Arlington C-PACE helps you close more projects
Arlington C-PACE for Energy Efficiency Contractors
Have you ever proposed an energy efficiency project that stalled because the building owner couldn’t self-fund it? It’s a common scenario, because these projects typically require your customers to incur large, out-of-pocket expenses—cash they’d rather spend on their core business operations.
Fortunately, there’s a new way to finance energy efficiency improvements, and it’s proving extremely attractive to building owners. It’s called Arlington C-PACE, and it enables you to propose projects that:
- Require no cash upfront
- Lower energy costs
- Generate positive cash flow
- Improve the value and comfort of the building
- Include independent technical and financial reviews of the savings projections before the owner commits.
This innovative financing program has been adopted by more than 30 states, including Virginia, and it removes the barriers that stall jobs, enabling you to get more projects off the ground more quickly—and grow your business in the process.
How does C-PACE work?
Commercial property assessed clean energy, or C-PACE, solves the financial challenges associated with a building modernization project by enabling building owners to finance 100 percent of eligible improvements with affordable, long-term, fixed-rate financing. C-PACE has no upfront costs and, because it is property-based, does not require the owner to sign a personal guarantee.
Repayment is secured by a voluntary special assessment that is recorded on the property. In most cases, the energy savings exceed the assessment payment, enabling a cash-flow-positive project! And because the assessment is tied to the property, it can transfer to the next owner if the property is sold.
Which improvements are eligible?
In general, anything that is permanently affixed to the building and will lower its utility costs is eligible. See a list of eligible improvements.
How do I get started?
To use the program, you must first become an Arlington C-PACE-registered contractor. (Contact us if you have an immediate project and are not yet registered with the program. We’ll work with you to avoid delays.) Registration is free and requires your attendance at a training workshop, where you’ll learn how to use the program and how to access the free support services that come with it.
Once you become registered, at no cost to you, our C-PACE experts will help you:
- Identify eligible properties
- Assess the scope of the opportunity
- Develop an optimized project
- Provide independent technical review to confirm cash flow projections
- Present the project to the owner and mortgage holder (the latter must consent to the financing)
- Source capital providers to find the best-fit financing for the building owner
Questions? Contact us to learn how Arlington C-PACE can help grow your business.
What are the key steps in the C-PACE life cycle?
Below is an overview of the key steps in the Arlington C-PACE project life cycle. Click on the “>” icon associated with each step to view details.
- Learn about C-PACE program benefits
- Learn about Arlington C-PACE contractor tools and support services
- Apply to become a registered Arlington C-PACE contractor
- Once registered, have your firm’s name listed on the Arlington C-PACE website
- Prequalify projects using the program-provided PACEcheck™ Report
- Prioritize your prospects
- Schedule meetings to introduce building owners to the program
- Collaborate with the Arlington C-PACE program director to include relevant program benefits
- Prepare a preliminary proposal with the help of the program director
- Review the proposal with the building owner
- C-PACE program administrator will attend if you wish
- Review building financial prequalification metrics, e.g. loan-to-value %
- Discuss building improvement needs and potential savings
- Review mortgage holder consent process
- Secure authorization to proceed to project scenario development
- Conduct building walk-through
- Prepare energy audit with improvement costs and savings estimates
- Deliver project costs and savings data to the Arlington C-PACE director
- Collaborate with the Arlington C-PACE team to optimize project scenario, including financing assumptions
- The Arlington C-PACE director will then prepare a draft PACEworx™ Report for the project
- The C-PACE program director will attend with you if you prefer
- Review draft PACEworx™ Report with building owner to review project technical projections
- Incorporate any final revisions into report
- Secure authorization to proceed to mortgage holder consent and project financing
- Arlington C-PACE team reviews PACEworx™ Report with mortgage holder
- Obtains consent to record C-PACE assessment
- Building owner engages with selected capital provider
- Capital provider prepares financing agreement
- Capital provider manages project closing and facilitates assessment recording with the county
- Building owner authorizes contractor to begin construction
- Construction funds are disbursed per the terms of the financing agreement
- Contractor completes project installation and commissioning
- Arlington C-PACE team conducts commissioning oversight
- Building owner confirms project completion and acceptance