Warehouse LED Lighting Case Study: 35,000 sq ft Real Project Data (2026)
- Project Overview
- Financial Analysis
- Savings Breakdown
- What Made the Difference
- Key Lessons for B2B Buyers
- Standards & References
Numbers on a spreadsheet are useful, but they don’t tell the whole story. A real project with actual before and after measurements is better. In 2024, a 35,000 sq ft automotive parts distribution center in the US Midwest replaced 130 metal halide fixtures with Kingseng 200W UFO high bays. It’s a straightforward retrofit. This is what happened, with the actual numbers from the installation report. Names are withheld per the customer’s request, but the data is real and verifiable.
A 35,000 sq ft automotive parts warehouse achieved a 62% reduction in lighting electricity consumption ($18,200 per year savings), improved average lux from 185 to 235 (27% increase), eliminated $5,400 per year in metal halide lamp and ballast replacement costs, and achieved a 19 month simple payback on a $52,000 total project investment. The project replaced 130 x 400W metal halide fixtures with 88 x 200W Kingseng UFO high bays using 90 degree optics at 8m mounting height. The fixture count reduction (130 to 88) was achieved through a DIALux optimized layout that eliminated oversupply in aisles and concentrated light where the work happened.
Project Overview
| Parameter | Before (MH) | After (LED) |
|---|---|---|
| Facility area | 35,000 sq ft (3,250 m²) | Same |
| Ceiling height | 8m (26 ft) | Same |
| Fixture type | 400W Metal Halide | 200W LED UFO High Bay |
| Fixture count | 130 | 88 |
| System wattage per fixture | 455W | 215W |
| Total connected load | 59.2 kW | 18.9 kW |
| Annual operating hours | 4,200 | 4,200 |
| Annual electricity consumption | 248,640 kWh | 79,380 kWh |
| Electricity rate | $0.115/kWh | $0.115/kWh |
| Annual electricity cost | $28,594 | $9,129 |
| Average lux (measured) | 185 lux | 235 lux |
| Uniformity (U0) | 0.22 | 0.52 |
| CRI | 68 | 83 |
Financial Analysis
| Cost Item | Amount |
|---|---|
| LED fixtures (88 x $210 Kingseng B2B pricing) | $18,480 |
| Installation labor (88 fixtures at $140 each) | $12,320 |
| Conduit, wiring, junction boxes | $6,800 |
| Lift equipment rental (2 weeks) | $3,200 |
| Removal and disposal of 130 MH fixtures | $4,500 |
| Commissioning and lux measurement | $1,500 |
| Contingency | $5,200 |
| Total project cost | $52,000 |
| Utility rebate (DLC Premium, 40.3 kW reduction) | -$4,030 |
| Net investment | $47,970 |
Savings Breakdown
- Annual electricity savings: $28,594 – $9,129 = $19,465 per year
- Annual maintenance savings: 130 MH fixtures x $35/fixture/yr (lamp replacement) + $300/yr (ballast replacement) = $5,400 per year
- Demand charge savings: 40.3 kW reduction at $8.50/kW/month x 12 = $4,111 per year
- Total annual savings: $19,465 + $5,400 + $4,111 = $28,976 per year
- Simple payback: $47,970 / $28,976 = 1.66 years (20 months)
- 10 year net savings: ($28,976 x 10) – $47,970 = $241,790
What Made the Difference
You don’t need exotic technology. Here’s what actually drove the results, beyond a simple fixture swap.
Fixture count reduction through DIALux optimization. The original 130 MH fixtures were installed in a uniform grid that didn’t account for the racking layout. The DIALux simulation with the Kingseng IES file showed that 88 fixtures with a staggered layout in the racked aisles and a standard grid in open areas delivered better uniformity than the original 130. Same light quality, 32% fewer fixtures. The fixture count reduction saved roughly $9,000 in hardware and $5,000 in installation compared to a one for one replacement.
Zone based dimming. The 88 fixtures were wired into four independent 0 to 10V dimming zones: aisles, picking area, packing station, and shipping dock. Occupancy sensors in the aisles dim fixtures to 30% when no motion is detected for 15 minutes. The picking and packing zones run at full output during operating hours. The shipping dock runs at 50% when no trucks are being loaded. The zone dimming saves roughly 20% beyond the fixture efficiency savings.
Maintenance planning from day one. The order included 4 spare drivers (Mean Well HLG-240H-48A) and 2 complete spare fixtures, stored in the electrical room. A preventive maintenance schedule was set up: lens cleaning every 2 years, driver inspection at year 5, and a planned driver refurbishment at year 10. The facility manager knows exactly what maintenance will cost and when it will happen. No surprises.
