Solutions Value: $36K+ Year-Over-Year Savings, Adding $500K in Added Property Value. Massive!
NFE Solution: LOMA (Letter of Map Amendment) & Flood Expert Survey (FES)
A multifamily property, located in Lakewood, WA, faced a significant financial challenge when the flood zone mandate required them to have expensive flood insurance premiums for 11 out of 15 buildings. After the initial review by the National Flood Experts (NFE) team, it was determined that all 11 of these buildings may be able to be removed from the 100 Yr flood zone and no longer be required for flood insurance. Additional data was required and it was recommended to conduct a Flood Expert Survey (FES) with a better than 50% chance of success in fully qualifying all 11 buildings.
With data from the FES and the analysis from the NFE engineering team, the LOMA project was approved by FEMA with all 11 buildings being reclassified from the AE flood zone to the X zone, resulting in the insurance mandate being removed. $36,000 in immediate cost savings were created for the property owners!
The project resulted in a remarkable increase in Net Operating Income (NOI) for the property, boosting its overall value by over $500,000! On top of that, by removing the lender mandate, we have eliminated a future hurdle in the property's disposition process, ensuring a smooth and hassle-free experience for future buyers.
