As more businesses look for ways to upgrade their current facilities to join the clean-energy revolution, they are finding innovative ways to fund those improvements. For those businesses, Commercial Property Assessed Clean Energy (C-PACE) programs are appealing.
Essentially, C-PACE allows businesses to fund improvements like new roofs, solar PV, seismic upgrades and energy efficiency measures (among other environmental impact improvements) with no costs upfront. Business pay off the improvements with increases in their property taxes over a period of 30 years at a fixed interest rate.
Under a C-PACE program, commercial properties don’t have an immediate impact on their cash flows, which encourages more companies to make the necessary upgrades to improve their business’ environmental profile, including adding solar energy.
In California and Florida, Renew Financial has been financing projects through its C-PACE program since 2013 – and they completed funding on a project in September that pushed them past the $100 million mark in terms of projects they’ve financed.
“This is a big achievement for Renew Financial’s C-PACE program,” said Cisco DeVries, Renew Financial CEO. “Energy and water efficiency measures can cut operating costs, and seismic resilience protects buildings and their occupants from earthquake damage. Many property owners would love to add these improvements, and C-PACE makes it easy to do so by eliminating upfront costs.”
“That’s why we’re so excited about this milestone and why we hope to reach whatever our next one is even more quickly,” DeVries sai
Renew Financial has financed 56 projects totaling $107 million.