Ground source heat pumps (GSHPs) offer one of the most energy-efficient HVAC solutions on the market, making them an ideal fit for C-PACE financing. GSHPs are the leading technology chosen by building owners and entities seeking to achieve LEED®, Green Globes, Living Building, and Zero Energy Certification™. For developers and building owners, one challenge to adopting a GSHP system is securing financing.
Capital for Energy Efficiency
C-PACE (Commercial Property Assessed Clean Energy) financing assigns capital to specific eligible measures in a development budget, particularly those that reduce energy or water usage. Ground source heat pumps qualify as a high-impact energy efficiency measure, typically providing:
- Reduced utility costs
- Improved operational performance
- Long system life and low maintenance
Because GSHPs represent a large upfront expenditure, they are often difficult to fund using traditional debt or equity alone. That is where PACE Equity steps in. Our capital is funded directly from our balance sheet: long-term, fixed-rate, and non-recourse, providing accretive leverage to move projects forward.
Some notable facilities that use GSHPs:
- The Bullitt Center, A.K.A., The Greenest Commercial Building in The World.
- Lady Bird Johnson Middle School: The Nation’s Largest Net-Zero Middle School.
- Ford Motor Company’s $1.2 billion makeover of its headquarters.
- Sierra Club’s Net-Zero Headquarters.
- Whisper Valley Net-Zero Community in Austin, TX, with 7,500 residential homes and over 2 million SF of office & retail space.
Engineering That Unlocks Maximum Funding
PACE Equity’s in-house engineering team conducts a preliminary evaluation of your building design at no cost, tunes your building specifications to maximize C-PACE eligibility and funding, and completes the required energy study to meet state legislative criteria.
CIRRUS C-PACE: Lower Cost Capital for Greener Buildings
Watch this short video to learn more about CIRRUS C-PACE financing:
When a project includes high-performance features like GSHPs, it may also qualify for CIRRUS C-PACE, PACE Equity’s differentiated capital offering backed by carbon impact investors. CIRRUS C-PACE provides:
- Lower spreads for buildings that exceed code by at least 10%
- Automatic eligibility for green-certified projects (including LEED)
- Integrated engineering support to ensure compliance with minimal cost impact.
Incorporating GSHPs into your design not only supports your ESG and operational goals but also unlocks lower-cost capital when paired with CIRRUS C-PACE.