Hillside North Project Won $1.2M Sustainability Award

The Passive House development in Queens sets a new technical standard for affordable housing operators.

Updated on Oct. 13, 2026 in Construction

Isometric editorial illustration of a modular rooftop solar array and mechanical heat pump system, illustrating sustainable building infrastructure design.
The Hillside North development in Queens secured a $1.2 million NYSERDA sustainability award, marking a milestone for carbon-neutral affordable housing design. AI Illustration. Upload story photo >

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On September 25, 2026, the Hillside North Building in Jamaica received a $1.2 million sustainability award through the NYSERDA Building of Excellence Competition. This project will introduce 173 affordable rental units and 12,000 square feet of retail space to the site.

Why it matters

The project signals a shift toward stringent carbon-neutral standards in subsidized construction, impacting design requirements for developers seeking state incentives. The recognition highlights the technical feasibility of PHI Classic Passive House certification at scale.

The $1.2 million award is part of a larger $12 million pool distributed among ten New York projects. The planned 170,037-square-foot development will span 14 stories and represents a significant addition to the larger 400-unit Hillside redevelopment plan.

The players

Gilbane Development Company

A major real estate developer that manages large-scale institutional and residential construction projects across the U.S.

MURAL Real Estate Partners

A real estate development firm focusing on urban residential projects and community-centered redevelopment.

Kathy Hochul

The current Governor of New York who oversees state-led sustainable development initiatives and infrastructure policy.

The details

The building is designed to meet PHI Classic Passive House certification, utilizing blackwater source heat pumps and rooftop solar panels to achieve carbon-neutral readiness. Rainwater harvesting systems and high-efficiency mechanicals are integrated to lower long-term operational costs for the site, which currently functions as a parking lot.

Timeline

  1. September 25, 2026: The award was announced by Governor Kathy Hochul.

  2. December 2026: Construction financing is expected to close.

  3. June 2029: The building is expected to reach substantial completion.

Market Landscape

The award follows the precedent established by the NYSERDA Building of Excellence Competition to drive high-performance building standards in New York. This project marks a shift toward integrating Passive House requirements into large-scale, state-backed affordable rental developments.

Developers should monitor the technical requirements for Passive House certification, as these standards are increasingly linked to state funding eligibility. The transition from parking lots to multi-story mixed-use units in Jamaica highlights a potential site-selection strategy for future high-density investments.

The takeaway

The move toward carbon-neutral-ready design is becoming a prerequisite for securing competitive state development grants. Operators should evaluate whether incorporating Passive House technology into their future pipeline creates a pathway for similar sustainability funding.

Further reading

Learn more about the latest regulatory shifts affecting local projects in our Construction section.

Source note: This article includes information reported by QNS.

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Do you support prioritizing affordable housing developments that meet high energy-efficiency standards in your community?