Commercial Property Assessed Clean Energy (CPACE) provides real estate developers and property owners with an innovative tool to finance construction projects within existing buildings or new construction. With funding from private capital sources, the CPACE program is modeled after other funding methods used to fund public benefits and infrastructure.
Benefits:
- Funding for up to 25% of the building’s value
- No personal guarantees
- Up to 30 year fixed-rate funding
- Lower rates/cost than mezzanine debt or equity
- No payments for up to 2 years
- No principal repayment required upon sale
- Ability to pass through tax assessment to tenants or hotel guests
PACE can fund a wide variety of improvements including:
- HVACR and Controls
- Lighting & Electrical
- Building Envelope
- Water Efficiency
- Renewable Energy / CoGen
- Associated Soft Costs
Loan Guidelines
| Amount | $1 million to $50 million |
| Rate | Fixed 6.0% to 8.0% |
| Amortization | Up to 30 years |
| Purpose | New Construction, Renovation, Recapitalization |
| Loan To Value | Up to 25% |
| Loan To Cost | 25% |
| Loan Term | Up to 30 years |
| Loan Fee | 2% |
| Guarantees | Non-recourse |