motors EV1 and the Toyota RAV4 EV that helped them gain traction again.
The year 2008 was a significant turning point for EVs, when the Tesla Roadster was introduced. The market has since exploded, with multiple manufacturers investing heavily in EV technology. According to the International Energy Agency (IEA), global sales of EVs surpassed 6.6 million units in 2021. However, a new Pew Research Center survey finds that only about three-in-ten Americans say they would seriously consider purchasing an EV, down 9% in the past year.
The White House and Congress passed legislation to help establish United States’ leadership in EV production and maintain our global competitiveness in the automotive industry. The Infrastructure Investment and Jobs Act and the Inflation Reduction Act are investing hundreds of millions of dollars into the EV sector, according to the Electrification Coalition.
The Inflation Reduction Act also extended a tax credit of up to $7,500 for the purchase of new EVs until 2032 and provided, for the first time, that tax credits could be used for purchasing used EVs. State government policies also offer incentives, such as rebates, to encourage EV ownership by helping offset the high upfront costs. Additionally, many have aggressive zero-emissions vehicle (ZEV) goals in place. Fortune Business Insights predicts the value of the U.S. EV market to hit $137 billion by 2028.
As the number of EVs on the road has surged, so too has the demand for more charging stations. Early adopters often had to rely on home charging stations or limited public charging facilities. But as the market expanded, the need for convenient and accessible charging solutions became evident, especially in urban and suburban settings where multifamily residences
are concentrated.
The absence of adequate charging infrastructure may hinder EV adoption.”
The absence of adequate charging infrastructure may hinder EV adoption. Pew Research found that 56% of Americans are not confident that the U.S. will build the necessary infrastructure to support large numbers of EVs. Thus, developing a comprehensive charging network is critical not only for the convenience of current EV users but also for encouraging potential adopters.
Charging technology and the number of companies producing charging stations has evolved rapidly. Everyone from Tesla to BP Oil is competing to become the largest EV infrastructure company in the U.S. Additionally, charging station technology varies in the level of charging output and speed, including:
- Level 1: The slowest form of charging, Level 1 uses a standard 120-volt outlet. It’s primarily suitable for home charging overnight, providing about 2 to 5 miles of range per hour of charging.
- Level 2: Utilizing a 240-volt outlet, Level 2 chargers are commonly found in residential, commercial, and public charging stations. They can provide 10 to 60 miles of range per hour, making them suitable for daily use at workplaces and multifamily properties.
- DC Fast Charging: This technology significantly reduces charging time, offering 60 to 100 miles of range in just 20 to 30 minutes. DC fast charging stations are typically located along highways and in urban centers, ideal for long-distance travel.
The need for expanded charging facilities is particularly pronounced in CRE. As more companies adopt sustainability initiatives and attract environmentally conscious tenants, installing charging stations has become a strategic advantage. This burgeoning demand is prompting developers and property managers to incorporate charging facilities as a standard feature in their properties.
KBS is committed to adding and upgrading its current charging facilities as part of its commitment to sustainability.
A leader in the CRE industry, KBS has also established its status over the years as a frontrunner in integrating EV charging stations across its portfolio. Understanding the importance of sustainable practices, KBS is committed to adding and upgrading its current charging facilities as part of its commitment to sustainability and improving the tenant experience at each of its properties.
Integrating charging stations into multifamily and office properties improves the tenant experience and helps attract future occupants.
Some key initiatives include:
- Partnerships with Charging Network Providers: KBS collaborates with major charging network providers to ensure that their properties are equipped with high-quality charging stations for a variety of electric vehicle models.
- Increased Charging Availability: KBS is focused on expanding the number of charging stations at its multifamily and office buildings, to meet the rising demand from residents and employees.
- Sustainability Goals: KBS recognizes that the greatest environmental impact the company can make is to reduce energy use and lower its carbon footprint. Last year, KBS reduced onsite greenhouse gases at its REIT III properties by 2.9% by conducting annual energy audits and implementing numerous sustainability-focused capital projects, such as adding and upgrading EV charging stations.
The rapid rise of EVs presents both challenges and opportunities, particularly in CRE. As EV adoption grows, so does the need for comprehensive charging infrastructure. Integrating charging stations into multifamily and office properties improves the tenant experience and helps attract future occupants.
To read more about KBS sustainability and ESG efforts, visit our KBS Impact page.
