Tag Archives: Massachusetts State House

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Real Estate Industry Applauds Senate Leadership on Climate Change, Opposes Net-Zero Energy Code

Industry Groups Concerned Provisions Will Chill Economic Development, Increase Housing Costs

BOSTON, MA – NAIOP Massachusetts, The Commercial Real Estate Development Association (NAIOP); the Home Builders & Remodelers Association of Massachusetts (HBRAM); The Associated General Contractors of Massachusetts (AGC MA); and the Massachusetts Association of Realtors (MAR) applaud the Massachusetts Senate for recognizing that climate change is an economic development, public health, and environmental issue that affects every resident in the Commonwealth. 

As the Commonwealth leads the nation in climate mitigation and adaptation, technical and economic realities cannot be ignored. Senate Bill 2477, An Act setting next-generation climate policy includes a proposal to enact an opt-in stretch energy code that defines net-zero building. Achieving a net-zero energy building with today’s technology is not always feasible. As an example, very few net-zero lab properties or residential or office projects over 10 stories have ever been built. The projects that were able to achieve net-zero did so at a cost premium. If implemented, this net-zero code would increase the cost of the construction and maintenance of residential and commercial buildings.  Current rents could not cover the increased costs associated with such requirements.  In addition, the change would dramatically alter project design, in some cases preventing the project from being built at all – threatening the creation of new housing during the existing housing crisis, negatively impacting housing affordability and serving as a financial barrier to homeownership for thousands of young families seeking to purchase their first home.

In addition to increasing costs, it would have the effect of undoing the uniformity of the State Building Code by creating multiple codes – resulting in codes that would vary by community and little to no predictability for developers. This lack of uniformity threatens public safety and security by creating confusion surrounding implementation and enforcement, one of the reasons that the Board of Building Regulations & Standards was charged with implementing a statewide code.

Finally, we are concerned that some communities may adopt the net-zero code as a way to block development.

While we believe that net-zero construction may be possible in the future, we caution the Legislature against codifying timelines that are currently impossible to achieve, and instead encourage the continued investment and development of diverse technologies that will achieve our climate goals.

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NAIOP Contact: Anastasia Nicolaou / 650-380-9440

Home Builders Contact: Benjamin Fierro / 617-429-3053

MAR Contact: Justin Davidson / 781-839-5510

AGC MA Contact: Robert Petrucelli / 781-235-2680, ext. 114

NAIOP Coastal Resiliency Legislation Heard Before Joint Committee on Environment: NAIOP CEO Joined by Climate Resiliency Expert

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Last week, NAIOP CEO Tamara Small and NAIOP Climate Change Resiliency Committee Co-Chair, Stephanie Kruel of VHB, testified in support of NAIOP’s coastal resiliency legislation, S. 430, An Act Relative to Coastal Resiliency Projects.

NAIOP CEO Tamara Small and NAIOP Climate Change Resiliency Committee Co-Chair, Stephanie Kruel of VHB testifying before the Joint Committee on Environment, Natural Resources and Agriculture.

As climate change continues to threaten homes, businesses, and infrastructure, Massachusetts’ coastal communities will need flexibility to properly implement their coastal resiliency plans. Many of these plans, including the Climate Ready Boston initiative, will require the use of fill to protect the City against the impacts of rising sea levels and climate change. Such projects could include berms, waterfront parks, and seawalls. S.430 provides a framework for these critically important projects to be reviewed and approved.

“Many laws and regulations, including the Wetlands Protection Act, were written decades ago and did not anticipate the potential impacts of sea level rise, nor the range of solutions that might be required to reduce flood risk,” testified Kruel. “As noted in the October 2018 Coastal Resilience Solutions for South Boston report, to be able to implement proposed resiliency measures, some existing regulations and permitting requirements may need modification to consider the impacts of sea level rise and flood protection projects. In the same vein, Bill S.430 is intended to prevent provisions of the WPA and 310 CMR 10 from inhibiting the construction of coastal resiliency projects.”

“Coastal municipalities in the Commonwealth must be given the tools and resources they need to implement their coastal resiliency plans,” said Small. “We believe that the flexibility this bill provides allows for the public and private sectors to work together to protect communities from the impacts of climate change.”

NAIOP believes that S. 430 is a critical component to the Commonwealth’s climate resiliency efforts and will continue to advocate for the passage of this legislation.