St. Mary’s Gardens, built in 1979 as a HUD Section 8 housing development for low-income seniors, faced infrastructure issues over time. Recent HUD-funded renovations included total exterior siding replacement, upgraded windows, exterior doors, elevators, and some improved bathrooms and kitchens. These upgrades led the Board to seek further funding for targeted improvements to reduce energy costs and enhance benefits for residents.

St. Mary’s Gardens was referred to LIWP as part of its participation in the Solar on Multifamily Affordable Housing (SOMAH) Program. Similarly, LIWP refers projects in investor-owned utility service territories to SOMAH for solar incentives. With SOMAH’s no-cost technical assistance and comprehensive support, board members navigated project feasibility and financing options and identified additional energy efficiency opportunities. As is typical, participation in one decarbonization program–in this case SOMAH–spurred deep energy efficiency upgrades through enrollment in LIWP, the Bay Area Multifamily Building Enhancements (BAMBE) program, and the TECH program. 

By layering LIWP with other programs and the no-cost technical assistance provided by AEA, St. Mary’s Gardens was able to replace outdated equipment with more efficient options, including removing natural gas equipment. This increased building safety, improved indoor air quality, and enhanced resident comfort but also ensured long-term financial sustainability for the community, providing a sense of security for all stakeholders.

The comprehensive scope of work funded through LIWP, SOMAH, BAMBE, and TECH captured in Figure 1.0 offset approximately 60% of the construction expenses, significantly reducing the project's funding gap and enabling extensive electrification measures. Additionally, the entire installation cost of the solar PV system was covered by a third-party ownership option known as a solar services agreement (SSA). Under this agreement, the installation contractor is responsible for the system's operations and maintenance for the next 20 years, requiring no upfront cost or payment from St. Mary’s Gardens. The projected utility bill savings from the solar PV system are expected to offset nearly 70% of the tenants' bills through virtual net energy metering (VNEM).

In January 2024, a ribbon-cutting ceremony was held to celebrate the completion of the solar installation and energy efficiency upgrades. During the event, residents expressed their deep appreciation for the Board's comprehensive sustainability initiative and the significant impact the projected utility bill savings would have on them. They thanked St. Mary’s Gardens and the program teams for enhancing their buildings' energy efficiency and contributing to a more sustainable neighborhood and community. St. Mary’s Gardens Board members are committed to continuing residents’ learning experiences and plan to maintain these efforts into the future. 

This case study was prepared by California Housing Partnership Senior Sustainability Program Associate, Angel Rodriguez, with assistance from Senior Sustainability Program Manager, Rachael Diaz, as well as contributions from AEA.

Images provided by Sunrun.

The California Housing Partnership creates and preserves affordable and sustainable homes for Californians with low incomes by providing expert financial and policy solutions to nonprofit and public partners. Since 1988, the Partnership's on-the-ground technical assistance, applied research, and legislative leadership has leveraged $35 billion in private and public financing to preserve and create more than 93,000 affordable homes. 

Visit us at www.chpc.net.

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