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Residual Value Calculator for construction parts/material, consumers products etc. (as part of business model/value chain) 

Currently, there is a widespread lack of awareness on the economic value of building products and components deriving from renovation, repurposing or change of layout in buildings. Especially in office and commercial buildings, the design might change the interior materials many years before technically necessary, leading to unnecessary waste. 


The Residual Value Calculator is a model that provides insights into the residual financial value of building products, such as the interior and exterior facades of homes and offices. The residual financial value is the financial value of building products or elements after their first life cycle. Compared to a linear business models, the financial benefits of re-use of building products and elements are determined by calculating their residual value [Residual Value Calculator][4]. 


The Residual Value Calculator gives estimates about the monetary value of a certain building product or component. The model estimates the residual value after certain years of use by using factors like quality of the material, detachability, price of raw materials, and costs of transport, maintenance and repairs. This provides an incentive to disassemble and reuse materials and components, as the economic value is transparently calculated for product suppliers, project developers, housing corporations and building project financiers [Residual Value Calculator]. 


The residual value calculation also enables better understanding of different business models. The traditional linear model of selling products or services down the supply chain can be compared with, for example, buy-back or lease business models. In addition, the model improves understanding of how design-for-recycling compares with the linear model [2]. 


Since this tool needs information on materials, material passports are essential for residual value calculations to return realistic results [1]. Material passports include information about materials and construction products. 



There are very few projects focusing on residual value. One example is the Residual Value Calculator, a tool jointly developed by TNO and C2C ExpoLAB, applicable to indoor walls and facades. The project is also working on the development of a  prediction model for a larger portfolio of building products. 


Residual value is taken into account in other projects, such as Madaster and INFINITE.

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Circular economyClimate resilienceWasteAnalytics and modellingBuildingMaterials
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