Solar Energy in Multifamily Buildings: A Win-Win for Owners and Tenants

As the demand for sustainable and eco-friendly housing solutions gains momentum, harnessing the power of the sun has emerged as a game-changer for multifamily buildings. In this article, we will explore the myriad benefits that solar energy brings to both owners and residents of multifamily buildings, showcasing how this green innovation creates a harmonious synergy of financial savings, environmental responsibility, and enhanced living experiences. From reduced operating costs to a greener footprint, discover why solar power proves to be a win-win for all involved parties in the multifamily housing sector.

How Property Owners Win With Solar Energy

Compliance with California Solar Mandates

Going solar complies with Title 24 of California’s building standard code. This policy orders new construction and many existing residential properties to have solar. Soon, solar-powered rental properties will be the golden standard for residents. The sooner a property gets solar, the better. 

Increased Property Value

Your multifamily building may be instructed by California Assembly Bill 802 to report the energy usage of your property. Having solar power increases the energy efficiency of a property which makes it attractive to investors and property buyers. Thus, solar power helps increase your building’s property value.

Market Stand-out 

Having solar power helps your property stand out in a saturated market. Solar power improves your ESG (Environmental, Social, and Governance) and LEED (Leadership in Energy and Environmental Design) scores. These scores are great marketing tools that attract environmentally conscious residents and reflect positively on the property.

Source of Net Operating Income (NOI)

With Ivy’s intelligent solar billing technology, Virtual Grid, property owners can experience solar energy benefits along with their residents. The software allows real estate owners to distribute solar energy between multiple units in an accurate, compliant, and data-driven user experience. Thus, solving the split incentive issue of multifamily solar as property owners receive benefits in the form of new NOI for their solar investment while providing their residents with clean energy and potential savings on their utility bills.

Increased Resident Retention

Solar power provides residents with a way to save money on utilities while caring for the environment. Most residents will choose solar-powered properties over others, especially if that means savings on their utility bills. Residents experiencing less expensive solar power are less likely to move to another property, returning to grid power and expensive utility bills.

Financially Profitable Investment

Switching to solar can be a financially profitable investment for a multifamily building. Real estate owners become solar energy hosts, unlocking a whole new level of sustainable income. With this innovative framework, you can distribute clean energy to your residents and generate automated net operating income (NOI) like never before. This is a game-changing solution for real estate owners seeking to boost profits without adding extra costs. You can share the solar benefits and costs with your residents, all while aligning with your financial objectives.

How Residents Win With Solar Energy

Access to Clean Energy

Almost half of Californians rent, and thus have limited say on where their power comes from. Unlike residential homeowners who can install solar power conveniently on their homes, renters do not have the same capabilities. By offering renters solar power, more families have access to clean energy and environmental sustainability.

Utility Bill Savings

Solar power is produced at a lower cost and can provide monthly savings on utility bills. Ivy's resident billing structure even includes a user-friendly and transparent way to demystify energy usage for every resident. With this simple system, understanding your energy consumption becomes a breeze. You'll easily see the amount of energy you used, the cost you would have incurred without solar power, your actual payment with solar, and most excitingly, the money you saved by being a part of the solar program. Furthermore, it includes insights for residents to optimize their savings by shifting high energy usage to live solar times.

Ease of Solar Billing 

Solar billing with Ivy Energy’s support is simple, transparent, and consumer-friendly. Grid power bills are complicated with ever-increasing generation costs, distribution costs, and other costs most consumers are unfamiliar with. Solar power bills from Ivy Energy are straightforward and show the energy usage and the amount to pay (both what you would have paid without solar and what you pay with solar). Solar billing also calculates the environmental and financial savings you get by using solar.

Protection from Energy Rate Hikes

Electricity rates are ever-increasing and are easily affected by political and economic events, as well as natural disasters. Residents have to accept these rates because they have no alternatives otherwise. Solar power provides a sustainable choice for eco-conscious renters and solar power rates are locked in, offering protection from huge utility bill increases. 

Solar + Ivy Energy: A Win-Win for Multifamily Buildings

Owners and residents win together with solar power and Ivy Energy in multifamily buildings. Ivy Energy makes solar power in multifamily buildings easy to use, understand and benefit from. Provide a win-win solar solution for your multifamily building. Connect with an Ivy team member to explore how solar is a win for your property!

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