KB Home to build only 'Energy Star' homes by 2009

By Helen Chernikoff

NEW YORK (Reuters) - KB Home on Thursday announced a set of environmental standards including compliance of all communities opening in 2009 with the government's "Energy Star" certification requirements.

The company also promised to construct all new homes starting in 2009 using paint and carpet low in chemicals known to cause adverse health effects such as eye irritation, headaches and kidney damage.

"I'm not saying we're green, because we're not. But we're doing the best we can to become greener," Chief Executive Jeff Mezger said in an interview.

"As we go forth with our initiatives, I think we will end up being the green builder among national builders because we're leading the charge now."

KB's new communities will adhere to the federal government's "Energy Star" certification requirements. The U.S. Environmental Protection Agency and the U.S. Department of Energy program provides guidelines for energy-efficient building processes and govern insulation, ducts, and windows among other elements.

KB had been building Energy Star homes and already used environmentally friendly paint, but not companywide.

The company is to conduct an audit this year to reduce job site waste that is expected to produce material cost savings, part of the competitive advantage afforded by green practices, Mezger said.

It is too early to quantify the savings, but the company does plan to measure and disclose them, he said.