A Multifamily Community Designed to Help Tenants Lower Energy Consumption

More cities around the country are requiring buildings to reduce their energy consumption. At the same time, real estate owners are looking for ways to curb rising energy bills and meet their sustainability mandates. This has led to significant investment in energy efficiency in buildings across the country. But, multifamily buildings face a unique challenge: the vast majority of all energy consumption comes from tenant-controlled spaces.

Many multifamily buildings have separate electrical meters for each unit, making tenants responsible for their own utility usage. This means that buildings have little visibility into where and when energy is actually consumed, creating a strong disincentive for investment in onsite energy generation. Why would landlords pay huge sums to install new electrical systems and hardware for large-scale solar arrays if all the savings go to their tenants? While lower utility bills might help boost leasing, it is much harder for an owner to see a concrete return on their investment.

But one community is taking a different approach. Solara is a 248-unit high-end, low-carbon development in Rotterdam, New York, near Albany. It is New York’s first net-zero multifamily project, developed by the Bruns Realty Group. The Bruns Realty Group has experience in finding ways to power a property with nothing but on-site generation. They previously developed the 156-unit netZero Village, the largest privately owned net-zero development in the country. One of Bruns Realty’s main focuses, besides packing the property with as many solar panels and solar water heaters as possible, was developing ways to help their tenants lower consumption to a point where renewable sources could easily supply all the property’s energy. They accomplished this in a number of innovative ways.

The eleven buildings in Solara are incredibly well insulated, using continuous exterior insulation. They are oriented to let in sunlight (and the accompanying heat) on winter days but not during hotter periods of the year. Exhaust structures reduce thermal loads in the summertime. The all-electric building systems are powered almost exclusively by solar panels covering the complex’s carport, which produces 153,000 kilowatt-hours per year.

Solara’s heavy investment in renewable energy has led Bruns Realty to include utility bills as part of the rent. “We were aware that including utilities in the rent can sometimes cause renters to use more energy,” said David Bruns, General Manager and Owner of Bruns Realty Group. “But the advantage is that we can connect our building management systems to every unit’s thermostat to monitor energy use in a way that would not be possible if the complex were submetered.” By providing each tenant with a conspicuous place to see their energy usage compared to the baseline, the management team at Solara can nudge residents to lower their energy bills. Rather than connecting the thermostats directly to the heating and cooling systems for each unit, Solara imports that information first into the property’s BMS. This allows them to prevent extreme use of the heat pumps and remotely diagnose any HVAC system issues causing efficiency loss.

Connecting each unit to the BMS also gives Solara buildings unique capabilities. By adjusting the amount of fresh air provided to the unit depending on conditions, the systems can save unnecessary usage of the heating and cooling system. For example, if the humidity in a unit is elevated but the temperature is still in an acceptable range, the heat pumps can switch to a dehumidifying mode rather than running the air conditioning. If the stove hood is on, the buildings will increase the amount of outside air to the unit and direct most of it to the kitchen to help remove smoke while preventing the loss of cooled or heated air from the mini-splits.

Only a fraction of multifamily buildings in the country have solar. There are many reasons for this, but one of the main ones is the lack of economic incentives for landlords. But, by following Solara’s playbook, landlords can make large investments in renewable energy financially viable. While it might seem risky to pay tenants’ utility bills and give them more reason to consume energy, there are ways to encourage them to be more energy-conscious. This effort is likely made easier because a sustainable living experience like Solara appeals to eco-conscious consumers. “We find ourselves with many residents who gravitate towards this type of building and don’t need much of a push to save electricity; they want to be part of the solution just like we do,” Bruns explained.

In addition to the energy-saving measures and the all-electric systems powered by solar panels, Solara employs several innovative techniques to maximize energy efficiency. The building’s orientation and shading structures help control thermal loads, reducing the need for heating and cooling. By incorporating high levels of insulation and continuous exterior insulation, Solara minimizes energy loss, ensuring that the renewable energy generated onsite can meet the building’s demands.

The decision to include utilities in the rent and connect each unit to the BMS has proven to be a successful strategy for Solara. It allows the management team to monitor and manage energy use effectively, providing tenants with feedback on their consumption patterns. This approach not only helps tenants become more energy-conscious but also enables the management team to identify and address any issues with the building’s systems promptly.

By integrating renewable energy generation, energy-efficient building design, and advanced management systems, Solara sets a new standard for sustainable multifamily living. The success of Solara demonstrates that with the right approach, it is possible to overcome the challenges associated with energy consumption in multifamily buildings and create a more sustainable future for the real estate industry.