Energy efficiency, through lower utility bills, is an investment with both immediate and long-term rewards. To encourage energy efficiency retrofits, some financial institutions started creating financing options specifically for multifamily property owners who are looking to invest in their properties.
This newsletter begins a series of articles featuring multifamily finance products that are ideal for property retrofits. This piece focuses on three Fannie Mae Multifamily Green Financing options: Green Rewards, Green Preservation Plus, and Green Building Certification Pricing Break. To inquire about any of these loan options, email Fannie Mae (Fannie) at firstname.lastname@example.org.
Green Rewards provides lower pricing and additional loan proceeds to finance smarter, greener property improvements. Eligible improvements include new ENERGY STAR® appliances, energy efficient HVACs, low-flow toilets, solar-energy systems, and more. (1)
The value of the Green Reward’s energy audit—depending on the square footage of your property—generally ranges from $5,000 – $15,000.
Green Preservation Plus
Green Preservation Plus provides additional loan proceeds to finance energy and water efficiency improvements for existing multifamily affordable properties.
Green Building Certification Pricing Break
Fannie Mae’s Green Building Certification Pricing Break is a low-interest rate loan option that is for properties that already have a green building certification such as LEED or ENERGY STAR®. The Pricing Break reduces the all-in interest rate on loans for multifamily properties with eligible green building certifications by 10 basis points (0.10 percent).