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The Impact of Installing Electric Tankless Water Heaters in Condominiums

The Impact of Installing Electric Tankless Water Heaters in Condominiums​

The installation of electric tankless water heaters in condominiums, while seemingly beneficial for individual unit owners, can pose significant challenges and risks for the entire building. Condominiums, regardless of being mid or high-rise, typically share an electrical service that feeds multiple units. These buildings are not constructed with future electrical demands in mind; they are designed to meet the requirements of their time. As a result, the introduction of high-demand appliances like electric tankless water heaters can lead to a cascading series of issues, affecting both individual unit owners and the entire homeowner association (HOA).

Electrical Capacity and Demand​

Buildings are constructed to accommodate the electrical load anticipated at the time of their design. When unit owners start replacing storage tank water heaters with electric tankless water heaters, they significantly increase the electrical demand. Tankless water heaters require a substantial amount of power to provide sufficient gallons per minute (GPM) flow, necessary for a consistent hot water supply. Without a high GPM rating, users may experience lukewarm water, especially if multiple appliances or fixtures are using hot water simultaneously.

Electrical Panel and Wiring Upgrades​

Most electrical panels in condominium units are not designed to handle the additional load of an electric tankless water heater. This necessitates an upgrade not only of the panel but also of the wiring that feeds the panel from the common area electrical room, which is typically under the HOA's jurisdiction. This process requires two separate permits: one for the individual condominium unit and another for the HOA, as work will be conducted in common areas.

Load Calculations and Permits​

The installation of a tankless water heater demands detailed electrical load calculations for both the unit's electrical panel and the building's main electrical service. The building department will require these calculations to ensure that the common area electrical room and the overall building electrical service can handle the increased load. This creates a domino effect, as adding one high-demand appliance impacts the entire electrical system of the building.

Potential for System Overload​

As more unit owners install electric tankless water heaters, the cumulative electrical demand can easily exceed the building's capacity. This can lead to situations where the electrical service feeding several floors becomes overloaded, potentially tripping and causing power outages for multiple units. The first-come, first-served nature of such upgrades can result in inequities, where some owners can install these heaters while others cannot, potentially affecting property values and creating dissatisfaction among residents.

HOA Challenges​

HOAs face significant challenges when unit owners request to install electric tankless water heaters. Allowing such installations can force the HOA to consider expensive upgrades to the entire building's electrical system, a cost that would ultimately be borne by all unit owners. To prevent these issues, many HOAs have established rules prohibiting the installation of electric tankless water heaters. However, more HOAs need to adopt such regulations to safeguard the interests of all residents.

In Summary​

Switching from storage tank water heaters to electric tankless water heaters in condominiums can be detrimental and costly for the entire building and its residents. The increased electrical demand, the need for extensive electrical upgrades, and the potential for system overload outweigh the individual benefits of on-demand hot water. This one-sided opinion underscores the importance of comprehensive HOA rules to prevent the installation of electric tankless water heaters, protecting the community from significant financial and operational burdens.
 
I read about a tech company that is developing high-end induction ranges that will have built-in lithium ion batteries. The ranges will charge slowly during non-peak hours, then use their own batteries during high demand. The initial goal is to not create any additional peak demand on older electrical systems. You can replace a gas range with this range without significant upgrades to sub panels or switchgear.
Their long-term plan is then to have the range’s software “learn” your peak demand hours where those same appliance batteries can help with local storage capacity, powering other items in the house or condo complex. In other words, the short term goal is to be a range manufacturer for consumers, and their long term goal is to get into the utility side of the business.
 
Similar, but not the same at all.

In a condo or townhouse situation, the problem of exceeding the capacity of the service is exactly the same.

Now imagine if everyone in the building wants an electric, on-demand water heater AND a level 2 EV charging station. A level 2 charging station requires 240 volts and, IIRC, 40 amps.
 
In a condo or townhouse situation, the problem of exceeding the capacity of the service is exactly the same.

Now imagine if everyone in the building wants an electric, on-demand water heater AND a level 2 EV charging station. A level 2 charging station requires 240 volts and, IIRC, 40 amps.
I understand what you are saying.

In a condo situation where you have mid and high-rises, the parking is typically in a parking lot or parking garage and the electric for EVs comes from the common area electric. Most of the the time the EV owner has to pay for the work and even get an electric meter but the building pulls the permit and uses the meter to charge back the unit owner. You just cant run a circuit down the side of a high-rise to feed your EV which is why we are seeing designs to incorporate EV into new condominiums with the ability to meter the use.

In the case of condos getting back to typical mid- and high-rise, the other issue is the electrical rooms feed several units and often several floors and are located throughout the condo. These can be overloaded if too many people coming out of the electrical room feeder add tankless water heaters.

Many condos have 277/480 for their service and feeders but then drop to 208 to each of the condos. However, most condos have 208 3 phase which gives them options for 3 phase chargers if it comes from common areas. There is not 3 phase at the individual unit level.
 
I wasn't referring to high-rise or podium type condos, where the parking is a common or limited common element. I was referring to townhouse-style condos built under the IRC, in which each apartment or condo unit has its own garage with electricity to the garage fed from the unit's distribution panel. We have tons of these in my state and in the town where I currently work. Some are condos, others are apartments. The construction is the same, only the form of ownership differs.

We're not (yet) seeing a push for on-demand water heaters (gas or electric), but the state is heavily promoting EVs, and a couple of years ago enacted a statute requiring a percentage of level 2 EV charging station "infrastructure" in many projects. What this means is that the owners don't have to install the actual charging stations (yet), but we are required to ensure that the electrical service will handle them, the distribution panel has capacity and spare breaker spaces for them, and the conduit(s) are run from the building to the future EV charging spaces. We have already seen multiple projects on which this requirement has resulted in an increase to the size of the electric service.
 
I wasn't referring to high-rise or podium type condos, where the parking is a common or limited common element. I was referring to townhouse-style condos built under the IRC, in which each apartment or condo unit has its own garage with electricity to the garage fed from the unit's distribution panel. We have tons of these in my state and in the town where I currently work. Some are condos, others are apartments. The construction is the same, only the form of ownership differs.

We're not (yet) seeing a push for on-demand water heaters (gas or electric), but the state is heavily promoting EVs, and a couple of years ago enacted a statute requiring a percentage of level 2 EV charging station "infrastructure" in many projects. What this means is that the owners don't have to install the actual charging stations (yet), but we are required to ensure that the electrical service will handle them, the distribution panel has capacity and spare breaker spaces for them, and the conduit(s) are run from the building to the future EV charging spaces. We have already seen multiple projects on which this requirement has resulted in an increase to the size of the electric service.
We should start a new thread about EV chargers.
 
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