AI-Driven Multi-Objective Optimization and Decision-Making for Urban Building Energy Retrofit: Advances, Challenges, and Systematic Review

Urban building energy retrofit (UBER) is a critical strategy for advancing the low-carbon and climate-resilience transformation of cities. The integration of machine learning (ML), data-driven clustering, and multi-objective optimization (MOO) is a key aspect of artificial intelligence (AI) that is transforming the process of retrofit decision-making. This integration enables the development of scalable, cost-effective, and robust solutions on an urban scale. This systematic review synthesizes recent advances in AI-driven MOO frameworks for UBER, focusing on how state-of-the-art methods can help to identify and prioritize retrofit targets, balance energy, cost, and environmental objectives, and develop transparent, stakeholder-oriented decision-making processes. Key advances highlighted in this review include the following: (1) the application of ML-based surrogate models for efficient evaluation of retrofit design alternatives; (2) data-driven clustering and classification to identify high-impact interventions across complex urban fabrics; (3) MOO algorithms that support trade-off analysis under real-world constraints; and (4) the emerging integration of explainable AI (XAI) for enhanced transparency and stakeholder engagement in retrofit planning. Representative case studies demonstrate the practical impact of these approaches in optimizing envelope upgrades, active system retrofits, and prioritization schemes. Notwithstanding these advancements, considerable challenges persist, encompassing data heterogeneity, the transferability of models across disparate urban contexts, fragmented digital toolchains, and the paucity of real-world validation of AI-based solutions. The subsequent discussion encompasses prospective research directions, with particular emphasis on the potential of deep learning (DL), spatiotemporal forecasting, generative models, and digital twins to further advance scalable and adaptive urban retrofit.