Dive Brief:

• Construction has begun on an 1,800-home community in Louisville, KY, that the developer has said will be the largest in the country to equip every unit with a geothermal heating and cooling unit.

• The underground system, which draws from the earth’s constant 54-degree temperature to heat and cool a house, will cost $18,000 per home in Louisville’s Norton Commons planned community. Homeowners could be eligible for tax credits of up to 30% on the price of their systems.

• Because geothermal systems transfer heat instead of creating it by burning fuel, they can be up to 300% more energy-efficient than even the highest-quality gas furnace and can save a homeowner up to 70% on heating and cooling bills.

Dive Insight:

The choice of geothermal was made as part of the developer’s “More Life Per Square Foot” mission for the development. The system negates the need for outdoor air conditioning units, which the developer says will reduce noise and free up yard space.

This large-scale project signals a shift in the way builders use geothermal, which typically has been reserved for smaller communities and custom homes.