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Multifamily New Construction

Build savings and value into your new multifamily building

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NYSERDA’s Multifamily Performance Program for New Construction is an integral part of our Multifamily Energy Performance Portfolio. With it, you can save even before construction begins, by planning a variety of energy-saving features, including:

  • the appropriate amount of insulation
  • high-efficiency heating and cooling systems
  • energy-saving appliances and lighting
  • high-performance windows and doors

A NYSERDA Multifamily Performance Partner will work with your design team to incorporate potential energy efficiency options into the building’s initial design. They’ll ensure that program requirements are fulfilled from the start. The fastest way to get started is to find a Partner.

Find MPP Project Near You

How your new building will benefit

  • Lower energy bills: A New York ENERGY STAR® Multifamily Building uses at least 15 percent less energy than a building constructed to American Society of Heating, Refrigeration and Air Conditioning Engineers (ASHRAE) standard
  • Better building performance: Buildings are "performance tested" to confirm that they meet or exceed the New York ENERGY STAR® Multifamily Building standard
  • Improved operations; easier maintenance: Energy-efficient technologies are generally designed for high performance and should result in all-around efficiencies for facility managers

Determining if your building is eligible

  • Buildings must be new or undergoing a gut rehab
    • A gut rehab is defined as one of the following types of projects where a licensed professional architect or engineer has prepared and certified the building plans:
      • Change of use and reconstruction of an existing building or space within;
      • Construction work of a nature requiring that the building or space within be out of service for at least 30 consecutive days;
      • Reconstruction of a vacant structure or space within.
  • Buildings must contain five or more units with at least four floors. (If your multifamily new construction contains three floors or less, it may qualify for assistance under the New York ENERGY STAR Homes program.
  • At least 50 percent of the building’s gross heated footage must intended for residential space; the remaining space can be nonresidential-related commercial space.
  • The intended use of the building must be for residential purposes. Commercial facilities, such as motels/hotels, group homes, dormitories, shelters, monasteries, nunneries, assisted living facilities and nursing homes are typically not eligible for the Program. Single Room Occupancy (SRO) facilities and senior living residences that do not include nursing or hospitalization amenities are typically eligible for the Program.
  • You must receive your electricity through one of the following utilities: Central Hudson Gas & Electric., Consolidated Edison Company of NY (ConEd), New York State Electric and Gas (NYSEG), National Grid, Orange and Rockland Utilities or Rochester Gas and Electric
  • NYSERDA incentives cannot be combined with incentives or rebates from utility company programs.

How the incentives work

Eligible buildings qualify for NYSERDA incentives based on meeting energy-savings goals, the number of units or square footage, and whether the building is market-rate or affordable housing (see the chart below).

Incentives can be used to offset the costs associated with implementing energy efficiency measures, and verifying that the completed building meets NYSERDA requirements.

NYSERDA offers two options for new construction: the Performance Path and the Prescriptive Path. The Performance Path begins with customized energy modeling to create a Proposed Energy Reduction Plan. The Energy Reduction Plan is customized to your building, and can offer significant flexibility in the manner in which your building meets its energy-savings goals. The Prescriptive Path relies instead on a fixed set of energy-saving measures and requirements. Your Partner can help you determine which path makes the most sense for your building design.

New Construction - Maximum Incentives

Affordable Performance (per unit) Affordable Prescriptive (per unit) Market Rate Performance (per unit) Market Rate Prescriptive (per unit)
$1,200 $900 $900 $675

A project's incentive may be reduced based on the cost and/or cost-effectiveness of the recommended upgrades.


New Construction - Incentive Payment Schedule

Stage 1 - Upon approval of the project's model and projected savings

Project Size Affordable Performance (per unit) Affordable Prescriptive (per unit) Market Performance (per unit) Market Prescriptive (per unit)
5-49 units $300 N/A $225 N/A
50 units & up $200 N/A $150 N/A

Stage 2 - Upon approval of the open-wall inspection

Project Size Affordable Performance (per unit) Affordable Prescriptive (per unit) Market Performance (per unit) Market Prescriptive (per unit)
5-49 units $300 $450 $225 $300
50 units & up $400 $450 $300 $300

Stage 3 - Upon approval of 100% inspection & receipt of DRAFs

Project Size Affordable Performance (per unit) Affordable Prescriptive (per unit) Market Performance (per unit) Market Prescriptive (per unit)
5-49 units $600 $450 $450 $375
50 units & up $600 $450 $450 $375

Case Studies

  • Habitat for Humanity – NYC Atlantic Avenue multifamily project – A 25 percent improvement in energy use, a prestigious Gold certification from LEED, and predictable, affordable tenant energy bills for this 41-unit complex in Ocean Hill-Brownsville section of Brooklyn. Download the Atlantic Avenue case study [PDF].
  • 1212 Martin Luther King Building – State-of-the-art building in the Bronx’s Highbridge neighborhood achieved an ENERGY STAR® rating and affordable rates for its tenants through a comprehensive suite of energy efficiency measures, which added only $3/sq ft to the $145/sq ft cost of the building, and will return upwards of $12,000 per year in energy savings. Download the Martin Luther King Building case study [PDF].
  • Via Verde – The Multifamily Performance Program was an integral part of a larger initiative to develop this cutting-edge green building in The Bronx. Developers earned more than $600,000 in NYSERDA incentives to design energy-efficient features into Via Verde, which also has several green roofs and a large solar array. View the Via Verde video Case Study.

Interested in knowing more?

Your Performance Partner will help you fill out and submit all the appropriate paperwork. Here are links to the documents to get started in the Program.

Ready to get started?

Learn how to participate in the Multifamily Performance Program.


Call us at 1-866-NYSERDA.

Last Updated: 10/02/2013