C-PACE financing is advantageous in various states due to its low-cost, long-term financing for energy efficiency, renewable energy, water conservation, and resiliency projects. Here are a few states where C-PACE is particularly beneficial:
States with Noteworthy C-PACE Advantages
1. Minnesota
Minnesota offers C-PACE financing with terms extended up to 30 years and a higher loan-to-value ratio of 30%. This allows broader project eligibility, including energy projects that reduce greenhouse gas emissions without requiring a reduction in net energy consumption.
2. New Jersey
New Jersey’s Garden State C-PACE program provides financing for energy efficiency, renewable energy, water conservation, and resiliency improvements, repaid similarly to a real property tax bill. Although program guidelines are still being finalized, it is expected to be particularly beneficial for smaller projects once fully implemented.
3. North Carolina
North Carolina recently enacted C-PACE legislation, making it a new market with potential for growth. This allows property owners to tap into C-PACE financing for energy-related projects, offering a new financing option in the state.
4. California and Washington
These states allow C-PACE financing for seismic strengthening and resiliency improvements in addition to energy efficiency and renewable energy projects. This broadens the scope of eligible projects beyond energy-related upgrades.
General Advantages Across Participating States
- Long-term and Fixed-rate Financing: C-PACE financing provides terms that match the useful life of the improvements, typically between 10 to 30 years, which aligns well with the longevity of many energy efficiency and renewable energy projects.
- Low-Cost and No Money Down: Offers financing with minimal upfront costs, making it attractive for projects where cash flow is limited.
- Non-Recourse and Transferable: The financing is secured by the property, not the owner, and can be transferred with the property if it is sold.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/are-there-any-specific-states-where-c-pace-financing-is-particularly-advantageous/
