Several states offer more favorable terms for C-PACE financing, attracting developers and property owners due to their flexible policies and incentives. Here are some notable examples:
Favorable C-PACE States
- Texas:
- Legislative Support: In March 2024, Texas increased loan-to-value caps by 5%, making more funds available to developers and property owners.
- Program Expansion: This increase allows for larger projects and enhances the appeal of C-PACE for Texas property owners.
- Minnesota:
- Loan Terms: Minnesota approved a 30% loan-to-value ratio for up to 30 years, providing significant flexibility for developers.
- Early Adoption: As one of the first states to authorize C-PACE, Minnesota has a mature program that supports extensive energy efficiency measures.
- California:
- Eligible Improvements: California allows financing for resilience measures, which include seismic, wind, and stormwater prevention and mitigation, in addition to energy efficiency.
- Program Scale: With one of the largest C-PACE programs in terms of volume, California offers substantial opportunities for financing large-scale projects.
- Colorado:
- Statutory Enhancements: Colorado expanded its enabling statute to include resiliency and electric vehicle chargers, making it attractive for projects focused on sustainability.
- Exclusions from SIR Calculations: Resiliency and EV chargers are excluded from Special Income Ratio (SIR) calculations, reducing financial burdens on property owners.
- Illinois:
- Program Development: Illinois has a well-developed C-PACE program with a large number of participating counties and capital providers, facilitating access to financing for various types of projects.
- Market Demand: The strong demand and wide participation in Illinois make it an attractive state for C-PACE financing.
Newly Adopted States
States like North Carolina, Idaho, Hawaii, and New Jersey have recently adopted or are in the process of implementing C-PACE financing programs. While they may not yet have extensive experience, they offer new opportunities for developers and property owners looking to leverage C-PACE financing.
In summary, while several states offer favorable terms for C-PACE financing, those with established programs and recent legislative enhancements tend to provide more opportunities for developers and property owners.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/are-there-any-specific-states-that-offer-more-favorable-terms-for-c-pace-financing/
