March 18, 2014Fannie Mae Supports The U.S. Environmental Protection Agency's Progress in Developing the ENERGY STAR Score for Existing Multifamily Properties
WASHINGTON, DC – Today, the U.S. Environmental Protection Agency (EPA) advised industry partners of its intention to develop an ENERGY STAR® score for Existing Multifamily properties.
In its communication to industry partners, EPA said, “EPA is pleased to announce that a 1-100 ENERGY STAR score for multifamily housing properties will be available in the ENERGY STAR Portfolio Manager® tool in Fall 2014. The score will enable owners and managers to compare the energy performance of their multifamily housing properties against similar properties nationwide, and will provide valuable information to help prioritize energy efficiency efforts and track improvements. The 1-100 ENERGY STAR score will be based on analyses of nationally representative survey data collected by Fannie Mae under a memorandum of understanding with EPA signed in 2011, and we expect to share details of the technical methodology and requirements for use of the score with you in the coming months to help you prepare for the launch of the score.”
“We are very pleased to have supported the EPA in this initiative,” said Jeffery Hayward, Senior Vice President and Head of the Multifamily Mortgage Business, Fannie Mae. “The ENERGY STAR score will help the industry identify and implement energy-efficient methodologies that will improve property performance and conditions of multifamily properties. Fannie Mae has been working with EPA on this effort for two years, providing expertise and support to collect the data necessary to develop the score.”
In addition to collaborating with partners to provide key metrics to the industry, Fannie Mae’s Multifamily Green Initiative is focused on providing financing for energy efficiency improvements in multifamily buildings. Fannie Mae currently offers two Green Financing options for multifamily borrowers: Green Preservation Plus and Multifamily Property Improvements to Reduce Energy (M-PIRE). Green Preservation Plus was launched in partnership with the U.S. Department of Housing and Urban Development (HUD) and is targeted to owners of affordable rental housing who want to refinance expiring mortgages, reduce energy consumption and lower annual operating costs.
Launched in October of 2013 and in partnership with the New York City Energy Efficiency Corporation, Multifamily Property Improvements to Reduce Energy (M-PIRE) is a financing tool for owners of NYC co-ops and rentals to improve property performance and conditions. M-PIRE includes a portion of projected energy and water costs savings to permit an increase in loan proceeds beyond what would otherwise be available.
Fannie Mae will continue to support EPA and other industry partners to further financing options and tools that will enhance the energy-efficiency and affordability of rental housing.