SAN DIEGO—Figtree Financing has launched OnDemandPACE, a new program designed to reduce the cost of financing and increase the speed of funding for commercial projects. Figtree has partnered with a large New York-based financial institution for up to $60 million in committed capital to fund commercial PACE energy upgrades.
PACE (Property Assessed Clean Energy) is a new form of financing that provides property owners capital to improve properties with energy efficiency, renewable energy and water conservation upgrades based on property values.
“Continuing our industry leadership, Figtree is the first private program to bring committed capital financing to commercial PACE projects,” said Mahesh Shah, CEO, Figtree Financing. “This capital will support proven demand for energy upgrades, ultimately driving Figtree’s offering to a national product and platform that gives property owners access to the capital they both want and need. A benefit for everyone involved, commercial PACE is creating a market that will improve property values, lower utility costs, and reduce GHG emissions for property owners and communities.”
Projects Funded More Quickly
The new Figtree OnDemandPACE program allows Figtree to provide a lower total cost of financing and enables projects to be funded more quickly. Projects can be funded every 15 days, eliminating delays and bottlenecks. In addition, Figtree now offers more cost-effective capital for larger transactions, making energy paybacks and cash flows more attractive than ever at a small or large scale. The overall portfolio will contain multiple property types and multiple project types, leading to reduced pool risk and ultimately lower financing costs for property owners through securitization.
Figtree’s OnDemandPACE financing is available for commercial, industrial, office, retail, agriculture, and multi-family properties of five or more units. PACE requires no money down, provides attractive financing, and does not depend on traditional business credit requirements to qualify. This opens up the market for commercial energy efficiency improvements that would not have been able to be completed previously.
Figtree is an established provider of commercial PACE financing having already funded a variety of innovative projects, ranging from industrial rooftop solar to local business HVAC upgrades, from retail cool roofing to class A office lighting and more. Further, Figtree has successfully obtained consent from large national banks, community banks and insurance companies to make PACE projects a reality for property owners. Figtree participates in PACENow.org’s updated Lender Consent study, which illustrates how traditional financing and new financing mechanisms work together to benefit property owners. More than 80 financial institutions have granted consent for commercial PACE financing and this number continues to grow.
Go to Figtree Financing.
