FAQs for Bankers

The primary mortgage holder makes the final call on whether or not a property owner can move forward with C-PACE financing. This is because C-PACE assessments take first position over the mortgage.

This is tampered by the fact that C-PACE payments cannot be accelerated. All future assessments stay with the property. And, because C-PACE investments tend to increase property values, mortgage lender support continues to grow. In fact, more than 200 financial institutions nationwide have signed-off on C-PACE agreements.

Adding C-PACE to the Capital Stack

C-PACE offers a low-cost, long-term, fixed-rate financing alternative to mezzanine debt and preferred equity. In addition, the assessment-based payment structure allows most building owners to delay payments until the following calendar year. The transaction quickly becomes net-positive as utility savings outpace payment obligations.

Qualifying Expenses

C-PACE is a fit for both energy efficiency upgrades and renewable energy installations. Qualifying add-ons include consultations, labor, design, drafting, engineering, permitting, and inspections. See our program guidelines for more information.

C-PACE Funding Sources

There are numerous funding options for C-PACE transactions. Some clients choose to work with smaller banks or credit unions who have established C-PACE programs. Others connect with national C-PACE funders. There is another segment that finance directly our TrillionBTU loan program.