We are confident that our partnership will create a robust program locally that leverages market-based approaches to energy financing, and capitalizes on best practices throughout the country.
Trumbull, CT (PRWEB)
August 08, 2017
Brian McCarter, chief executive officer of Sustainable Real Estate Solutions, announced today that the company will serve as program administrator for Utah’s updated commercial property assessed clean energy (C-PACE) program. The Utah Governor’s Office of Energy Development (OED), which manages the program, selected SRS after conducting a competitive search process for a third-party firm to provide program administration services.
Utah launched its statewide C-PACE program in 2015 after passing legislation enabling commercial PACE in March 2013. Senate Bill 221 authorized local governments to adopt C-PACE financing programs, which offered commercial and industrial property owners a unique mechanism to finance energy efficiency, renewable energy, and water efficiency improvements to their buildings.
Senate Bill 273, enacted in March 2017, amends the earlier legislation by expanding the scope of eligible projects, establishing a statewide C-PACE District, and more clearly defining the process of developing and closing projects.
In this updated program, financing is provided by private capital providers in an open market and repaid through a voluntary assessment on the owner’s property tax bill over a period of up to 30 years. Because the affordable, long-term financing covers 100 percent of a building modernization project’s cost and requires no money down, C-PACE enables building owners to make substantial upgrades to their buildings. Typically, the project’s energy savings outweigh the PACE payments, creating positive cash flow for the building owner, whose modernized building is also more valuable after a C-PACE project.
In Utah, and many other states, C-PACE is also available to real estate developers who design and construct buildings that are more energy efficient than what is required by building code; the financing can reduce an owner’s equity contribution or replace other high-cost financing required to develop commercial buildings.
“We are pleased that Utah will continue to realize the economic benefits of C-PACE…