Arlington C-PACE helps you close more projects
Arlington C-PACE for Renewable Energy Contractors
How often does your sales team identify a potential new client, only to have that would-be client walk away because he’s skeptical of your savings projections? If this sounds familiar, you’ll be happy to learn that there’s a new way to develop solar PV projects—and it’s proving very attractive to building owners. It’s called Arlington C-PACE, and it focuses on developing cash-flow-positive projects. It also enables you to deliver energy savings and cash-flow projections that:
- Are reviewed and confirmed by independent, third-party experts
- Integrate long-term (25-year) financing
- Incorporate ITC and MACRS depreciation to maximize cash flow (where applicable)
- Include an assessment amount that does not accelerate at the time of sale
Arlington C-PACE benefits building owners in three primary ways. With C-PACE, they can:
- Lower their energy costs
- Increase the value of their building
- Increase their cash flow
This innovative, county-sponsored financing program removes the barriers that stall solar PV projects, enabling you to grow your business while helping your customers save on energy costs.
What is C-PACE, and how does it work?
Commercial property assessed clean energy, or C-PACE, is a financing program that has been adopted by more than 30 states, including Virginia. It removes the barriers that stall projects by enabling building owners to finance 100 percent of eligible improvements through a long-term, fixed-rate financing tool that requires no upfront costs and no personal guarantee. Repayment is secured by a voluntary special assessment, which is similar to a sewer district assessment, that is recorded on the improved 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 automatically transfers to the next owner if the property is sold.
Which improvements are eligible?
Nearly anything that lowers the utility cost of the building and remains with the property is eligible. In addition, renewable energy feasibility study costs, roof replacement needed to support a solar PV system, and other costs are also eligible. See a list of eligible improvements.
How do I get started?
To participate in the program, you must first become an Arlington C-PACE-registered contractor. Registration is free and requires your attendance at a training workshop, where you’ll learn more about the program.
Once you’re registered, at no cost to you, our C-PACE experts will help you:
- Identify eligible properties
- Prepare a proposal for the property owner that includes the benefits of the C-PACE program
- Develop an optimized project incorporating C-PACE financing backed by third-party technical projections
- Present the project to the owner and mortgage holder
- Source capital providers to determine “best-fit” financing
Sounds to good to be true? 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
- Screen potential projects using the tools you received during training
- Prequalify projects using the program-provided PACEcheck™ Report
- Prioritize your prospects
- Collaborate with Arlington C-PACE director to include relevant program benefits
- Prepare preliminary proposal with the help of the C-PACE program administrator
- Deliver the proposal and secure a meeting date with 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 impact
- Review mortgage holder consent process
- Secure authorization to proceed to project scenario development
- Conduct building walk-through
- Prepare feasibility study with system costs and savings estimates
- Deliver project costs and savings data to Arlington C-PACE director
- Collaborate with Arlington C-PACE team to optimize project scenario, including financing assumptions
- Arlington C-PACE director will then prepare draft PACEworx™ Report for the project
- C-PACE program administrator 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
- Secure mortgage holder consent to record C-PACE assessment
- Building owner engages with selected capital provider
- Capital provider prepares financing agreement
- Capital provider manages project financing closing and facilitates assessment recording with the county