The Multifamily Owner's Guide to Austin Energy HVAC Rebates in 2026

If you own or manage apartment communities or condos in Austin, Austin Energy's multifamily rebate program can significantly reduce the cost of HVAC upgrades across your portfolio. Unlike the residential program, which pays fixed amounts per system, the multifamily program operates on a different structure with higher aggregate caps and a process designed for large-scale projects. For property owners and asset managers planning HVAC replacements, tune-ups, or efficiency upgrades in 2026, understanding how the multifamily program works can mean the difference between paying full price and having rebates cover a substantial portion of your costs.

This guide walks through how Austin Energy's multifamily HVAC rebates differ from single-family programs, what it takes to qualify, typical project scenarios with real savings calculations, and what to expect from application through final rebate payment. We'll also cover how to work with a contractor who handles the full documentation and coordination so you can focus on running your property.

How the Multifamily Program Differs From Single-Family

Austin Energy runs separate rebate tracks for residential and multifamily properties. The single-family program pays fixed rebates per system (for example, $350 to $750 for heat pumps depending on efficiency tier). The multifamily program works differently in several important ways.

First, rebate amounts are calculated per ton of cooling capacity for HVAC replacements, not as a flat fee per unit. HVAC replacement rebates range from $300 to $400 per ton based on the SEER2 efficiency level of the equipment you install. Higher-efficiency systems earn the top tier. For a 200-unit garden-style property with an average of 2.5 tons per unit, that structure can add up quickly.

Second, the multifamily program has a maximum combined rebate of $300,000 per customer site per fiscal year (October through September). That cap applies across all rebate types at a single property: HVAC, lighting, insulation, thermostats, duct work, and everything else. For large communities, planning your upgrades to stay within that cap while maximizing value requires coordination.

Third, the application and approval process is more involved. Austin Energy assigns a representative to work with you, conducts site visits, and issues a Letter of Intent (LOI) before installation begins. The contractor then has 120 days from the LOI to complete the work. Real-time inspections occur during installation, and a final inspection is required before the rebate is paid. This structure ensures compliance and quality but demands a contractor who knows the process inside and out.

Finally, multifamily properties may need to comply with Austin's Energy Conservation Audit and Disclosure (ECAD) ordinance before receiving rebate checks. If your property is 10 years or older and within Austin city limits, ECAD compliance is required. Austin Energy offers a rebate of up to $2,500 to help cover the cost of the ECAD audit itself, so the program can help you meet that requirement while still netting savings.

Eligibility Requirements

Not every multifamily property qualifies for Austin Energy's multifamily rebate program. Here are the core requirements.

Austin Energy Customer and Service Territory

Your property must be served by Austin Energy and located within their service territory. Properties in Round Rock, Cedar Park, San Marcos, and other surrounding communities may be served by different utilities (such as Pedernales Electric or city-owned utilities) and would need to check their local rebate programs. For Austin Energy customers, the multifamily program applies to properties with five or more dwelling units. Smaller properties (two to four units) typically fall under the residential program.

ECAD Compliance for Older Properties

If your multifamily property is 10 years or older and within Austin city limits, you must be in compliance with ECAD before Austin Energy will issue your rebate check. ECAD requires an energy audit that identifies efficiency improvements. Properties that have not completed an ECAD audit can receive a rebate of up to $2,500 to offset the audit cost. Getting ECAD done early in your planning process avoids delays when it's time to receive your HVAC rebate.

Participating Contractor Requirement

All HVAC work that receives rebates must be performed by an Austin Energy participating contractor. Non-participating contractors cannot submit rebate applications, and work performed by unregistered contractors will not qualify regardless of equipment quality. When evaluating contractors, confirm they are registered in Austin Energy's multifamily program before signing a contract.

Equipment and Installation Standards

HVAC equipment must exceed the minimum performance requirements established in the applicable IECC and city code. An AHRI certificate for the proposed equipment is required at application. Equipment must be appropriately sized for the space, and mechanical permits must be obtained with code inspections passed. For gas HVAC units, CO and smoke monitors are required in the space.

Typical Project Scenario: A 200-Unit Garden-Style Property

To illustrate how the numbers work, consider a 200-unit garden-style apartment community in Austin. Assume each unit has a packaged or split system averaging 2.5 tons of cooling capacity. The property owner is planning a phased HVAC replacement over two years, with 100 units in year one and 100 units in year two.

Year 1: 100 units, 250 tons total

This stays under the $300,000 annual cap. The property could add duct sealing, insulation, or LED lighting rebates in the same year and still remain within the limit.

Year 2: 100 units, 250 tons total

A similar scope in year two would yield another $100,000 or more in HVAC replacement rebates, plus thermostat and tune-up rebates for the remaining units. Over two years, the property could receive $250,000 or more in rebates, dramatically reducing net capital expenditure.

Pro Tip: Bundle HVAC replacements with thermostat upgrades and duct improvements when possible. Austin Energy's multifamily program rewards whole-property efficiency. A participating contractor can help you sequence work to maximize rebates while staying within the annual cap and coordinating with property management schedules.

Sample Savings Calculation

For a more conservative example, consider a 50-unit mid-rise in Austin. Each unit has a 2-ton system. The owner replaces 25 units in 2026 with high-efficiency equipment qualifying for the $400/ton tier.

