Developers and owners of multifamily housing in the Southeastern United States are familiar with the significant costs go building upgrades, and renovations. This is especially true when it comes to units that are energy efficient. While it can be a costly endeavor, eco-friendly units provide long term sustainability and tremendous benefits to the resident, developer, and the environment.
Federal incentives have been put in place to help ease the financial burden for energy efficient upgrades and developments. The 45L Tax Credit can even outweigh the upfront cost.
The Energy Efficient Home Credit (45L Tax Credit), was made effective in 2006. It offers contractors and developers $2,000 per unit for properties that consume significantly less energy than the national energy standards.
This tax credit was recently extended by Congress, making it retroactive for developments that were put in service from 2022-2032. This also includes renovation projects that made upgrades to become energy efficient.
The 45L tax credit is available for multifamily properties, including:
Reconstruction or rehabilitation
Student housing
Residential condominiums
Affordable housing projects
Assisted living facilities
Apartment buildings
Qualifications
Many of construction materials and environmentally friendly methods are currently being utilized. Some projects quality for the tax credit with the developer even realizing.
Multifamily renovations and new buildings must encompass energy efficient teachers such as insulated exterior doors, vinyl low E windows, extra insulated slabs and foundations, triple or double pane windows, hydronic heating systems, reflective roofing materials, and more.
For more information, contact SWET Construction Group
October is Breast Cancer Awareness Month
In honor of Breast Cancer Awareness Month, the family at SWET Construction Group encourages everyone to join us in learning more about breast cancer and support those who are suffering with the disease.
Though we have made great progress in early detection, cancer treatment and finding a cure, we still have a long way to go.