Templok Ceilings Deliver Energy Tax Credit Wins
Armstrong Templok ceilings helped Swinerton secure federal tax credits while improving energy use.
Armstrong World Industries announced that Swinerton's Inland Northwest office in Spokane, Wash., has leveraged federal tax incentives following the installation of Armstrong Templok Energy Saving Ceilings, demonstrating how phase change material (PCM) ceiling technology can deliver both energy performance and financial returns.
Located in the Scott Morris Center for Energy Innovation on Spokane's South Landing Campus and owned by McKinstry affiliate Emerald Initiative LLC, the 9,000-square-foot office features Armstrong Ultima Templok Energy Saving Ceilings. According to a 2025 study prepared by Ryan LLC, the ceiling system may qualify as "thermal energy storage property" under the federal Section 48E Clean Electricity Investment Tax Credit.
The study evaluated the Templok ceiling panels, suspension system, trim and installation labor, along with documentation showing the products meet domestic content and Foreign Entity of Concern requirements. Project-specific factors resulted in tax credits exceeding $25 per square foot, reducing final project costs by approximately 37%.
"Phase change materials are listed as a qualifying thermal energy storage technology in the Section 48E tax credit regulations," said Scott Stogsdill, director of federal income tax consulting, Green Energy Incentives, Ryan LLC. "We were excited to see a taxpayer realize a dollar-for-dollar reduction in its tax liability after installing Templok ceiling tiles, in addition to the ROI from the efficiency benefits of this project."
The installation was completed through a collaboration between Armstrong and Overcast Innovations, a McKinstry-owned subsidiary. Swinerton piloted Overcast's Modular Grid Platform assemblies, integrating the Templok ceiling system with mechanical and electrical components to streamline installation while maintaining the project's architectural design.
Templok ceiling panels use phase change material technology to passively absorb and release heat, helping reduce HVAC demand while improving occupant comfort.
"We selected Armstrong Templok ceiling tiles for Swinerton before having awareness of potential tax savings," said Robb Andrade, managing director of Overcast Innovations. "The tax credits coming into play gives us even more impetus to present this solution as a standard for all types of projects."
Designed to support the South Landing Campus' focus on high-performance building innovation, the project illustrates how energy-efficient ceiling systems can help building owners pursue decarbonization goals while improving project economics.
"We are looking at new and interesting ways to incorporate Armstrong Templok ceiling tiles wherever we can—it is simply the right thing to do," Andrade said. "It's right for the environment, the occupants and the bottom line. Whether you're a for-profit corporation or a nonprofit organization, I can't imagine why a project owner wouldn't consider Templok ceiling tiles."
To learn more about the Swinerton Builders' Northwest Office project, read the case study on the Armstrong website. For more information, visit armstrong.com/templok.
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