Doral Renewables LLC, a Philadelphia-based utility-scale developer and independent power producer (IPP), has announced the financial close for its Cold Creek Solar + Storage project in Texas. The financing package, totaling nearly $900 million, represents the developer’s largest construction financing to date outside of its 1.3 GW Mammoth Solar complex in Indiana.
The project consists of 430 MWac of solar generation paired with 340 MWh of battery energy storage. Doral issued a Notice to Proceed (NTP) this month, signaling the start of full construction for the facility, which is forecasted to provide power for approximately 66,000 homes.
The transaction was led by MUFG as Lead Arranger, heading a lending syndicate that included Santander, HSBC, Ally, and IDB. The debt structure includes more than $400 million in construction-to-term financing, $35 million in tax equity bridge loans, and roughly $55 million in letters of credit.
Additionally, the project will monetize $360 million in Production Tax Credits (PTCs) through a 10-year tax credit transfer agreement with an investment-grade corporate buyer.
“Partnering with such a robust lender group led by MUFG and expanding our network with new collaborators while also closing the PTC Transfer transaction positions us well for continued growth,” said Evan Speece, Chief Financial Officer at Doral Renewables. “This project will be a cornerstone for our future work across the Lone Star State.”
The deal involved several legal and financial advisors, including McDermott Will & Schulte and Norton Rose Fulbright as counsel for Doral and the lenders, respectively. Marathon Capital served as financial advisor to Doral for the PTC transfer, while White & Case and Stonehenge Capital represented the PTC buyer.
The Cold Creek facility is a significant addition to the Texas grid, aimed at meeting rising power demand with reliable, utility-scale renewable solutions. Doral currently manages a diverse portfolio of renewable assets across the United States as it scales its footprint in the ERCOT market.
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