New York Co-ops to Install Heat Pumps in November

NYC apartment buildings will begin heat pump installations this November as part of a state-led energy demonstration program.

Updated on Oct. 26, 2026 in Electric Vehicles

Isometric editorial illustration of a heat pump unit mounted on a brick wall, representing urban energy efficiency initiatives in New York. — New York City co-ops, including Sherman Terrace and RNA House, will begin installing state-subsidized heat pumps in residential units this November. AI Illustration. Upload story photo >

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New York City co-ops, including Bronx-based Sherman Terrace and the Upper West Side’s RNA House, are set to begin installing subsidized apartment heat pumps in November 2026. This initiative is part of a state-funded demonstration program aimed at accelerating heat pump development for residential buildings.

Why it matters

The program helps address technical hurdles to implementing low-emission heating and cooling in older multi-unit buildings. By testing these systems in diverse housing stock, the initiative seeks to refine deployment strategies for wider urban application.

The program provides incentives of up to $20,000 per apartment for through-wall units, while in-window units receive subsidies of $2,250 for low-income buildings and $1,500 for others. Sherman Terrace has 67 units, and RNA House contains 208 units.

The players

NYSERDA

The New York State Energy Research and Development Authority is a public benefit corporation that advances innovative energy solutions.

Y&N Gree Commercial

This company is a manufacturer of the prototype heat pump units being installed during the demonstration.

Sherman Terrace

Located in the Bronx, this 67-unit co-op is one of the demonstration sites participating in the program.

RNA House

Situated on the Upper West Side, this 208-unit co-op is a participant in the heat pump performance monitoring study.

The details

Buildings are granting site access to install monitoring equipment so that researchers can track system performance for 12 months. Committees at participating sites select specific apartments for the Y&N Gree Commercial heat pumps based on unit orientation and existing cooling equipment age.

November 2026: Planned installation of units at Sherman Terrace
October 29, 2026: Application deadline for upstate building owners
Summer 2028: Conclusion of field demonstrations

Roadmap

This program aligns with the broader push to electrify older residential infrastructure in compliance with the New York State's Climate Leadership and Community Protection Act. It positions heat pump technology as a central component in retrofitting urban housing stock against traditional HVAC reliance.

Residents in participating buildings will receive upgraded heating and cooling technology through significant state-funded subsidies. Owners in upstate locations still have until October 29, 2026, to apply for the program and potentially lower their future energy retrofitting costs.

The takeaway

Retrofitting high-density apartment buildings requires careful coordination between site managers and specialized equipment manufacturers. Residents looking for similar upgrades should consult local state energy department guidelines to see if new incentive windows open for their specific area.