Mayor Eric Adams has launched the GreenHOUSE Fund, an innovative initiative designed to assist affordable housing projects in meeting stringent emissions reduction targets set by Local Law 97.

According to Adams, this new fund will strategically reinvest proceeds from carbon offset purchases, enabling rent-regulated apartment buildings and low-income co-ops to undertake essential decarbonization projects.

Mayor Adams emphasized the importance of this initiative, stating, “Our buildings produce 70 percent of New York City’s emissions, which is why we’re laser-focused on helping buildings electrify, decarbonize, and move forward into the future. But we can’t leave anyone behind — particularly our affordable housing developments, which often are located in disadvantaged neighborhoods with high asthma rates. That’s why we’re launching our new GreenHOUSE Fund, to make it more affordable to go green and save green.”

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He stated that the fund will draw on offset revenues, allowing building owners to purchase offset certificates while directing financial support to affordable housing projects that might struggle to afford such upgrades.

Deputy Mayor for Operations Meera Joshi highlighted the program’s collaborative spirit, remarking, “Responding to the climate crisis requires all of us; participation must be within everyone’s financial reach. With the GreenHOUSE program, we are making real inroads on the affordability challenge of emissions reduction mandates.”

Additionally, Mayor Adams has urged the City Council to enact the J-51 housing quality tax incentive program, which would further assist building owners in covering compliance costs related to Local Law 97.

Deputy Mayor for Housing, Economic Development, and Workforce Maria Torres-Springer noted, “The GreenHOUSE Fund is an innovative approach to advancing our decarbonization goals while supporting affordable housing projects.”

Rohit T. Aggarwala, Commissioner of the New York City Department of Environmental Protection, added, “Most building stakeholders will be able to comply in this first compliance period, but for those who are just slightly over their limits, the offsets will provide a significant benefit to help them avoid penalties.”

The GreenHOUSE Fund aims to improve air quality in communities most affected by pollution and asthma while contributing to the city’s overarching climate goals.

As John Mandyck, CEO of Urban Green Council, stated, “The GreenHOUSE Fund will unlock electrification in disadvantaged communities, give prudent flexibility to building owners, and ensure that LL97 dollars decarbonize our buildings.”

This new initiative represents a critical intersection of housing equity and environmental sustainability, providing a necessary framework for New York City to tackle both housing affordability and climate change simultaneously.