We can offer PACE financing (property assessed clean energy financing)

It is a means used in the United States of America of financing energy efficiency upgrades.  Also disaster resiliency improvements and water conservation measures.  Furthermore renewable energy installations of residential, commercial, and industrial property owners. Depending on state legislation, PACE financing can also be used to finance building envelope energy efficiency improvements.  For that’s such as insulation and air sealing.  Furthermore, cool roofs and water efficiency products.  Also, seismic retrofits, and hurricane preparedness measures.

In some states, commercial PACE financing can also fund a portion of new construction projects. 

That’s as long as the building owner agrees to build the new structure to exceed the local energy code.

UC Merced is being built green from the ground up, with a deep commitment to sustainability in all forms, from landscaping and water to recycling and energy efficiency.

Examples of energy efficiency and renewable energy upgrades range from adding more attic insulation to installing rooftop solar panels.  For residential projects and chillers, boilers, LED lighting and roofing for commercial projects. In areas with PACE legislation in place, governments offer a specific bond to investors.  I mean in the case of the open-market model.  Then private lenders provide financing to the building owners to put towards an energy retrofit.

The loans are repaid over the selected term (over the course of somewhere between 5 and 25 years) via an annual assessment on their property tax bill.

In addition, PACE bonds can be issued by municipal financing districts, state agencies or finance companies and the proceeds can be used to retrofit both commercial and residential properties. One of the most notable characteristics of PACE programs is that the loan is attached to the property rather than an individual.  A PACE loan is therefore said to be nonrecourse to the borrower.

PACE can also be used to finance leases and power purchase agreements (PPAs).

PACE programs help home and business owners pay for the upfront costs of green initiatives, such as solar panels, which the property owner then pays back by increasing property taxes by a set rate for an agreed-upon term ranging from 5–25 years. This allows property owners to begin saving on energy costs while they are paying for their solar panels. This usually means that property owners have net gains even with increased property tax.

  • Fact Sheet [PDF]
    This fact sheet provides a brief description of the PACE Financing high-impact action along with the benefits communities can expect to achieve.  
  • Energy Improvement Corporation WebsiteLink opens in new window - close new window to return to this page.
    Energy Improvement Corporation is a New York State non-profit, local development corporation that operates EIC OPEN C-PACE for the benefit of its member municipalities, which include counties and cities across New York State, as well as towns in Westchester County.