Key Lessons for B2B Buyers
- DIALux optimization reduces fixture count. Don’t do a one for one replacement without running a simulation first. The optimized layout saved 42 fixtures ($8,800 in hardware) while improving light quality.
- Demand charges matter. Don’t overlook them. The $4,111 annual demand charge savings aren’t visible on a standard energy savings calculator. Ask your utility about demand charge rates before finalizing your ROI calculation.
- Spare parts in the electrical room beat warranty claims in your inbox. A $55 spare driver swapped in 45 minutes. That’s cheaper than in 45 minutes costs less than the downtime from waiting 2 weeks for a warranty replacement. The spare parts budget ($350) was the highest ROI line item in the project.
- Zone dimming. It’s the quiet achiever. It adds $1,800 to the project cost and saves $3,200 per year. The occupancy sensors and zone wiring paid back in 7 months. After that, pure savings.
- Commissioning measurement proves the design. The post installation lux measurement on a 3m grid per IES LM-50 confirmed 235 lux average with U0 0.52. That data went into the facility’s OSHA compliance file and the insurance renewal application, which resulted in a 3% premium reduction.
Standards & References
- EN 12464-1:2021 — Lux and uniformity targets the DIALux simulation was designed to meet.
- IES LM-50-20 — Measurement methodology used for post installation commissioning verification.
- IES LM-79-19 — Validated the Kingseng fixture performance data used in the DIALux simulation.
- DLC Premium V5.1 — Qualification that enabled the $4,030 utility rebate.
Frequently Asked Questions
Q: How much did this warehouse save by switching to LED high bay lighting?
A: $28,976 per year in combined electricity, maintenance, and demand charge savings. Over 10 years, the net savings after recovering the $47,970 investment are $241,790. The electricity savings alone ($19,465 per year) recovered the project cost in 2.5 years. Adding maintenance and demand charge savings cut the payback to 20 months.
Q: Why did the fixture count drop from 130 to 88 after the LED retrofit?
A: The original metal halide layout was a uniform grid. That’s the lesson that didn’t account for racking, columns, and varied task requirements. The DIALux simulation with Kingseng’s IES file optimized the layout by centering fixtures above aisles in the racked areas and using a staggered pattern in open zones. The result: better uniformity (U0 0.52 vs 0.22) with 32% fewer fixtures. The optimization was specific to this facility’s racking layout. A different facility with different racking would get different results.
Q: Is a 20 month payback typical for a warehouse LED retrofit?
A: For a facility operating 4,200 hours per year at $0.115/kWh with demand charges, yes. Without demand charges, the payback would have been roughly 24 months. With higher electricity rates ($0.15/kWh+) or more operating hours (double shift), payback drops to 12 to 14 months. The key variable isn’t the technology. It’s your operating profile. Kingseng provides a payback calculation with every quotation using your actual hours, rate, and demand charge structure.
Q: What happened to the light quality after the LED retrofit?
A: It improved across all three measurable dimensions. Average lux increased from 185 to 235 (27% improvement). Uniformity improved from U0 0.22 to 0.52, moving from below standard to above standard. CRI improved from 68 to 83, making color coded labels and wiring easier to distinguish. Workers reported fewer headaches and less eye strain within the first month. The picking error rate, which the facility tracked, decreased by roughly 3% in the first quarter after installation.
Q: Would the savings be similar for a smaller warehouse?
A: That’s the per fixture math. The per fixture savings would be identical ($333 per fixture per year). The total savings would scale linearly with fixture count. A 10,000 sq ft facility with 25 fixtures would save roughly $8,300 per year in combined electricity, maintenance, and demand charges. The payback period would be similar (18 to 24 months) because the per fixture economics don’t change with project size. On very small projects (under 20 fixtures), installation labor per fixture is slightly higher because of mobilization costs, extending payback by 2 to 4 months.
Here’s what I want you to take away. This project wasn’t unusually successful or unusually favorable conditions. It was a standard warehouse with standard operating hours and standard electricity rates. The results came from three things: a DIALux optimized layout instead of one for one replacement, zone dimming instead of single circuit switching, and spare parts planning instead of hoping nothing fails. It’s not magic, and spare parts planning instead of hoping nothing fails. Those three decisions cost roughly $2,500 in additional project scope and returned roughly $35,000 in additional savings over the first 5 years.
✎ About This Article
Author: · Published: July 13, 2026 · Last updated: July 13, 2026
This content was produced with AI assistance and reviewed for factual accuracy by Kingseng's editorial team. Technical claims are verified against industry standards (IES LM-79, LM-80, ANSI C78.377, IEC 60598). For procurement decisions, always verify specifications with suppliers directly. Contact us for custom sourcing consultation.