Connecticut PACE Financing
Property Assessed Clean Energy (PACE) financing helps you pay for energy efficiency measures with immediate payback and reduced risk.
If you are a Connecticut real estate owner, you may be qualified to make energy efficiency investments in your commercial properties with no money down.
You may receive 100% financing for Improvements such as lighting, HVAC systems, renewable-energy systems and/or other energy-efficiency measures. These measures can be 100% financed as long as they produce a positive return on day one.
If you own commercial real estate in Connecticut, email us or call Rob Freeman Jr. at (866) 715-7737 to receive a free consultation.
What is Property Assessed Clean Energy?
Property Assessed Clean Energy (PACE) is an innovative way to finance renewable energy and energy efficiency measures for buildings. Financing is repaid over a long period of time (up to 20 years in some cases) through a property tax assessment.
With PACE financing, the economic benefits of energy conservation outweigh the costs of the conservation measures over their expected useful life (EUL).
Instead of coming out of pocket, and experiencing negative cash flow, you will see positive cash flow and no out of pocket costs.
In addition to reducing, or eliminating completely, the upfront costs of renewable energy and/or energy-efficiency improvements, PACE financing through Green-Buildings.com offers additional financial benefits for property owners including increased asset value, lowered operating expenses, higher rent premiums and higher occupancy rates.
PACE and Solar Energy
Access to PACE financing can make investments in solar energy particularly effective, especially when combined with other energy efficiency measures.
Indeed, solar energy can boost the returns on investment (ROI) to such an extent that PACE financing is available for projects that might not otherwise be eligible for solar through other financing structures, such as leases or PPAs (Power Purchase Agreements).
PACE and Property Sales
Because PACE financing is repaid through a special assessment on property taxes, similar to a sewer assessment, the repayment obligation of the energy efficiency improvements runs with the property itself. Thus, if you wish to sell your commercial property owner while participating in the PACE program, the special assessment legally transfers with the property to the new owner.
The many benefits of PACE to commercial real estate owners may include:
- 100% up front financing for energy efficiency improvements
- Long term fixed rate financing (10, 15 or 20 years)
- Positive cash flow for CRE owners
- Business Energy Investment Tax Credit benefit
- MACRS depreciation (for renewable energy investments)
- Loans tied to the tax capacity of the property rather than to the owner’s credit standing
- Off balance sheet financing
- A repayment obligation that legally transfers with the sale of the property
Contact us to learn how Green-Buildings.com can facilitate your PACE financing today!
To learn more about how PACE financing is changing the market for energy efficiency, please visit PACENow.org.