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Innovator Story: Gradient
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Powering Progress in Heating and Cooling: Gradient’s NYSERDA-Backed Innovation Journey

The Drive for Affordable Decarbonization

Gradient emerged from an urgent need to confront one of the toughest decarbonization challenges: how to bring clean, efficient, all-electric heating and cooling to millions of residents living in older multifamily buildings in New York and throughout the country.

In New York City, many buildings—especially those built before 1947, which is about 54% of New York City housing stock—are difficult to retrofit with all-electric heat pumps. Generally, such buildings rely on aging steam or hydronic heating systems and, without costly retrofit construction scopes, cannot easily accommodate the electrical upgrades and refrigerant lines required for conventional heat pump systems. While these challenges exist for the built environment in general, they are especially acute for New York City Housing Authority (NYCHA) developments, where aging infrastructure makes traditional retrofits prohibitively expensive and disruptive.

Gradient’s ambition was clear: deliver grid-connected, electrified heating and cooling at scale—making homes healthier, more comfortable, and more affordable. Gradient’s cold climate window heat pump was born from the realization that building decarbonization must start with the people it would serve.

 

NYSERDA Innovation & Research: A Catalytic Partner in Innovation

Gradient’s partnership with NYSERDA Innovation & Research (I&R) transformed that mission into reality. NYSERDA I&R provided research and development funding and support to advance Gradient’s mission, which has catalyzed new opportunities for real-world implementation.  NYSERDA’s programs went far beyond funding—they provided a collaborative ecosystem of technical experts, field partners, and policymakers who helped guide the emerging technology through every stage of product development, from concept to market readiness. 

NYCHA’s requirements also signaled a market need for a solution to a pressing challenge—one that would result in the Clean Heat for All Challenge, a joint effort spearheaded by NYCHA, NYSERDA, and the New York Power Authority (NYPA) seeking development and delivery of a new heat pump product to serve existing multifamily buildings, marking a significant step toward decarbonizing public housing.  

Gradient, along with Midea America, subsequently participated in the Clean Heat for All Challenge to develop and produce novel, cold climate, packaged window heat pumps. These new products help address NYCHA’s decarbonization goals and present a cost-effective electrification retrofit solution for the broader market. Though Clean Heat for All, Gradient and Midea will continue to work in concert with NYPA, NYCHA and NYSERDA to install 30,000 new heat pump units for use in New York City’s public housing facilities.

 

“A big shift in industry needs partners for guidance as well as for funding—NYSERDA has been with us the whole way.”

— Vince Romanin, CTO and Co-Founder, Gradient

Tackling the Real-World Challenge of Older Buildings

The road to decarbonizing older housing stock is notoriously difficult. Many buildings constructed before modern codes lack insulation, adequate electrical capacity, or space for new mechanical systems. Upgrading them can trigger cascading compliance costs and lengthy tenant disruptions—barriers that have slowed decarbonization progress nationwide.

Gradient’s breakthrough was to work with these constraints rather than against them. Its window heat pump is compact, plug-in ready, and adaptable to diverse window sizes and electrical configurations. By eliminating the need for invasive construction, refrigerant piping, or costly service upgrades, the technology made clean heating affordable and scalable in buildings once considered “un-electrifiable.”

Working hand in hand with NYSERDA, Gradient tested and refined the design in real-world conditions—gathering feedback from residents, maintenance staff, and housing officials to ensure the solution would perform as a scalable, cost-effective, retrofit pathway for some of New York’s most challenging properties.

Gradient window unit installation

Real-World Benefits: Residents, Utilities, and the State

For residents, utilities, and state agencies, the impact of Gradient’s solution is tangible and far-reaching:

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Increased Energy Efficiency

Dramatically reduces energy use compared to traditional fossil fuel systems.

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Enhanced Indoor Air Quality

Eliminates combustion-based pollutants and provides better air-sealing than the window air conditioners they replace, which is better for resident health.

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Reliability

Performs during New York State’s coldest winters and hottest summers.

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Equitable Access

Expands clean heating and cooling to older, space-limited multifamily buildings across New York.

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Enables Cost-effective Electrification

Streamlined installation, which does not require specialized labor, avoids construction and rewiring costs.

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Minimal Disruption

Installs quickly without displacing tenants or altering building envelopes.

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Supports Climate Policy

Supports compliance with Local Law 97 and advances state decarbonization targets.

 

Residents report improved comfort levels, better temperature control, and overall satisfaction with the new heat pumps.

Collaboration Across Public Agencies

The successful rollout of Gradient’s technology reflects close internal NYSERDA collaboration and collaboration with public housing authorities and utility stakeholders. Joint oversight and iterative demonstration projects ensured the system met rigorous performance, safety, and usability standards. By aligning technical innovation with real-world operating conditions, NYSERDA and Gradient have built a replicable model for how to modernize older building stock without major reconstruction.

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Scaling Innovation for Statewide Impact

Gradient’s partnership with NYSERDA continues. With a long-term goal of electrifying thousands of New York buildings, the effort serves as a blueprint for decarbonization at scale. Each new installation replaces an outdated radiator with an efficient, grid-responsive system while improving daily comfort for thousands of New Yorkers.

What began as a “back-of-the-napkin” idea evolved into a transformative, cooperative mission to make clean heating accessible to all. Gradient’s story, supported by NYSERDA I&R, underscores how innovation, partnership, and practical design can turn even the oldest buildings into models for a clean energy future.

About NYSERDA Innovation & Research

NYSERDA Innovation & Research fosters a dynamic ecosystem that accelerates the development, demonstration, and commercialization of cutting-edge energy technologies. By catalyzing private investment, supporting groundbreaking research, and attracting world-class innovators to New York, NYSERDA advances statewide goals for decarbonization, resilience, and economic growth.

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