Heating, ventilation and air conditioning (HVAC) systems are the unseen workhorses of retail. From corner shops to shopping centres, they ensure comfortable temperatures, good air quality and energy efficiency. Yet many retail properties are running on systems that are past their prime, consuming more energy than necessary and carrying higher maintenance risks.
For retailers and landlords, the question is no longer if these systems should be updated, but how and when. Retrofitting HVAC can bring significant benefits - from lower operating costs to reduced carbon impact - and today’s technologies are designed to make the process easier and less disruptive than many assume.
Why retrofit and why now?
The British Retail Consortium’s Climate Action Roadmap has set ambitious net zero targets for 2040. HVAC is a factor that can provide some big wins in carbon reduction. Heating and cooling account for a large share of operational emissions across the sector, making it one of the most effective areas for change.
At the same time, regulation is shifting. F-Gas legislation is tightening, with high-GWP refrigerants (used in air conditioning systems) being phased out. Systems relying on older refrigerants carry environmental drawbacks and are becoming more expensive to service as spares and gases are withdrawn under the new regulation. Acting sooner rather than later avoids the regulatory risk and rising maintenance bills.
The key considerations
Every HVAC retrofit project comes with practical questions. Four points stand out for retail properties:
Time: Retailers need to know when work can be done with minimal disruption. The BRC recommends timing HVAC upgrades with ‘trigger points’ in lease and maintenance cycles that facilitate smoother and more efficient retrofitting. Time is also important in terms of reducing downtime for the business.
Smart retrofit approaches reuse existing infrastructure such as pipework, cabling and controls to reduce installation time. For example, replacing equipment while retaining pipework can halve the installation schedule compared with a full replacement.
Cost: The financial outlay of a retrofit should be set against lower long-term operating and energy costs. But here, the principle of re-use can also make a significant difference to the financial impact of an HVAC retrofit.
A recent project in Newcastle illustrates the point. A retail store spent around £210,000 on a retrofit that included pipework reuse, compared with an estimated £386,000 for a full system replacement. That is a 45% capital saving, before factoring in lower operating costs and reduced downtime for maintenance of an ageing system.
Carbon: Embodied and operational carbon contribute to the whole life carbon footprint of a building. Retaining existing pipework and cabling prevents unnecessary demolition and avoids tonnes of embodied emissions. Operationally, switching to modern systems with low-GWP refrigerants such as R32 can also reduce the carbon impact of an HVAC system by more than 60% compared with legacy gases like R410A.
Energy: With volatile commercial electricity prices an ongoing business issue, energy efficiency is a key driver for considering HVAC updates. Today’s retail-ready HVAC systems are designed to optimise energy consumption. Centralised controls, such as Mitsubishi Electric’s AE-C400E, can monitor and regulate hundreds of units across an estate, using CO₂ sensors and cloud-based access to cut energy waste and give real-time insights.
Retrofit technologies for retail
Today’s HVAC technology is increasingly retrofit-friendly. The focus is not on “rip out and rebuild” but on smart integration. There are four significant factors or principles to look for when setting out on an HVAC retrofit project:
Retain, reuse, replace: Existing pipework, cabling and control systems can often be kept, with only condensers, indoor units or failed components swapped out. This minimises disruption in live retail environments.
Low-GWP refrigerants: Modern systems use gases with a lower global warming potential, reducing both environmental impact and future compliance risk.
Smart controls and monitoring: Centralised systems allow estate-wide optimisation. Retailers can manage HVAC remotely, detect faults early through predictive maintenance, and scale up as required.
Phased rollouts: For multi-site operators, retrofits can be trialled in a single store before being applied across the portfolio, helping refine the approach and spread investment.
Overcoming challenges
Retail retrofits do come with hurdles, such as legacy electrical infrastructure, the need to work while trading, and the complexity of older sites. However, these are manageable with planning and the right expertise. Mitigation strategies such as repositioning condensers, using isolated swap-outs, and scheduling works seasonally can all reduce disruption.
Most importantly, retrofitting avoids the risks of unnecessary demolition. Stripping out viable infrastructure is not compatible with net zero ambitions. A retrofit strategy aligns financial, carbon and operational goals.
A strategic opportunity
Retailers are under pressure from tighter margins, changing consumer expectations and the need to meet sustainability targets. HVAC retrofits offer a rare opportunity to address all three. They reduce costs, improve resilience, and make progress on carbon reduction.
For landlords, a modern, efficient HVAC system also enhances asset value and tenant appeal. For retailers, it means stores that are more comfortable, compliant and cost-effective to run.
Retrofit doesn’t mean compromising on quality of product or system performance. With today’s technologies, it means smarter decisions, faster installations and a clear path to lower-carbon, energy-efficient retail premises.
