A new study that measured the economic value of using FORTIFIED Multifamily, a voluntary beyond-code construction and re-roofing method developed by the Insurance Institute for Business & Home Safety (IBHS), found the return can be as high as 72%.
The Alabama Center for Insurance Information and Research (ACIIR) at the University of Alabama's Culverhouse College of Business study predicts lower insurance costs due to reduced risk, coupled with increased revenue, more than pay for the cost of achieving a FORTIFIED designation. The size of this return on investment varied based on where the project was located, and which FORTIFIED designation was sought. It ranged from 8.1% with added hail protection in inland areas to 72% for a Gold designation near the coast.
A building can be constructed to a FORTIFIED standard for either Hurricane or High Wind, and property owners can choose from three designation levels, including Roof, Silver, or Gold. The standard requires upgrades be verified and documented by an independent third-party evaluator.
The FORTIFIED Multifamily program was developed based on decades of lab and field research by IBHS to identify methods to strengthen homes, commercial buildings, and multifamily properties against severe weather, including hurricanes and tornadoes. The standard is publicly available and is free.
Related Stories
Mixed-Use | Feb 8, 2017
Santiago Calatrava’s first major UK project will be the heart of the Greenwich Peninsula transformation
Peninsula Place will cost £1 billion and act as a gateway to the new, master-planned district.
Mixed-Use | Feb 7, 2017
Traditional Arab architecture and the surrounding mountainous terrain inspire a luxury hotel in Mecca
The Foster + Partners-designed building will address the shortage of accommodation in Mecca.
High-rise Construction | Jan 26, 2017
Paris tower provides office space and three hotel complexes across its three superimposed volumes
Equipped with hanging gardens and a panoramic viewpoint for its top tier, Jardins de l’Arche Tower will rise in Paris’s La défense business district.
Mixed-Use | Jan 26, 2017
New renderings provide glimpse into large mixed-use project, Circa
The $500 million complex will begin pre-leasing in winter, 2017 and open for move-in early in 2018.
Mixed-Use | Jan 18, 2017
Frank Gehry’s Grand Avenue Project in Los Angeles may finally be ready to break ground
The oft-delayed project was set to begin in 2007 but was halted due to the recession.
Mixed-Use | Dec 1, 2016
Amsterdam’s new sustainable mixed-use building embraces the idea of living on the water
The Sluishuis employs a unique shape that makes it appear different from every vantage point.
Mixed-Use | Dec 1, 2016
Initial work on mixed-use development, The Parks at Walter Reed, is underway
The D.C. development is the product of a partnership between Hines, Urban Atlantic, and Triden Development Group.
Multifamily Housing | Dec 1, 2016
One of Canada’s largest media companies dives into real estate development
Rogers moves forward on M City, a multi-building, multi-year project in a Toronto suburb.
Office Buildings | Nov 15, 2016
Under Armour unveils phase one of 50-acre Baltimore headquarters
The campus will be located in Baltimore’s $5.5 billion Port Covington redevelopment project.
Mixed-Use | Nov 10, 2016
Terraced mixed-use development planned for Shanghai’s urban city ring
The development will be highly accessible and provide ‘humanism’ to the area.
