| Dollars and Cents: |
| At right is a chart (click to enlarge it) showing a 79% drop in natural gas use after installation of our solar hot water system along with a high efficiency hot water heater on a 16 unit apartment building. This translates to natural gas expenditures dropping from approximately $4,200 per year to $1,000 per year. |
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| Increase in Net Operating Income: |
| The annual gas savings and increase in NOI are approximately $3,200 per year. |
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| Increase in Property Value: |
| It is estimated that the value of this building increases about $14 for every $1 increase in Net Operating Income. Using a 14 multiplier (7.14% cap rate), the $3,200 increase in NOI translates to a $44,800 increase in property value, which well exceeded the installed cost. |
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| Decreased exposure to energy price increases. |
| When fossil fuel prices go up, sunlight remains free. |
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| The letter to the right was from the pleased owners of the subject apartment building. |
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