HUD’s new Green and Resilient Retrofit Program (GRRP) will simultaneously invest in utility efficiency, renewable energy generation, and climate resilience strategies in HUD Multifamily Assisted Housing.
The GRRP funding, provided by the Inflation Reduction Act of 2022, provides HUD with $837.5 million in grant funding and $4 billion in loan authority.
GRRP funding is intended to allow owners to invest in technology such as solar panels, heat pumps, wind-resistant roofing, and other technologies that will reduce greenhouse gas emissions.
HUD has published three Notices of Funding Opportunity (NOFOs) for the Green and Resilient Retrofit Program, along with implementation guidance in Housing Notice H 2023-05 Green and Resilient Retrofit Program for Multifamily Housing (GRRP).
GRRP funding is available for multiple HUD programs, including PBRA Section 8, Section 202, and Section 811. There are three funding options:
- Elements Awards: provides funding to owners to add energy efficiency, electrification, and renewable energy measures for in-progress rehabilitation. These awards are intended for sites with renovation planning already in progress. Approximately $140 million in grants and surplus cash loans are available and the funding is capped at $40,000 per unit or $750,000 per property. Applications are due March 28, 2024. This option has excellent potential for HUD-assisted projects layered with Low-Income Housing Tax Credits.
- Leading Edge Awards: provides funding for retrofit activities designed to achieve ambitious outcomes, including net zero emissions, renewable energy generation, low-carbon building materials, and climate-resilient investment. This will allow owners to do a complete renovation and achieve a passive house certification. Approximately $400 million in loans and grants is available with funding capped at $60,000 per unit or $10 million per property. Applications are due April 30, 2024.
- Comprehensive Awards: is the widest-ranging option and will include properties that are not yet in the planning process. Comprehensive Awards prioritize sites with a significant need for energy efficiency, emissions reductions, and climate resilience. An applicant for this award may be the owner of a site with high REAC scores and low capital needs but older, fossil fuel-dependent equipment. Owner/agents utilizing this funding will be assisted by HUD-procured Multifamily Assessment Contractors in developing the scope of work. This funding is intended to be used to provide whole-building retrofits and resilient design elements. $1.47 billion is available for this option and is capped at $80,000 per unit or $20 million per property. Applications are due May 30, 2024.
Owners may apply in one category only for a site, but there is no limit to the number of sites an owner, or its affiliate, can submit across all award categories.
Additional information, including information on the NOFOs, can be found on HUD’s web site at
https://www.hud.gov/GRRP. Questions may be emailed to
GRRP@hud.gov.