Total Debt Solution: Senior Debt + C-PACE
Lending Partner Senior Debt + C-PACE
An effective path to higher leverage is not layering costly capital — it’s integrating complementary financing sources into a unified structure. When combined with senior debt (banks, private lender, debt fund) C-PACE enables a total debt solution that increases proceeds while lowering the overall cost of capital and delivering on the LTC challenge.
This debt financing solution for institutional-quality sponsors combines senior debt with C-PACE from PACE Equity Finance. Common applications for low-cost and high LTC structure: bridge loan maturities, recapitalizations/construction take-out, adaptive reuse, conversions, and ground-up development.
C-PACE plays a central role in this structure by providing:
- Up to 20–35% of project capital
- Long-term, fixed-rate financing
- Non-dilutive capital
- No recourse to the sponsor
Access to the integrated financing requires the use of PACE Equity Finance’s proprietary C-PACE financing. C-PACE enables 100% financing for qualifying construction improvements, typically covering 30–65% of hard costs, and delivers fixed-rate, long-term capital with non-recourse structures.
Asset classes: Multifamily, senior housing, hospitality, retail, office, and industrial (pre-leasing required for non-residential)
C-PACE: Fixed-rate, amortized over up to 30 years, non-recourse, transferable, prepayable, and repaid via a special tax assessment
Bundled Financing Solution Delivers Higher LTC, Lower Blended Cost of Capital, and Greater Execution Certainty
PACE Equity Finance’s Total Debt Solution with Integrated Mortgage + C-PACE financing enables 75% or higher CLTC. We’ve partnered with lenders across the U.S. to deliver an integrated total debt solution that solves key challenges in today’s capital stacks — delivering a solution for higher Combined Loan-to-Cost, lower blended capital costs, and importantly, the ability to execute complex transactions with confidence and certainty.
Client Story
C-PACE Supports High-Leverage Stretch Financing
JPI Development
Learn about how JPI levered the IRR for this new construction multifamily project outside Dallas, TX with an integrated senior construction loan + C-PACE financing solution to maintain a 100% GP structure.