Water is becoming more expensive, more regulated, and, in many regions, increasingly scarce. Building managers, especially in multi-unit commercial and residential properties, are under growing pressure to improve resource efficiency, lower utility costs, and meet sustainability mandates. Traditional water metering systems – blunt instruments that often measure building-wide usage on a monthly basis – are no longer enough. Smart water metering offers a data-driven, precise, and scalable alternative. Let’s look at the technology and real-world impact of water metering in multi-unit buildings and what building managers need to know to implement it successfully.
What is smart water metering?
Smart water metering refers to the use of digital water meters that collect high-resolution consumption data and transmit it in real time (or near-real time) to a central platform via wireless networks. Unlike legacy meters, which often require manual reading and provide aggregated delayed data, smart meters provide granular data – typically every 15 minutes or less.
Key components:
- Inline flow meters (digital mechanical or magnetic meters) installed directly in a water line to measure flow and total volume. These are typically battery-powered for long life (often 5–10+ years).
- Ultrasonic clamp-on meters that attach externally to a pipe and use sound waves to infer flow. These non-invasive sensors are easy to retrofit and ideal for retrofitting existing buildings.
- Smart shut-off valves, which automatically close when connected sensors detect a leak or usage spike.
- Leak and moisture sensors placed near fixtures or on floors that can directly alert on the presence of water (especially for slab leaks or hidden pipe breaks).
Inside the system: how the technology comes together
A smart water metering system comprises three essential layers: hardware, network infrastructure, and the cloud platform. Each plays a distinct role in delivering accurate, real-time water data.
- Meter hardware. At the core are advanced flow sensors. Ultrasonic meters are a popular choice due to their precision, durability, and ability to measure very low flow rates. With no moving parts, they’re well-suited for long-term use and reduce maintenance demands. Most units run on batteries designed to last up to 12 years. Their compact size allows for installation even in tight mechanical rooms or utility closets.
- Network infrastructure. These meters use wireless communication protocols to transmit data. LoRaWAN is ideal for multi-story buildings thanks to its long-range, low-power performance – even through concrete walls and below-grade installations. In areas with poor coverage or unusual layouts, NB-IoT or 4G provides reliable fallback. Gateways are used to collect signals from all meters and transmit them to the cloud. One gateway can typically support dozens of floors or hundreds of meters, minimizing infrastructure needs.
- Cloud platform. The cloud software aggregates and analyzes incoming data. It enables real-time monitoring of unit-level consumption, identifies leaks, and flags abnormal usage. Alerts can be configured for specific thresholds – like continuous flow, spikes, or line stagnation. The system can also generate automated reports for billing, compliance, or tenant communication.
Together, these components provide property managers with accurate, actionable data – enabling proactive water management and improved operational control across entire buildings.
How do smart meters work?
Most smart metering systems use low-power wireless networks optimized for building environments. LoRaWAN® is particularly popular for its long-range capability and minimal infrastructure requirements. Other protocols include NB-IoT, LTE-M, wireless M-Bus, Sigfox, and proprietary RF systems.
Meters transmit regular readings and alarms to a central gateway or directly to the cloud. Once collected, the data is processed on a metering platform – cloud-based or on-premise. Facility managers access dashboards or mobile apps to view usage trends by day, week, or month. Advanced analytics detect anomalies, such as prolonged zero-flow or sudden spikes, and can trigger alerts or automate billing.
Integration with building automation systems (via BACnet, Modbus, MQTT, etc.) allows water data to complement HVAC and energy data. This end-to-end visibility transforms water from a static cost into a dynamic, actionable resource.
The hidden costs of outdated water systems
Conventional metering approaches do not meet the needs of modern multi-unit buildings. Many apartment and office complexes use a single “master” meter per building or floor. Costs are often divided among tenants using flat rates or formulas like RUBS (Ratio Utility Billing System), regardless of individual usage.
This leads to:
- Unfair billing: Tenants who conserve water are penalized with equal charges.
- No incentive for conservation: Consumption remains unchanged since users see no financial benefit to reducing usage.
- Limited diagnostics: A master meter cannot identify which unit or fixture is responsible for excessive use or leaks.
Globally, non-revenue water – lost due to leaks or theft – averages 30–35% of total supply. Smart metering reduces this loss by detecting issues early. For example, leak detection and alert systems can prevent months of silent water waste.
Regulatory mandates further challenge legacy systems. California’s SB 7 (2018) requires new multi-family housing to include unit-level water meters. New York City mandates submeters in commercial laundries and kitchens to prevent undetected leaks. In many regions, failure to implement granular metering can lead to non-compliance and missed opportunities for efficiency gains.
The real benefits of smart water metering
Smart water metering brings clear and measurable advantages to multi-unit buildings, especially in terms of saving money, preventing damage, and operating more efficiently.
1. Catch leaks early, avoid major repairs
One of the biggest advantages is early water leak detection. Traditional systems might not flag a leak until the next billing cycle. Smart meters, on the other hand, monitor flow in real time. If something unusual happens – a toilet keeps running, or a pipe starts leaking behind a wall – the system flags it within hours. Some setups can even shut off water automatically in specific zones to stop the problem before it escalates. That means fewer insurance claims, lower repair bills, and less hassle for tenants.
2. Fair billing builds trust
With submetering, each unit’s water use is tracked separately. That means tenants only pay for what they actually use – no more guessing or splitting bills evenly regardless of consumption. Property managers can bill accurately and transparently, which tenants usually appreciate. It also encourages conservation. When people can see the impact of their habits, they tend to make better choices.
3. Save water without guesswork
The detailed data from smart meters helps uncover inefficient systems or wasteful behavior. Whether it’s over-irrigation, a failing valve, or outdated fixtures, the patterns are often easy to spot. Even small improvements – like replacing a leaky faucet or tweaking irrigation schedules – can add up. Some buildings using advanced metering and engagement programs report cutting water use by up to 15%.
4. Less manual work, more insight
Automated readings eliminate the need for staff to collect and input data. That’s not just a labor saving – it also means fewer mistakes and better tracking over time. Integrated analytics can highlight trends and flag anomalies early. Some systems even talk to your building automation setup, so a detected leak can trigger alerts or shut down equipment automatically.
5. Stay ahead of regulations and ESG goals
Laws in places like California and New York already require submetering in many buildings. Smart meters make compliance straightforward and help buildings qualify for LEED points and meet sustainability goals. The data also supports ESG reporting – clear, verifiable proof of water conservation and responsible resource use.
You may be interested in: 2025 smart water metering market trends for residential property managers.
Conclusion
For today’s building managers, inaction carries increasing costs. Water waste, property damage, regulatory pressure, and tenant expectations are on the rise. Smart water metering offers a proven, scalable solution that meets these challenges head-on.
ROOMSYS provides the complete solution: advanced hardware, resilient networking, and an intelligent analytics platform – purpose-built for the complex environments of multi-unit buildings. Whether you manage apartments, hotels, offices, or mixed-use developments, smart metering is no longer optional. It’s a strategic, future-ready investment.
Ready to modernize your water infrastructure? We’re here to help you design a smart metering system tailored to your buildings and your business.
