Climate Ready Housing

Program Overview:

The Climate Ready Housing program is a state funded opportunity created through the 2021 Economic Development Bond Bill and expanded through the 2024 Affordable Homes Act to fund deep energy retrofits in existing multifamily affordable housing. Annual funding ($16 million) will be leveraged competitively to support 10-15 highly rated projects that represent achievable and replicable approaches to very low carbon emissions focused on existing building renovations (as outlined below). Massachusetts Housing Partnership (MHP) and MassHousing administer the program on behalf of the Executive Office of Housing and Livable Communities (EOHLC). MHP and MassHousing have engaged with LISC Massachusetts to further assist in program administration.

Areas of Focus:

• Deep Energy Retrofit (DER) – This approach assumes a comprehensive scope of work that includes extensive improvements to the building envelope that significantly reduce heating energy load (by at least 50%) and carbon emissions. The building envelope work is leveraged to allow for cost-effective electrification of the building’s HVAC system. Improvements in ventilation to achieve appropriate indoor air quality are required.
• Zero Carbon Emissions Over Time (ZOT) – This approach assumes a less significant intervention in the upcoming rehabilitation project than is represented in the DER approach outlined above but reflects thoughtful planning on the part of the project team to capture the pending rehabilitation project as an important piece of a long-term plan to achieve zero carbon emissions by 2050.

Program funds may support the following uses:

• Unfinanced incremental costs attributable to the DER or ZOT solution.
• Additional reimbursable costs may include DER or ZOT analysis, integrated design meetings, and climate resiliency assessment.

Eligibility Guidelines:

The Climate Ready Housing program is available for public, nonprofit, and for-profit multifamily affordable housing sponsors. At least 25% of housing occupants must have incomes not exceeding 60% of the area median income (AMI).

We are targeting site Energy Use Intensity (EUI) of 30-35 kBtu/SF/year or below and an air tightness maximum of 0.12 CFM50/SF (whole building metric).

The DER design solution or the ZOT implementation plan must include the following:

• Substantial envelope improvements to minimize heating and cooling demands;
• Heat pump-based technology for space heating and cooling;
• Energy or heat recovery ventilation technology;
• Plan for electrification of domestic hot water systems (strongly encouraged);
• Plan for electrification of cooking appliances;
• Maximization of renewable energy systems and integration into project’s capital approach; and
• Serious consideration of material decisions related to embodied carbon.

2026 Application Timeframe:

• Monday, March 16, 2026: Pre-application opens
• Friday, April 10: Pre-application due
• Friday, May 1: Application opens (for pre-approved applicants only)
• Friday, May 29: Full application due
• Fall 2026: Funding decision

More information and application materials here: www.lisc.org/climatereadyhousing.