Landmark electrification retrofit project at 55 Water Street sets a new standard for energy efficiency and sustainability, leveraging thermal energy storage.
NEW YORK CITY, NY / ACCESS Newswire / September 30, 2025 / Trane®, a global climate innovator, has completed a groundbreaking electrification and decarbonization retrofit at 55 Water Street, New York City's largest office building. In a first for a U.S. commercial building, Trane installed a cutting-edge Storage Source Heat Pump heat recovery system, creating a highly efficient, flexible and resilient energy solution that sets a blueprint for modernizing large-scale commercial properties.
The project addresses the dual challenges of aging infrastructure and the urgent need to comply with New York City's Local Law 97 (LL97). The transformation positions the 3.8 million-square-foot, 53-story skyscraper as a model for sustainable innovation, while also delivering a cascade of financial and environmental benefits.
The new system is projected to:
Save $1.5 million a year in utility spending.
Lower the building's overall Energy Use Intensity (EUI) by nearly 20%.
Reduce steam consumption by 72%.
Improve efficiency, helping 55 Water Street avoid $1.2 million in annual LL97 fines.
"This project proves that ambitious decarbonization goals are achievable even in the most complex environments," said Scott Lewin, North America energy services operations leader at Trane. "We didn't just replace old equipment; we completely reimagined the building's relationship with energy. By capturing and storing wasted heat, we turned a liability into a valuable asset and ensured that 55 Water Street is ready for a more sustainable future."
The system replaces the building's legacy HVAC equipment with a fully electrified solution that features two Trane® CenTraVac® centrifugal chillers, 27 Thermafit modular chillers, and a series of water-to-water heat pumps and heat recovery chillers, all integrated with a thermal energy storage system. The configuration allows for the capture and repurposing of previously wasted heat from internal building operations and the cooling process, providing operational flexibility and reducing the need for carbon-intensive district steam.
The project was completed within a 12-month timeframe, allowing 55 Water Street to secure approximately $14.5 million in incentives. This includes $5.5 million in utility rebates and $9 million in federal tax credits. The return on the incremental investment for the heat recovery portion of the project is under four years. This is part of a larger, planned multi-million-dollar resiliency project, highlighting a strong and clear financial and business case for this advanced solution.
"I have a lot of trust with Trane," said Dan Palino, chief operating officer, 55 Water Street. "It was a big commitment to get a project of this size completed in a year with no disruption to tenants, but I was confident in their ability to get it done. I was very impressed."
The successful implementation demonstrates that large-scale electrification is not only possible but also financially prudent. Building owners across New York City and beyond can look to 55 Water Street as a model for how to achieve ambitious sustainability targets while improving performance and resilience.
About Trane
Trane® - by Trane Technologies (NYSE:TT), a global climate innovator - creates comfortable, energy efficient indoor environments through a broad portfolio of heating, ventilating and air conditioning systems and controls, services, parts and supply. For more information, please visit www.trane.com or www.tranetechnologies.com.
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SOURCE: Trane Technologies
View the original press release on ACCESS Newswire:
https://www.accessnewswire.com/newsroom/en/consumer-and-retail-products/trane-pioneers-decarbonization-technology-for-electrification-retrofit-1080283
