Solutions Value: $13K+ Premium Savings & $221K+ in Added Property Value
NFE Solution: FES; LOMA
A luxury multifamily property in Middletown, NY, faced financial strain from high flood insurance premiums. Their insurance broker connected the Client with NFE to explore potential cost-saving solutions.
The primary challenge for the Client was the high flood insurance premiums, which were negatively impacting the property's financial performance. Finding a solution within a reasonable timeline was essential to alleviate the financial strain on the property owner.
NFE's engineering team initiated the project by conducting a complimentary desktop engineering review. This preliminary review indicated a high likelihood that the property would qualify for removal from the Special Flood Hazard Area (SFHA) through a Letter of Map Amendment (LOMA). However, current data was required to confirm these estimations and prepare the final submission to FEMA.
After gathering the required data and analyzing the results, NFE's engineering team confirmed their initial findings - the luxury multifamily property qualified for a LOMA. Armed with this information, the team prepared all necessary documentation and submitted the LOMA application to FEMA.
The following month, the LOMA was approved, officially reclassifying the building into an X zone. This achievement had significant positive implications for the Client.
With the LOMA in hand, the lender mandate for flood insurance was removed, resulting in immediate annual savings of over $13,000+ on flood insurance premiums. This financial relief improved the property's bottom line.
Moreover, successfully removing the property from the flood zone led to a substantial increase in its value. The property's value increased by over $221,000, providing an additional financial advantage for the Client. The Client was delighted with the outcome, as NFE's expertise and successful resolution of the flood insurance premium challenge significantly benefited their property.
In addition to the Client's satisfaction, NFE's expertise and comprehensive solution helped strengthen the professional relationship between the insurance broker and their Client. The insurance broker delivered exceptional value by addressing the Client's flood insurance premium concerns, showcasing their commitment to providing innovative solutions and ensuring client satisfaction.
