Distributed Energy Resources, Energy Efficiency, GHG Emissions  -  April 2, 2025

Lennar Signs for Geothermal Energy

U.S. homebuilder Lennar Corporation entered into a partnership to deploy residential geothermal heat pumps for homes constructed in Colorado.

The company will collaborate with Dandelion Energy, a home geothermal heating and cooling company, for the project.

During the next two years, Dandelion’s geothermal systems will be integrated into over 1,500 new Lennar homes built in Colorado. Geothermal offers the lowest monthly energy bills for homeowners, who are expected to save approximately $30 million over 20 years compared to heating with air-source heat pumps.

Dandelion Energy developed a streamlined installation process that makes it easier and more affordable than ever for builders and homeowners to benefit from geothermal heat pumps. By eliminating the need for outdoor AC units and traditional heating systems, Dandelion’s technology enhances home efficiency and durability. 

“Our collaboration with Dandelion Energy brings innovative geothermal technology into our homes — offering Colorado homeowners a cleaner, more efficient way to heat and cool their homes, while reducing long-term costs and future-proofing their investment,” said Stuart Miller, Executive Chairman and Co-CEO of Lennar, in a statement. “It supports our broader commitment to making high-quality, attainable housing more accessible.”

Geothermal heat pumps lower home energy use and costs and significantly reduce peak electric demand. According to a recent report from the Department of Energy, widespread adoption of geothermal heat pumps could eliminate the need for 24,500 miles of new grid transmission lines.

This initiative will benefit from incentives including Colorado’s state tax credit for geothermal heat pumps and Xcel Energy’s geothermal and all-electric new construction programs. 

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