NYC Benchmarking: How Public Energy Scores Are Changing Buildings

If you own or manage a building in New York City, you’ve probably heard about benchmarking NYC. Maybe it sounded like just another piece of red tape. But the truth is, it's a lot bigger than that — and it’s already changing the way buildings are run all across the city.

In short? Your building’s energy efficiency score is now public. Everyone can see it.
Tenants, buyers, investors — they’re all paying attention.
And that’s putting real pressure on property owners to step up their game.

Let’s talk about what’s happening, why it matters, and how you can stay ahead.

What Exactly is Benchmarking NYC?

Benchmarking is basically about keeping score.
Every year, building owners need to track and report how much energy and water their properties use. That info gets submitted to the city, thanks to a rule called Local Law 84.

But here’s the part that caught a lot of owners off guard:
New York doesn’t just collect the data — it publishes it.

That means anyone — potential tenants, buyers, even your competitors — can look up your building’s energy grade.
In a city where reputation is everything, that kind of transparency changes the game.

Benchmarking NYC isn’t just about checking a box. It's about proving you’re serious about efficiency — or getting left behind.

Why Public Energy Scores Matter

When energy grades first started showing up on buildings, a lot of people were surprised (and not in a good way).
Suddenly, everyone could see who was being smart about energy... and who wasn’t.

Here’s why it matters more than ever:

• Tenants care — especially companies with sustainability goals.
  
  

• Buyers and investors care — because efficiency saves money long-term.
  
  

• Fines add up if you don’t comply — and they’re not cheap.
  
  

Bottom line? Your building’s energy score is becoming part of its identity. A strong score can help you stand out. A weak one can seriously hold you back.

A Quick Look at Local Law 84

Local Law 84 is the backbone of the whole benchmarking process in NYC.
It requires owners of large buildings (over 25,000 square feet) to report energy and water use every year. If you don’t report — or if you miss deadlines — you’re looking at fines starting at $500 per quarter.

But this isn’t just a "rules and penalties" situation.
Benchmarking gives owners real insights into how their buildings are performing. Once you know where you stand, you can find ways to save energy, lower costs, and boost your public grade.

Other cities are catching on too. Programs like San Francisco Energy Audits and EBEWE Compliance in Los Angeles show that this push for transparency isn’t slowing down anytime soon.

How Benchmarking NYC is Changing Buildings

If you’ve walked around Manhattan lately, you might’ve noticed more buildings under renovation — and not just for curb appeal. Owners are making real upgrades to improve their energy performance.

1. Smarter Energy Choices

Old, energy-hogging HVAC systems?
Inefficient lighting?
Poor insulation?

Property managers are swapping them out fast. Better equipment doesn’t just lower bills — it also helps raise a building’s energy grade, which is now a big deal for future tenants.

2. Water-Saving Moves

Benchmarking tracks water use too.
Now, owners are installing low-flow toilets, fixing leaks faster, and even rethinking landscaping to cut down on water waste. It's all part of showing they take resource management seriously.

3. New Lease Negotiations

Today’s tenants — especially bigger companies — want efficient buildings.
They’re checking energy grades before they sign leases, just like they'd check parking spaces or lobby design. A bad score could mean losing out on the best tenants.

Lessons from San Francisco and Los Angeles

If you think benchmarking NYC is tough, take a look at other cities.
San Francisco Energy Audits and EBEWE Compliance in L.A. go even further — they don’t just require reporting; they sometimes require making upgrades if a building performs poorly.

That’s where New York could be heading too.
The more you do now to improve your energy score, the better prepared you’ll be if mandatory retrofits become law.

How to Stay Ahead

Want to turn benchmarking from a headache into a win? Here’s what you can do:

• Benchmark early — Don’t wait until the deadline. Start gathering your energy and water data now.
  
  

• Get an energy audit — Professional audits can uncover hidden issues that hurt your building’s grade.
  
  

• Plan smart upgrades — Target the areas where you’ll see the biggest improvement for the least money.
  
  

• Stay updated — NYC’s energy rules are evolving fast. Make sure you know what’s coming next.

If you’re feeling a little overwhelmed, you're not alone.
Check out Vert Energy Group complete guide to benchmarking deadlines for a straightforward breakdown.

Final Thoughts: Embrace the Change

Benchmarking in NYC isn’t just another regulation — it’s a step toward creating a smarter, more sustainable city.Yes, it takes effort. But it also opens the door to real opportunity.Energy efficient buildings aren’t just sidestepping penalties — they’re gaining value, appeal, and future-ready resilience. In a city that never stops evolving, make sure your building is keeping up, too.