Solutions Value: ≈$116,000 in Added Property Value | ≈$7,000 in Annual Premium Savings
NFE Solution: LOMA; FES
A cold call from National Flood Experts paid off big for this Colorado Springs, CO, multifamily property owner.
Based on past successful projects and area data, NFE's in-house research team pre-qualified the Client's property as having a high likelihood of cost-saving solutions. NFE contacted the property owner to share our services and what we thought may be possible for their property and the Client was interested in exploring what solutions might be available.
NFE performed the initial desktop engineering review, which confirmed the high likelihood that the building would qualify for removal from the Special Flood Hazard Area (SFHA) through a Letter of Map Amendment (LOMA). To fully confirm the solution, additional property-specific data was required. The Client agreed to have NFE perform a Flood Expert Survey (FES) of the property. After an exhaustive review of the new data, NFE's engineers qualified the building for a LOMA.
Upon approval by FEMA, the LOMA removed the building from the SFHA and into an X Zone. With the LOMA in hand, the Client's lender released the mandate for flood insurance. As a result, the Client's flood insurance expenses decreased by nearly $7,000 annually. This reduction improved the property's net operating income (NOI) and increased the property's value by an impressive $116,000+ assuming a 6% CAP Rate.
