Solutions Value: $7.5K NOI Increase | $125K in Added Property Value
NFE Solution: LOMA; FES
The client, a multifamily investment and property management firm that had previously engaged in projects with National Flood Experts (NFE), was faced with significant flood insurance expenses for a property in Salem, NJ. Three buildings on the property were located in a high-hazard flood zone, and the lender was mandating flood insurance for the three buildings.
NFE provided a comprehensive solution to the client's challenges. First, NFE initiated a complimentary desktop engineering review of the property to identify potential avenues for removing the flood insurance mandate. Based on their assessment, NFE recommended conducting a Flood Expert Survey (FES) to gather property-specific data and confirm the eligibility for a Letter of Map Amendment (LOMA).
NFE conducted the FES and analyzed the findings, concluding that all three buildings on the property qualified for a LOMA. Leveraging their expertise, NFE prepared an air-tight case and submitted it to Federal Emergency Management Agency (FEMA) for approval.
Thanks to the efforts of NFE, the LOMA was approved, removing all three buildings from the flood zone and eliminating the lender requirement for flood insurance.
With the LOMA in hand, the client's lender released the mandate for flood insurance. As a result, the client experienced a significant reduction in annual insurance premiums, amounting to $7,500. This reduction instantly improved the property's net operating income (NOI) and increased the property's value by an impressive $125K.
The client's decision to engage with National Flood Experts (NFE) for this project demonstrates their trust in the company's expertise and ability to deliver results. By successfully removing the flood insurance mandate through the LOMA process, NFE showcased its commitment to providing effective flood zone solutions and delivering financial benefits to clients.