The up front costs and challenge of making the shift to renewable sources of energy is now easier than ever. PACE enabling legislation is being passed in states across the country, helping make building energy improvements more feasible, by allowing for finance terms that are hard to come by, including zero upfront cost, and off-balance sheet status.
Property assessed clean energy (PACE) is a means of financing energy efficiency upgrades or renewable energy installations for buildings. Examples of upgrades range from adding more attic insulation to installing rooftop solar panels.
Why do people like PACE?
- Property owners see an opportunity to save money and make their buildings more valuable.
- Private market investors like PACE because assessment liens are a proven, strong credit.
- Existing mortgage lenders support projects that increase the value of their collateral.
- Contractors support PACE because it opens up new sales opportunities.
- Local governments like PACE because it creates jobs and helps meet conservation goals.
- Taxpayers like PACE because the city takes on no liability and gets a boost in the local economy.
Some great PACE facts:
- Property Assessed Clean Energy (PACE) is an innovative way for owners to pay for upgrades to buildings
- PACE covers 100% of the improvement costs, up 20% of a buildings value, repaid through a tax assessment on the property for up to 20 years.
- PACE is modeled after methods to fund public benefits such as roads, sidewalks, and fire departments.
- PACE funding comes from private capital sources
- 260 Commercial Projects Completed – $84m in funded projects (Oct 2014)
Contact Us today to see if PACE is available in your area.
