Logical Buildings’ clients reported substantial gains in energy reduction, carbon compliance, and grid revenue in 2025, a year characterized by escalating energy costs, electricity constraints, and new carbon regulations. Concurrently, Logical Buildings has appointed Josh Troy as Chief Financial Officer to guide its platform expansion and capital strategy.
Over the past year, Logical Buildings’ software platforms assisted thousands of properties in mitigating operating costs, avoiding penalties, and contributing flexible capacity to grid systems under strain. The company serviced over 4,000 buildings nationwide and more than 25,000 tenant energy users across New York City and Westchester. Client portfolios, including multifamily, commercial, institutional, and industrial properties, achieved record megawatt load reductions through utility demand response programs, notably during Con Edison’s Commercial System Relief Program (CSRP), Distribution Load Relief Program (DLRP), and New York Independent System Operator (NYISO) events. Furthermore, the company supported over 700 buildings in navigating the initial compliance year of Local Law 97 (LL97) and emerging benchmarking standards in New Jersey, Boston (BERDO), and Washington, D.
C. (BEPS). The SmartKit AI® Platform was adopted at scale, utilizing Advanced Metering Infrastructure (AMI) integrations and building hardware connectivity for energy management. These efforts contributed to reduced operating costs and carbon emissions for building owners and operators during a period of high electricity prices and extreme temperature-driven demand.
This growth aligns with a critical juncture in the energy sector, where increasing electricity demand from AI data centers, electric vehicles, and heating electrification is contributing to an affordability crisis and pressuring grid infrastructure. Simultaneously, states and cities are implementing comprehensive carbon regulations targeting buildings. Jeff Hendler, President of Logical Buildings, stated, “This year wasn’t just about our growth—it was about what our customers accomplished in one of the most volatile energy environments we’ve ever seen. Our platforms helped building owners cut energy waste, avoid carbon penalties, earn grid services revenue, and stay resilient in conditions where every kilowatt mattered.”
The urgency of these challenges was underscored by grid constraints observed in summer 2025. According to an NYISO article published July 28, 2025, a June heatwave tested New York’s grid, with demand reaching 31.9 gigawatts (GW), the highest peak since 2016. The report noted that renewable resources and demand response programs were crucial in managing demand, suggesting that without these contributions, New York might have exceeded its all-time summer record of 34.0 GW. David Klatt, CEO of Logical Buildings, commented, “As cities electrify, we simply need more electrons. Grid-responsive buildings aren’t optional—they’re essential to keeping the lights on. Logical Buildings is one of the few companies connecting the dots between real-time grid needs and what buildings can deliver.”
To support its strategic expansion and increased capital market activities, Logical Buildings has appointed Josh Troy as Chief Financial Officer. Mr. Troy brings over 15 years of experience in finance, strategy, and capital markets leadership roles within growth-stage real estate and utility technology companies. His prior experience includes co-founding and serving as CFO of Urbint, an enterprise software platform for utilities, and holding the Head of Finance position for StreetEasy (Zillow) and Compstak, both real estate data and technology companies. His expertise spans M&A, corporate development, financial planning and analysis (FP&A), and establishing finance organizations capable of supporting national-scale growth. Mr. Troy remarked, “This is an incredibly exciting time for Logical Buildings, and I’m thrilled to be joining David, Jeff, and the team. With electricity costs surging and carbon-compliance rules accelerating, Logical Buildings is uniquely positioned to guide building owners through the ‘Electron Economy’ transition. As customers adopt grid-interactive, revenue-generating operations, our platform provides the intelligence and financial results they need. I’m excited to help expand this impact.”
Logical Buildings operates as a sustainability and virtual power plant software provider, aiming to transform buildings into smart, grid-responsive assets. Its core platforms, SmartKit AI® and GridRewards™, enable multifamily and commercial properties to reduce carbon emissions, cut costs, adhere to new regulations, and generate revenue through grid services. The company also offers Logical Buildings Level Up Services, which include electric vehicle charging installation and demand management, battery storage and grid interconnectedness, advanced controls, cloud-connected smart thermostats, electrification of heat and domestic hot water, heat recovery systems, and sub-metering and billing solutions.
