PACE Programs for Commercial Mortgage Lenders

PACE for Real Estate Developers

PACE is an accretive part of your capital stack for new construction, retrofits and value-add investments.  Your lender can now offer more proceeds & better terms.  Learn more from CleanFund

PACE for Commercial Property Owners

PACE allows your lender to fund 100% of improvements that will lower your utility expenses through a CELOC (“Clean Energy Line of Credit”).  Learn more from CleanFund.

Better Capital for
Better Building C-PACE Financing.

C-PACE for Real Estate Developers

With funding up to 30% LTV in a unique and modern financing solutions part of the capital. stack for new constructions, retrofits and value-add investments. Lean more or get in touch with our team to schedule an intro with CleanFund

C-PACE for Commercial property owners

Energy efficiency is a global priority. CPACE finance allows commercial real estate owners and developers to access capital for their energy efficiency, water efficiency,  seismic upgrades and resiliency measures projects.

CleanFund's C-PACE Financing

What is PACE Financing?

PACE, or “Property Assessed Clean Energy”, is a tool that can finance energy efficiency and renewable energy improvements on commercial properties. 

Lenders can use PACE to fund the upfront costs associated with energy efficiency or renewable energy improvements. 

The capital is repaid over 30 years through property taxes. The security provided by the tax assessment results in long-term financing and transferability of the repayment obligations to the next property owner. 

How does PACE Financing work?

This CleanFund video explains how PACE works in under two minutes. CleanFund can develop and manage a PACE program for your senior lender so there is limited additional underwriting.

Overall Benefits

Financing Terms

Use of proceeds

What kind of projects qualify for CleanFund capital?

Learn more about PACE

Learn more about PACE with CleanFund to fund your next commercial real estate development. 

Assessment Financing is like a TIFF.  It is a public improvement mechanism that has been around for more than 100 years to fund projects that are for the public good.  The definition of "public good" now includes projects that reduce energy and water usage.

Step 1: State approves PACE legislation (40 states so far)

Step 2: Counties or cities “opt-in” to one or more PACE programs based upon state program parameters

Step 3: CleanFund underwrites PACE programs to ensure best practices

Step 4: CleanFund sources transactions:

Directly through relationships with property owners

Indirectly through our participating lenders.

Step 5: Lenders approve transactions and fund directly or through CleanFund.

Step 6: The county collector adds a line-item to the property’s tax bill, and collects the new PACE payments as part of ordinary remittances

An assessment contract sets forth the property owner’s obligation to repay the PACE financing over time along with their normal property tax payments and clarifies the various terms of the PACE financing. The contract is between the property owner and the municipality in which the property is located. Either the lender or CleanFund will purchase a PACE bond that is backed by an assignment of the assessment contract.

This assessment is levied each tax year and included on the building owner’s property tax bill. The payments are due at the same time as ordinary property tax payments. The lender will generally collect property taxes monthly with the mortgage and pay on behalf of the owner.

No.  In most jurisdictions, you cannot partially pay your property taxes (i.e., choosing to exclude certain line items).  This is part of what makes PACE credit so reliable.

Yes. Typically, a prepayment premium is paid in connection with a prepayment and will vary depending on the negotiated interest rate.

Yes, PACE can be used to finance improvements that are already installed and in operation should there be written acknowledgement of PACE as a financing option. As a safeguard, CleanFund’s Initial Application includes a clause on intention to reimburse prior to the start of construction, which preserves the Owner’s right to be remunerated for work that has already been completed. This might include engineering studies, energy audits, and other soft costs.

Yes, CleanFund can provide financing for up to 100% of costs associated with the improvements, including soft costs, such as engineering, site work, and energy audits.

What is C-PACE Financing?

C-PACE, or Commercial Property Assessed Clean Energy, is a tool that can finance energy efficiency and renewable energy improvements on commercial properties. 

Similar to other traditional real estate financing methods, CPACE uses borrowed capital to pay for the upfront costs associated with energy efficiency or renewable energy improvements. 

The capital is repaid over time via a voluntary tax assessment. The security provided by the tax assessment, a long-used and well understood mechanism, results in several compelling features, including long term financing and transferability of the repayment obligations to the next property owner. 

Key Benefits of using CPACE:

CleanFund CPACE can return developer's equity on a recently completed project. Proceeds can then be used for any use including cost overruns on a current development under construction. Additionally, the typical loopback window for construction reimbursement is 3 years.

Lain Gutierrez, CEO - CleanFund

Overall benefits

Financing Terms

Use of proceeds

Meet The CleanFund Team Of Experts​

William Cassidy

Head of Underwriting

Laurence Hughes

Managing Director of Business Development

Manny Valido

Managing Director of Business Development

Renee Pifer

Managing Director, Portfolio Management

Jessica Knowles

Human Resources Manager

Christopher Polidoro

Financial Analyst

Bhavik Patel

Director of Business Development

Herve Drompt

Director of Sales & Marketing

Nicholas Zuba

Director of PACE Policy and Programs

Cleanfund : PACE Webinars

Watch CleanFund webinars to better understand how PACE is designed to be one of the best solutions to finance mechanical, electrical, plumbing, seismic and other building components. 

New, valuable component of the real estate capital stack

Non-recourse capital for major improvements to commercial, multi-family and alternative nonresidential properties. 

100% Financing for vital building improvements

Finance up to 100% of hard and soft cost for both new construction and property acquisition or retrofit projects with easy repayments through property taxes.

Long-term capital to maximize property cash flow

With savings often exceeding payments, projects pay for themselves. For solar projects, customers can directly or indirectly take advantage of sizable tax benefits.

New, valuable component
of the real estate capital stack

Non-recourse capital for major improvements to commercial, multi-family and alternative nonresidential properties. 

100% FINANCING FOR 
VITAL BUILDING IMPROVEMENTS

Finance up to 100% of hard and soft cost for both new construction and property acquisition or retrofit projects with easy repayments through property taxes.

LONG-TERM CAPITAL TO 
MAXIMIZE PROPERTY CASH FLOW

With savings often exceeding payments, projects pay for themselves. For solar projects, customers can directly or indirectly take advantage of sizable tax benefits.