Real Estate Journal — New Jersey — February 12 - 25, 2016 — 5B


M id A tlantic

N ew J ersey By New Jersey’s Clean Energy Program New Jersey’s tallest residential building will be among most energy efficient in State

cross the Hudson River, the view from Manhattan will soon include the tallest residential building in New Jersey. Journal Squared, a three- phase development in Jersey City, is under construction at the Journal Square PATH station east of the Port Au- thority transportation hub. When development com- pletes in 2016, the 70-story project will be one of the larg- est buildings in the state and, among residential high rises, it will also be one of the most energy efficient. Kushner Real Estate (KRE) Group designed Jour- nal Squared with energy- efficient features that will cost more than $1.2 million to install. The resulting energy savings are expected to pay for the upgrades within a three-year period. Those energy-saving fea- tures include high-efficiency water-source heat pumps, occupancy sensors, and EN- ERGY STAR refrigerators and dishwashers. Widespread use of LED lighting throughout the bath- rooms and foyers, as well as linear fluorescent lights in the kitchens, will reduce electricity 20% beyond code. Window upgrades, including glass coating that reflects summer heat, should result in the windows performing 28% better than code. In addition, low-flow faucets and low-flow showerheads will reduce water consump- tion by more than 530,000 gallons per year, resulting in energy savings from foregone water heating with additional savings derived from a high- efficiency central boiler for domestic water use. “The decision to invest in energy efficiency is one that aligns with both our practi- cal business needs and core philosophy,” said Jeremy Kaplan , chief operating of- ficer of the KRE Group. “We take a long-term approach to real estate investment and ownership. As operators, energy consumption is one of our largest on-going expenses and one we are always trying to manage. As investors, we strive to be positive assets to the neighborhoods where we build. Reducing the long-term environmental impact of our buildings is a way to stay true to that philosophy.” The p r o j e c t r e c e i v ed A

a reality. “The NJCEP Pay for Perfor- mance program incentivizes businesses that take a com- prehensive, whole-building approach to saving energy in both new construction as well as existing buildings. Incentives are directly linked to reducing energy use by at least 15%. For new construc- tion projects greater than 50,000 s/f, the Pay for Per- formance program provides the resources developers need to take their buildings to the next level of energy efficiency. The Journal Squared proj- ect also includes designs for

$686,731 inincentives through New Jersey’s Clean Ener- gy ProgramTM(NJCEP) . The incentives are antici- pated to offset 59% of the additional cost of the energy- efficiency upgrades at Jour- nal Squared I. The 54-story, 538-unit, mixed-use resi- dential building is the first of the development’s three buildings. Through the NJCEP Pay for Performance program, Jour- nal Squared Associates , the project developer, will receive the incentives through a series of three installments that are directly linked to

the amount of energy savings achieved by the project. Initial estimates of en- ergy savings are greater than $150,000 per year. Once the building is occupied, the ener- gy-efficient equipment is ex- pected to save 614.7 MWh of electricity and 4,533 MMBtu of natural gas each year. “While we always push for greater energy efficiency, the upfront cost of many of the investments can be a sizable hurdle to overcome,” Kaplan said. “New Jersey’s Pay for Performance incentives play a key role in helping to make such long-term investments

a new pedestrian plaza at the Journal Square PATH sta- tion, retail space and multi- tier parking. In addition to Journal Square I, the devel- opment will include a 60-story tower with 600 units, and the 70-story tower will contain 700 units. The two future buildings are expected to surpass the 55-story Trump Tower Residences in Jersey City to become the tallest resi- dential buildings in the state. New Jersey’s Clean Energy Program offers incentives for energy upgrades in both ex- isting and newly constructed buildings. n


With New Jersey’s Clean Energy Program on your team, earn big dividends and achieve quick paybacks on your energy efficiency projects.

Add up the returns for your business! Visit NJCleanEnergy.com/MARE or call 866.NJSMART

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