Whether you’re building from the ground up or planning to retrofit an existing property, going green has proven benefits, from lower utility costs and increased affordability for tenants to lower maintenance costs and attractive financing options for owners. Check out these green financing programs for multifamily properties:
- Green Rewards. Financial incentives for green property improvements, including lower interest rates, additional loan proceeds, and a free energy and water audit.
- Green Building Certifications. Lower interest rates for properties that have earned a green building certification recognized by Fannie Mae, such as GreenPoint Rated.
- Healthy Housing Rewards. Lower interest rates for newly constructed or rehabilitated affordable housing properties that incorporate health-promoting design features and resident services.
- Green Certified. Affordable rental properties that have earned a green certification such as GreenPoint Rated may qualify for discounted loan pricing.
- Green Rebate. Properties with an EPA Energy Star score can receive a $5,000 rebate on new loans.
- Commercial Property Assessed Clean Energy (C-PACE) Financing Consent. Freddie Mac Multifamily can grant consent for financing from qualifying Commercial PACE programs.
- Green Assessment and Green Assessment Plus. Reimburses up to $4,000 of the cost of a Green Assessment report that shows borrowers how they can save energy or water by making property improvements.
- Green Up and Green Up Plus. Borrowers who commit to making improvements based on a Green Assessment and are able to save 30% in energy or water usage (with a minimum of 15% from energy) can get better pricing and access to more funds.
This revolving loan fund provides acquisition, construction, and term financing to affordable housing developers. Projects incorporating green building elements, energy and water efficiency retrofits or green certification may enhance the borrower’s eligibility for financing.
Energy efficiency and solar loans up to $1,000,000 offered to multifamily property owners.
Multifamily property owners can access assistance to bring down interest rates from their lender to finance an energy upgrade. BAMCAP provides loan capital at 0% interest to the lender, which means the property owner only pays interest on the loan capital supplied by the lender. Financing is available up to $5,000 per unit or $500,000 per project, whichever is less.
Property Assessed Clean Energy (PACE) financing programs allow property owners to finance energy efficiency, water conservation and renewable energy improvements and repay them through their property tax bills. BayREN’s website lists PACE programs in California. Commercial PACE is available in both California and Florida.
Multifamily programs include incentives for comprehensive retrofits, no-cost or rebated upgrades, electric vehicle charging stations, on-bill financing, common area upgrades, and solar on affordable housing (SOMAH). SDG&E also offers savings programs for tenants, including energy bill discounts, medical baseline allowances and no-cost energy-saving home improvements.
If you are a single family homeowner, check out the other resources available here: http://greenpointrated.com/financing-makes-it-easy-to-green-your-next-home/