November 8, 2022

Innovations in Electric Vehicle Charging for Multifamily Dwellings

6 Min. Read

• Growing Demand for EV Charging in Multifamily Housing: The rise in electric vehicle (EV) adoption, with 80% of charging occurring at home, underscores the need for multifamily properties to install EV charging stations, which are becoming a critical amenity to attract and retain tenants, especially as 71% of EV owners prefer home charging.
• Cost and Revenue Opportunities: Installing Level 2 chargers costs $3,500–$15,000 per port, with electricity charges ranging from $0.15–$0.25 per kWh in some regions; properties can recoup costs or generate revenue by charging tenants for usage, often including a profit margin.
• Innovative Solutions for Cost and Resilience: Solar panels and battery storage can reduce charging costs by utilizing off-peak electricity, while bidirectional EV charging enables buildings to store and supply power, enhancing grid resilience and potentially generating additional income.

EV popularity is rapidly growing. The number of people living in multi-unit dwellings who drive EVs is growing as well, especially as many automakers have said they plan to stop making gas-powered cars. This is significant for property owners and it highlights an increasing need to add charging stations for residents and tenants, given that approximately 71% of people prefer charging at home and 80% of EV charging occurs at home.

There is an opportunity for multifamily dwellings to stand out and prepare for the future of electrification by embracing the latest innovations in EV charging.

Inevitable Need for Multifamily EV Charging Stations

Renters occupy roughly 45 million housing units in the United States. Property owners and HOAs need to recognize that EV chargers will soon become a must-have amenity for buildings with parking lots. Adding charging stations to rental and housing properties now gives a significant marketing advantage to building owners who want to be ahead of the curve and use them as an amenity to attract (or retain) tenants.

Capitalizing on Commercial Incentives for EV Charging Installations

EV charger installation is becoming even more affordable, thanks to federal funding, grants, reduced electric rates, and other state or local incentives. Several states already require charging spots in new buildings and offer financial help to assist in adding them to a property. Here are some examples of efforts:

• The Alternative Fuel Vehicle Refueling Property Credit (also known as the 30C tax credit) is a federal tax credit that allows businesses including multifamily properties to claim 6% to 30% of the total costs of an EV charging project, up to a maximum of $100,000 per installed EV charging port.
• In California, for new construction and major renovations of parking facilities, 10% of the new parking spaces must be equipped for future EV charging, and 5% must have operational EV chargers installed.
• Electric utilities in California offer rebates for multifamily property owners from $3,500 to $6,000 for each commercial-grade Level 2 EV charger they install. Higher rebates are available for those who plan to install them in disadvantaged areas.
• Additionally, there are separate rebates for DC fast chargers under the Fast Charge California Project.

Visit Qmerit’s EV Charging Rebates by State page to see incentive programs that you may qualify for at federal, state, local, and utility-based levels.

ROI or Turnkey Options

There are other key considerations to keep in mind outside of evaluating methods to finance installation for your EV chargers. The physical site and space limitations of your property will likely dictate whether you can set up personal charging stations in assigned spots or encourage residents to share community stations in common areas. Other decision points on the road to an all-electric auto future for multi-unit building owners and HOAs include considering whether to add charging stations for EVs as a free amenity to draw and retain residents, a way to initially recoup costs and eventually garner revenue. A newer turnkey option is to contract with someone else to install, maintain, and profit from the electric auto-charging equipment, much like services providing the same for your laundry room equipment. Let’s look at each option:

• EV chargers as an amenity – Properties that do not offer charging stations already risk losing tenants and positioning, particularly in many communities and upscale or younger markets. EV charger availability is currently a search criterion on some apartment search sites, similar to other amenities or property features such as a heated pool, pet parks, and well-equipped fitness facilities.
• Recouping costs – Level 2 multifamily charging projects typically cost between $3,500 and $15,000 per port, including equipment and installation. The primary ongoing cost is for the electricity used and any resulting increased demand charges. Property managers often select a networked charging solution that tracks each user’s electricity usage for charging. The price charged is based on the goals of the apartment owner or HOA for recouping installation costs and ongoing maintenance. Some property managers cover any ongoing network operation and data fees.
• Realizing ongoing earnings – Your building’s EV charging stations will not just pay for themselves but will also provide an additional income stream. Most buildings that have installed EV chargers factor in operating costs and a profit margin in what residents pay to use the charging station. Presently, some Southern California buildings charge between $0.15 and $0.25 per kilowatt. The actual price depends upon the cost of electricity at that time of day but also includes the amount added as revenue for the building, just like at commercial EV charging outlets. Your tenants gain the convenience of charging at home while still achieving a far lower operating cost for driving an EV than a gas-powered car.

Other Multifamily EV Charging Factors to Consider

Taking advantage of other sources of electricity can help keep costs per kWh down and ensure your building is resilient to grid disruptions. As more people work from home, they need reliable power throughout the day. There are some innovations here that building owners and boards should be aware of and potentially employ:

• Solar panels cut electricity costs and allow tenants to charge an EV independent of the grid. This helps keep charging costs down, particularly for midday usage when prices would normally be higher.
• Battery storage banks also make it possible to charge an EV independently from the grid. Essentially, you store electricity in off-peak times to use during peak times or an outage.
• Some EVs have bidirectional charging capabilities and can be used as mobile battery storage and a power source. This provides grid resilience and better demand-response capabilities as needed. A multifamily building can become a provider of electricity during peak hours with bidirectional charging from EVs, similar to selling solar power you generate to the grid.

Get Multifamily Charging Solutions with Qmerit

Adding charging stations for EVs is a great way to increase your property’s revenue and marketability. Having a company with a track record for success in EV charging implementation can keep your project on track and within budget, ensuring the installation process is as seamless as possible. Qmerit is that company.

When it comes to hiring a qualified electrical contractor with EV charger installation experience, Qmerit makes it easy. Offering coast-to-coast coverage, turnkey solutions that streamline your project, competitive pricing and solutions that meet your needs and budget, and the largest network of certified electrical contractors in North America, we’ve built our reputation on providing the highest level of quality and service—because Qmerit means Electrification Made Easy™.

With over 770,000 EV charging stations installed and an industry-leading customer satisfaction record, no one is more experienced or recommended than Qmerit’s network of electrical contractors.

Contact Qmerit today for seamless multifamily EV charging solutions at your property and discover why we’re North America’s most trusted service provider for EV charging installation and other electrification services!