Kelvin, a pioneering company specializing in intelligent, decarbonized HVAC solutions for legacy buildings, has secured $30 million in Series A funding to drive its global mission of decarbonizing the existing building stock. The funding round marks a significant milestone for Kelvin, formerly known as Radiator Labs, as the company expands its offerings beyond radiators and enters the US and European markets to address the urgent need for emissions reduction in older buildings.
The Series A funding was led by climate-focused venture capital firm 2150, with participation from esteemed investors such as the Schmidt Family Foundation and the Partnership Fund for NYC, as well as existing investors. The funds raised will be utilized to bolster the team with top talent and develop a scalable platform that accelerates the adoption of economically and environmentally sustainable HVAC options worldwide.
Kelvin’s focus has now broadened to encompass various decarbonized HVAC applications, including heat pump and thermal battery systems. These innovative solutions enable legacy buildings to electrify up to 80% of their heating needs at a fraction of the cost typically associated with full electrification. Similar to Kelvin’s flagship product, the Cozy, these HVAC options can be easily installed through a subscription agreement, making them financially accessible for all buildings, regardless of their capital resources.
The Cozy, Kelvin’s renowned insulated radiator cover, optimizes heating efficiency by preventing overheating and fuel wastage. By implementing Cozys throughout a building, heating costs can be reduced by up to 45%, while also enhancing comfort for residents and reducing building emissions. Currently installed in over four thousand apartments across the northeastern United States, the Cozy has undergone rigorous independent validation by multiple agencies, further validating its effectiveness.
Kelvin takes pride in offering a no-money-down subscription model, effectively removing capital barriers and promoting a financially-driven transition to decarbonization, particularly benefiting lower-income communities. Moreover, Kelvin’s decarbonization and efficiency solutions are eligible for incentives such as the investment tax credit under the Inflation Reduction Act, as well as state and utility energy efficiency programs, facilitating compliance with local emissions, energy efficiency, and electrification regulations.
With a track record spanning over a decade, Kelvin has already delivered more than 15,000 intelligent HVAC solutions to diverse customers, including universities, large real estate portfolios, COOPs, city agencies, and housing authorities. The company’s CEO and co-founder, Dr. Marshall Cox, expressed excitement about the new capital infusion, emphasizing the opportunity to expand the team and platform, enabling more buildings in different cities to achieve electrification goals while reducing operating costs.
Christian Hernandez, Partner and co-founder of 2150, emphasized how Kelvin’s hybrid electrification approach aligns with their vision of transforming urban environments into sustainable cities of the future. Hernandez expressed eagerness to witness Kelvin apply its unique expertise to multiple cities across the US and globally, offering affordable and effective solutions to lower building emissions.
Michael Rudin, Executive Vice President of Rudin, a longstanding customer, partner, and investor of Kelvin, acknowledged the crucial role Kelvin’s technology plays in their decarbonization journey and achieving their sustainability goals.
Kelvin, headquartered in New York City, is committed to providing energy-efficient temperature control solutions that benefit building owners, tenants, and the communities they serve. The successful funding round not only enables Kelvin to realize its broader mission but also signifies a significant step toward a greener and more sustainable future.