PACE legislation allows building improvements that result in utility savings to be funded by low-cost private capital and repaid via a long-term tax assessment.
C-PACE
Owner Benefits:
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Non-Recourse Financing, transferrable on a sale at no cost
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High Leverage - Up to 100% of project costs for new construction and renovations.
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Term - Up to 25-year terms, fully amortizing
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Low Rates - replaces the high cost of Mezzanine debt and/or equity, leaving more equity for owner.
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Improved Cash Flow
Property Types:
Renovation / New Construction
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Office
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Hospitality
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Industrial
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Retail
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Multifamily*
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Agriculture
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Special Use
* in select states
A low-cost Energy Capital Program that makes economic sense. Long-term funding for energy efficiency, renewable energy, and water conservation projects.
How does it work?
The C-PACE program is administered by the local tax authority and funded by private firms. Long-term financing is secured by a parcel tax assessment. The authority collects the payments with their tax bill then passes on the payment to the private lender.
C-PACE proceeds in the capital stack replace high-cost debt, mezzanine, bridge loans or equity. The result is reduced financing expenses and a bigger bottom-line. C-PACE is transferrable upon sale.
Typically, 100% non-recourse financing for the qualified costs is covered. Qualified costs are energy-related improvements confirmed by an energy engineer. Programs vary slightly by State.
It can be combined with utility, local and federal incentive programs.
Use C-Pace to finance energy-efficiency efforts …
windows, roofing, insulation, lighting, HVAC, appliances, water conservation, and many others.