A Guide to C-PACE
CHAPTER SIX:
C-PACE Funding Process
The process of C-PACE financing can be complicated since it includes a required energy study and application to the local PACE jurisdiction. In the case of PACE Equity Finance, the process is entirely managed from end-to-end, creating a world-class customer experience boasting a rating of 9.8 out of 10 from our customers.
C-PACE Funding Analysis
All C-PACE transactions begin with a financial review and funding analysis. Underwriters review the construction budget, proforma, offering memorandum, and any other provided documentation to size the project. In C-PACE underwriting, “sizing” a project means determining the portion of the construction budget that is available for financing. As an example, a $50 million new development may contain $15 million in eligible C-PACE measures. With an in-house team of experts, including underwriters and energy engineers, PACE Equity Finance provides a certainty of execution on funding analyses.
C-PACE Closing & Funding
Once terms are agreed upon and a project commits to C-PACE funding, the closing process begins. Closing involves collecting documents needed to execute the financing, performing an energy audit, maximizing eligible spend, scope, and term, establishing lender consent, and receiving final approval from the C-PACE program. Once closed, C-PACE funds are fully disbursed to the client or secured in escrow to be drawn upon a pre-determined schedule.