Generally more common in new construction, FPG brought the latest greening practices to the existing affordable housing stock through several Department of Housing and Urban Development (HUD) programs. Our experience in underwriting, financial modeling, and regulation has helped translate green principles into programs and completed projects.
Three projects stand out as having the greatest reach.
- The RAD Physical Condition Assessment (RPCA) Excel tool institutionalized green principles by including the choosing of green alternatives in the tool’s decision-making matrix. This tool integrated RAD conversion planning with Section 8’s asset management function, ensuring that these principles are followed well after the planning stage.
- The Mark-to-Market (M2M) Green Initiative encourages green investments on participating M2M properties by reducing required up-front payments and increasing eligibility for incentives.
- The Green Retrofit Program for Multifamily Housing (GRP), spurred by the American Recovery and Reinvestment Act (ARRA), made grants and loans available for owners of Section 8 affordable housing properties. FPG helped design the $250 million GRP program with minimal regulatory guidance; the legislation was only two pages long.
Our contributions, on these and other examples:
- Developed utility consumption baseline review process.
- Trained staff/owners on new standards and processes
- Reviewed transactions of green investments
- Integrated green principles into physical condition assessment (PCA) documentation
- Created green certification process for property managers
- Created owner green commitment documentation to bring accountability
- Set ambitious greening standards now considered routine.