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  • Research Report
  • Homes and Buildings
  • Jul 14, 2025

    Decarbonizing Space Heating in Existing Centrally Heated Multifamily Buildings

    Large multifamily buildings with central heating systems that burn fossil fuels are among the hardest to decarbonize, but new systems such as window-mounted heat pumps, central air-to-water heat pu…

    New York City skyline, featuring residential multifamily buildings

    Large multifamily buildings with central heating systems that burn fossil fuels are among the hardest to decarbonize, but new systems such as window-mounted heat pumps, central air-to-water heat pumps and “mono-block” mini heat pumps provide new options for decarbonizing these buildings. We find that of the decarbonization options, window heat pumps generally have the lowest life-cycle capital and energy costs.

    This report discusses these and other decarbonization options for centrally heated multifamily buildings, analyzing the life-cycle cost of the different options and providing examples of installations using each of these options. Program and policy approaches to improve decarbonization economics and other near-term steps to further use of heat pumps in these buildings are discussed.

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    Efficiency Saves: Cutting Energy Waste Can Save $31,000 per Household
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