New York, NY – September 18, 2015 – (RealEstateRama) — On Wednesday, September 16, owners of small- to mid-sized multifamily buildings will have an opportunity to speak individually with city representatives and their partner nonprofits and community development financial institutions to learn how to make their properties more energy and water efficient, reduce maintenance costs, and sustain affordable housing at the Isabella Geriatric Center, 515 Audubon Avenue, in Inwood from 6:30 p.m. to 8:00 p.m. Co-sponsored by the New York City Department of Housing Preservation and Development (HPD), Community Preservation Corporation (CPC), Enterprise Community Partners, Inc., and Community League of the Heights (CLOTH), this Neighborhood Preservation HelpDesk will focus on green housing resources for small building owners, including HPD’s new Green Housing Preservation Program (GHPP).
Launched in May 2015, the GHPP is designed to assist small- and mid-size building owners across the five boroughs in undertaking improvements to reduce greenhouse gas (GHG) emissions, control operating costs, and preserve affordability. This new program and related green preservation initiatives are funded with $45 million in city capital provided by the Mayor in HPD’s fiscal year 2016 budget, and deliver on both the commitments in “One New York: The Plan for a Strong and Just City,” NYC’s comprehensive plan for sustainability and equity, and the Mayor’s Housing New York plan to create and preserve 200,000 affordable units.
“Many small building owners can’t afford the energy efficient upgrades that would provide long-term savings to help reduce the cost of utilities,” said HPD Commissioner Vicki Been. “Our new Green Housing Preservation Program helps to remove these barriers, offering owners the financial resources and technical expertise needed to make their properties more sustainable and energy efficient. It is fitting that this program officially kicks off at a Neighborhood Preservation HelpDesk, which was designed to connect small building owners to the financial resources and technical assistance they need to improve their properties and keep their properties healthy and affordable. I thank NYCEEC, CPC, Enterprise, Community League of the Heights, and all our partners for their commitment to keeping our neighborhoods strong and affordable.”
Approximately 75 percent of the City’s greenhouse gas emissions come from buildings, with 35 percent from residential buildings. At the same time, many owners of small- to mid-sized buildings are being squeezed by steadily rising energy and water costs and would benefit from weatherization and other efficiencies that would aid in reducing those expenses. Unfortunately, these owners may find it difficult to secure the financing necessary to perform the needed improvements.
GHPP was created to respond to this dual challenge. The program provides low- and no-cost financing for owners of buildings that have at least five units and fewer than 50,000 square feet (approximately 50 units) to complete energy and water conservation improvements, along with moderate rehabilitation work, in exchange for entering into a regulatory agreement to create and preserve affordable rental units Examples of energy efficiency improvements include insulation, efficient light fixtures, weatherproofing windows, and the installation of efficiency controls on systems such as boilers and low-flow water fixtures. Based on a typical scope of work, buildings may reduce utility costs by approximately 10% or more annually.
HPD will provide direct financing, and encourage owners to leverage private financing and other incentive programs where feasible. This could include utility incentive and public programs for energy efficiency, and private funding through the Program’s participating lenders – the Community Preservation Corporation (CPC), Enterprise, the Low Income Investment Fund (LIIF), the Local Initiative Support Corporation (LISC), and the New York City Energy Efficiency Corporation (NYCEEC). The agency also established a pre-qualified list of firms that will perform a comprehensive assessment of buildings’ capital improvement and energy needs, provide technical assistance, and simplify the process for building owners looking to secure public or private financing.
“We are pleased to support the City’s sustainability and housing goals and partner with HPD on this exciting initiative,” said Susan Leeds, CEO of NYCEEC. “The Green Housing Preservation Program aligns with NYCEEC’s mission of providing financing solutions for projects that save money, conserve energy and reduce greenhouse gases. With a NYCEEC predevelopment loan, all eligible building owners can now overcome upfront cost barriers, and realize the benefits of GHPP.”
“With 600,000 New Yorkers housing insecure and thousands of rent-stabilized apartments lost each year to deregulation, the City needs to leverage innovative programs and partnerships to keep every affordable apartment affordable,” said Judi Kende, Vice President and New York Market Leader, Enterprise. “The Neighborhood Preservation HelpDesk is designed to connect small building owners unfamiliar with HPD and its services to resources like the Green Housing Preservation Program that can help make buildings more energy efficient. That means lower building operating costs, rents stay affordable for existing tenants, and buildings remain stably owned. It’s a win for everyone.”
“Energy efficient upgrades and retrofits can play a significant role in helping to decrease a building’s operating and maintenance costs. It’s a win for owners and tenants, both of whom benefit from the long-term physical and financial stability of their properties,” said CPC President and CEO, Rafael E. Cestero. “Unfortunately, many small building owners don’t have the resources to make these upgrades a reality. By partnering with HPD and Enterprise on the HelpDesk we can bring a wealth of industry knowledge and technical expertise to help direct owners to public and private resources that are tailor-made to fit the needs of small buildings. CPC is proud to partner in this effort to help improve and preserve New York’s small buildings and create a more sustainable and affordable City.”
In conjunction with the launch of this program, the New York City Energy Efficiency Corporation (NYCEEC) established a predevelopment fund that will provide favorable financing terms to help with predevelopment requirements that may include a Green Physical Needs Assessment (GPNA), property appraisals and surveys, lead and asbestos testing, engineering studies and other activities as required by HPD or private construction and permanent lenders.
At the HelpDesk, owners can meet one-on-one with housing specialists to find out how they can:
Finance energy efficiency and water conservation improvements, along with moderate rehabilitation work
Register their buildings with HPD
Clear their violations
Qualify for tax abatement programs
With low- and no-cost financing, building owners will benefit from much-needed energy efficient upgrades, achieve deeper affordability through lowered utility bills, and help combat the negative impact of climate change, contributing to a stronger, more sustainable City.
Find more information about HelpDesk here: http://www.helpdesknyc.org
About HPD
The New York City Department of Housing Preservation and Development (HPD) is the nation’s largest municipal housing preservation and development agency. Its mission is to promote quality housing and diverse, thriving neighborhoods for New Yorkers through loan and development programs for new affordable housing, preservation of the affordability of the existing housing stock, enforcement of housing quality standards, and educational programs for tenants and building owners. HPD is tasked with fulfilling Mayor de Blasio’s Housing New York: A Five-Borough Ten-Year Plan to create and preserve 200,000 affordable units for New Yorkers at the very lowest incomes to those in the middle class. For more information visit www.nyc.gov/hpd and for regular updates on HPD news and services, connect with us via www.facebook.com/nychpd and www.twitter.com/nychousing.
Contact: rohfinge (at) hpd.nyc (dot) gov
(212) 863-8076