• HVAC replacement: 25 units x 2 tons x $400/ton = $20,000
• Power Partner thermostats: 25 units x $180 = $4,500
• Total rebate: $24,500

If the average installed cost per unit is $4,500, the 25-unit replacement would cost approximately $112,500 before rebates. The $24,500 rebate reduces net cost to about $88,000, a 22% reduction. For larger projects, the percentage impact can be even greater when rebates are coordinated with bulk pricing and efficient installation sequencing.

Timeline Expectations: From LOI to Final Rebate Check

Understanding the timeline helps property owners and asset managers plan capital projects and cash flow. Here's the typical sequence.

Application and eligibility review. After you submit your interest, an Austin Energy representative contacts you to collect information about your multifamily community and determine rebate eligibility. This phase can take one to three weeks depending on program volume.

Site visit and scope development. Once your application is accepted, a participating contractor schedules a site visit to develop and review the scope of work with you. This aligns expectations and ensures the project meets program requirements.

Letter of Intent (LOI). Austin Energy issues an LOI after approving your application. The LOI confirms your rebate eligibility and locks in the rebate amounts for the approved scope. The contractor has 120 days from the LOI date to complete the installation. Missing this deadline can jeopardize the rebate, so scheduling and coordination matter.

Installation and real-time inspections. Austin Energy staff conduct inspections during installation to verify work quality and compliance. A contractor experienced with the program knows what inspectors look for and can avoid rework.

Final inspection. An Austin Energy program coordinator schedules a final inspection with the property manager or owner to confirm all work was performed to expectations. This typically occurs within two to four weeks after installation is complete.

Rebate payment. After the final inspection passes and all documentation is submitted, Austin Energy processes the rebate. The rebate can be paid to the contractor if authorized by the account holder, which simplifies cash flow when the contractor fronts installation costs. Processing typically takes four to eight weeks from final approval.

From initial application to rebate check, plan for three to six months for a typical multifamily HVAC project. Larger or phased projects may extend beyond that, but the LOI-to-completion window of 120 days is fixed once the LOI is issued.

CG Service Pros: Track Record and Full-Service Support

CG Service Pros was named Austin Energy's 2024 Contractor of the Year, a recognition based on installation quality, rebate compliance, and customer satisfaction in the multifamily program. We have completed more than 4,500 multifamily units in Austin Energy's program, making us one of the most experienced contractors for apartment community energy upgrades in the region.

That experience translates into practical benefits for property owners and asset managers:

• Full documentation management. We handle rebate applications, LOI coordination, inspection scheduling, and final submission. You don't have to navigate Austin Energy's process alone.

• Coordination with property management schedules. We work around resident turnover, lease renewals, and maintenance windows. Phased installations can be scheduled to minimize disruption and align with your capital planning.

• ECAD and compliance support. For properties that need ECAD audits, we can help coordinate with the audit process and ensure your HVAC upgrades align with audit recommendations.

• Transparent rebate estimates. Before you sign a contract, we'll walk through your likely rebate amounts based on your scope, equipment choices, and the current program structure. You'll know what to expect.

We serve multifamily properties throughout the Austin metro area, including Austin, Round Rock, Cedar Park, San Marcos, and surrounding communities within Austin Energy's service territory. For properties outside Austin Energy's footprint, we can help you identify and navigate the appropriate utility rebate programs.

For a comprehensive view of all available Austin Energy rebates, including multifamily-specific offerings, visit our multifamily rebates page. If you're planning a commercial HVAC upgrade and want to understand the current condition of your equipment before committing to a full replacement, our HVAC Vitals Report provides a 50-point inspection and 12-month repair forecast that can inform your capital planning.

Common Questions About Multifamily HVAC Rebates

Can we use our own maintenance staff for HVAC work and still get rebates? Austin Energy allows either a participating contractor or your qualified maintenance staff for some measures, but HVAC replacement and tune-up rebates typically require a participating contractor. Check the current program guidelines for the specific measure you're pursuing.

What happens if we miss the 120-day LOI deadline? The 120-day window is firm. If installation is not complete within that period, the rebate may be forfeited. Working with an experienced contractor who plans the project around the deadline reduces this risk.

Do rebates apply to common areas or only resident units? The multifamily program covers energy efficiency improvements in both residential units and common areas that benefit the entire community. HVAC, lighting, and other upgrades in lobbies, hallways, fitness centers, and leasing offices can qualify.

How do we handle rebates when we're phasing work over multiple years? Each fiscal year (October through September) has its own $300,000 cap per site. Phasing work across years lets you maximize rebates while spreading capital expenditure. Your contractor can help structure the scope to align with the annual cap.

Plan Your 2026 Multifamily HVAC Upgrades

Austin Energy's multifamily rebate program offers a meaningful opportunity to reduce the cost of HVAC upgrades at apartment communities and condos. The program is first-come, first-served and operates on an annual budget, so properties that plan early have the best chance of securing full funding. With rebates that can reach $300,000 per site per year and per-ton rates that add up quickly on large projects, the program is designed to make efficiency upgrades more affordable for multifamily owners.

The first step is a conversation. We'll review your property, your upgrade plans, and your timeline, and give you a clear picture of what rebates you can expect and how the process works. No pressure, no gimmicks.

Schedule Your Multifamily Rebate Consultation

Have questions? Call us at (512) 766-5079 or visit our contact page to schedule service.