WaterFurnace

The History of WaterFurnace: A Legacy of Innovation Since 1983

The story of WaterFurnace International begins in 1983, when the company was founded in Fort Wayne, Indiana, as a distributor of geothermal products. In those early days, WaterFurnace focused on the North American distribution of water source heat pumps manufactured by McQuay, packaging them as complete geothermal system solutions for the emerging renewable energy market. The company's founders recognized the enormous untapped potential of geothermal energy — the idea that the constant temperature just a few feet below the earth's surface could be harnessed to heat and cool buildings far more efficiently than any fossil fuel-based system.

The Transition to Manufacturing (1985)

By 1985, WaterFurnace had outgrown its role as a distributor and took the bold step of becoming a manufacturer. The company moved into a 10,000-square-foot factory in Fort Wayne and acquired a water source heat pump product line from McQuay. The assembly line was relocated from Staunton, Virginia, to Fort Wayne, where WaterFurnace manufactured its first product: the WS Series geothermal heat pump. This marked a pivotal turning point — WaterFurnace was no longer just selling other companies' products; it was engineering and building its own, giving it full control over quality, innovation, and the direction of geothermal technology development.

The Premier AT Series & Rapid Growth (1990)

The late 1980s and early 1990s brought explosive growth for WaterFurnace. In 1990, the company launched the revolutionary Premier AT product line, which became a game-changer in the geothermal industry. The Premier AT was the first water source heat pump to incorporate:

• Variable speed ECM (Electronically Commutated Motor) fan motors for quiet, efficient airflow
• Scroll compressors for superior reliability and performance
• Internal electric backup heat for extreme cold conditions
• A custom residential microprocessor control board for intelligent system management

These innovations set new benchmarks for efficiency and comfort that the rest of the industry would spend years trying to match. The Premier AT line established WaterFurnace as not just a participant in the geothermal market, but as its technological leader.

New Headquarters & Manufacturing Facility (1991)

In 1991, WaterFurnace completed construction of a state-of-the-art 110,000-square-foot manufacturing and corporate headquarters facility at 9000 Conservation Way, Fort Wayne, Indiana — an address that speaks to the company's commitment to environmental stewardship. The facility itself was designed as a showcase for WaterFurnace technology: it is entirely heated and cooled using WaterFurnace geothermal systems, including what was, at the time, the largest geothermal pond loop system in North America, with a total capacity of 153 tons. This headquarters continues to serve as WaterFurnace's global hub for engineering, manufacturing, and corporate operations to this day.

The Envision Series & Record-Breaking Efficiency (2006)

WaterFurnace continued pushing the boundaries of what was possible with geothermal technology throughout the 2000s. In 2006, the company introduced the Envision Series, which achieved unprecedented efficiency ratings of 30 EER and 5 COP — numbers that were previously thought impossible for any HVAC system. The Envision Series demonstrated that geothermal heat pumps could achieve efficiencies five times greater than the most efficient gas furnaces, delivering $5 worth of heating for every $1 of electricity consumed. This breakthrough helped legitimize geothermal energy as a mainstream alternative to conventional heating and cooling, attracting attention from homeowners, builders, architects, and policymakers across the country.

The 7 Series: Variable Capacity Revolution (2012)

Perhaps WaterFurnace's most significant innovation came in 2012 with the launch of the 7 Series 700A11 — the world's first variable capacity geothermal heat pump available to homeowners. Unlike traditional single-speed or even dual-capacity systems that cycle on and off, the 7 Series features a variable speed compressor, variable speed blower motor, and variable speed loop pump that continuously adjust output to match the exact heating or cooling demand of the home at any given moment. This results in:

• Dramatically improved energy efficiency (up to 47.0 EER and 5.2 COP)
• Whisper-quiet operation — the system runs at low capacity most of the time
• Superior humidity control, especially with the integrated OptiDry™ dehumidification system
• Virtually eliminates temperature swings for the most consistent comfort possible

The 7 Series set a new gold standard for residential comfort and efficiency that remains unmatched by any competing system. It demonstrated WaterFurnace's commitment to continuous innovation and cemented the company's reputation as the undisputed technology leader in the geothermal industry.

NIBE Acquisition & Global Expansion (2014–Present)

In 2014, WaterFurnace was acquired by NIBE Industrier AB, a leading Swedish manufacturer of heating technology and one of Europe's largest heat pump companies. The acquisition brought together two of the world's most respected names in sustainable heating and cooling, creating powerful synergies in product development, manufacturing, and global market reach. Under NIBE's ownership, WaterFurnace continues to operate as an independent brand while serving as NIBE's North American headquarters for its Energy business division.

In 2016, NIBE further expanded its North American presence by acquiring the Climate Control Group (CCG) from LSB Industries for $364 million. CCG includes six HVAC companies, most notably ClimateMaster, another major geothermal heat pump manufacturer. This acquisition consolidated NIBE's position as the dominant force in North American geothermal technology and gave WaterFurnace access to even broader resources for research, development, and manufacturing.

Today, WaterFurnace systems are installed in all 50 U.S. states, across Canada, and in numerous international markets. The company continues to innovate, recently introducing new commercial product lines, enhanced controls and monitoring systems, and next-generation refrigerants to meet evolving environmental regulations.