
Photo by Daryan Shamkhali on Unsplash
Incentives and rebates reduce the cost of compliance with New York City’s energy efficiency mandates.
New York City monitors building owners’ compliance with LL84 and LL133 to improve energy efficiency in the thousands of buildings across the city’s boroughs.
- Local Law 84 (2009) requires building owners to use the Energy Star Portfolio Manager, which measures energy and water consumption. LL84 is applicable to buildings with 50,000 square feet of gross floor area and “mixed-use buildings” where 50,000 square feet are devoted to commercial use.
The annual May 1st reporting aims to standardize informative data, increase transparency, and drive energy-efficient building practices and improvements. - Local Law 133 (2016) amends LL84, expanding the scope of the benchmarking process to include buildings with 25,000 square feet. It introduced Energy Efficiency Scores to inform tenants and buyers of a building’s energy efficiency and water consumption compared to similar buildings.
The process labels buildings with scores and grades. However, LL133 also exempts buildings with only three floors and garden-style apartments with separate hot water and HVAC systems.
These benchmarking rules encourage responsible building management but challenge owners to rehab and retrofit properties, often at considerable cost.
Government incentives reduce your costs
LL84 and LL133 require building owners to measure and report their energy consumption. These local laws require owners to repair or refit their building’s core water, HVAC, roofing, insulation, and other systems. However, updates and upgrades come at some cost.
Fortunately, NYC offers financial incentives to boost its commitment to reducing carbon emissions by 40% by 2030. These meaningful incentives offer opportunities to those owner-operators who can navigate the regulatory world.
Do you lease or own office spaces?
Building owners who lease offices would benefit from a third-party audit. The audit reviews sustainable materials, water conservation, waste recycling, and other energy efficiency tests.
Subsidies support replacing lighting with LED bulbs, installing occupancy sensors, and using natural lighting sources like skylights. HVAC systems need routine maintenance, and smart thermostats upgrade heating and air conditioning. Appliances and office equipment have energy-efficient advisories. Solar panels and renewable energy credits can offset electricity consumption.
Maintaining a green environment requires commitment and continuous attention. Sustainability is an ongoing process, but it will also ensure a healthier, more productive workplace in compliance with LL84 and LL133. Records of your sustainability expenditures will provide a foundation for securing government incentives and rebates.
Do you own or manage a building above 25,000 total square feet?
LL133 amended LL84 to require owners of NYC buildings 25,000 square feet or larger to track and report their energy and water usage annually. A strong “diligence package” makes this easier.
STRATCO can assemble a comprehensive package of documents, financial accounts, and other records supporting a compliance strategy. The due diligence focuses on the owner’s spending on sustainability and the ability to pursue future green initiatives. This information provides information on the issues the owner must address, the required structural modifications, and the recommended cost-effective technologies.
Do you need your building’s annual data benchmarked by May 1st?
Gathering your benchmarked data takes time and exhausts your bandwidth. STRATCO will provide a low-cost, in-depth service that provides accurate, transparent, and detailed consumption data in LL84 and LL133.
As an independent advisor, STRATCO can meet the May 1st deadline and set up a continuing benchmarking process that improves tenants’ experience, determines a green future, and mitigates owner’s expenses.
You can boost your building’s energy efficiency score!
NYC building owners can find opportunities in the environment defined by LL84 and LL133. STRATCO continues to help owner-operators with its generation of experience in navigating local laws and related regulations. They provide comprehensive guidance on obtaining financial assistance and rebates from government and utility providers.

Robert Sedaghatpour is the founder and managing partner at STRATCO. He has assembled a multidisciplinary team of professionals with diverse skills and unwavering commitment to the highest levels of ethics and business conduct. Data scientists, engineers, architects, attorneys, and human-centric designers collaborate seamlessly to develop innovative systems and value propositions that effectively bring incentive programs to the real estate community.