INTRODUCTION TO PACE FINANCING

Property Assessed Clean Energy Financing, or PACE Financing, is a unique method for long-term financing of energy efficiency, renewable energy, and water efficiency improvements for residential, commercial, and industrial property owners.

PACE-enabling legislation is currently active in 36 states plus D.C., and PACE Programs are now active in 20 states plus D.C.

One of the most notable characteristics of PACE financing programs is that the loan is attached directly to the property rather than to the property owner or owners.

THE BASICS OF PACE FINANCING

According to PACE Nation, homeowners benefited from obtaining over $4.3 Billion Dollars in PACE Financing during the period between 2009 – 2017. For this reason, you should find out what PACE Financing can do for you and your family. It is essential that you, as a property owner, understand what PACE Financing really is and what it isn’t, as described below.

PROPERTY OWNERS CAN SAVE MONEY WITH PACE FINANCING

The graph below shows that PACE Payments remain unchanged during the pre-arranged repayment period, while Energy Savings continue to grow and benefit the property owner. In contrast to paying continuously increasing amounts to utility companies and showing nothing in return, PACE Financing will enable you to re-direct these payments toward purchasing energy-efficient, renewable energy, and water-efficient products for your property. Subsequently, over a period of 10 - 25 years, you will not only save a lot of money but also increase your property value.

PACE FINANCING CASH FLOW CHART EXAMPLE

The graph below shows a typical example of a Positive Cash Flow generated by a property owner as a direct result of PACE Financing. Depending upon your specific situation, you may see a positive cash flow in the first year, or it may take several years for the positive cash flow to start growing exponentially, as illustrated below. Each situation is different and your Energy Consultant will be able to advise you on the best course of action.

WHAT PACE FINANCING CAN DO FOR YOU?

PACE Financing can literally change your and your family’s life. Instead of wasting your hard-earned money on constantly increasing utility bills and not being able to show anything in return, now you have a real opportunity to benefit from having Energy-Efficient, Renewable Energy, and Water-Efficient Products installed in your property and use significant savings derived from substantially reduced utility bills, to pay for these products instead. As an added bonus, you may also increase your property’s value and your family’s comfort level.

ENERGY-EFFICIENT PRODUCTS APPROVED BY PACE

The following Energy-Efficient Products are approved by PACE Financing Programs:

RENEWABLE ENERGY PRODUCTS APPROVED BY PACE

The following Renewable Energy Products are approved by PACE Financing Programs:

WATER-EFFICIENT PRODUCTS APPROVED BY PACE

The following Water-Efficient Products are approved by PACE Financing Programs:

PACE FINANCING PROGRAMS ARE DESIGNED TO MEET YOUR SPECIFIC NEEDS

PACE Financing Programs:

• Are available to property owners all over California and many other states in the U.S.
• Partner with local governments to make energy-saving home improvements affordable.
• Are available exclusively through a network of approved contractors.
• Make sure that you, the property owner, are 100% satisfied with your specific project before the contractor is paid in full.

An increasing number of property owners apply for PACE Financing because it makes a strong financial sense by providing substantial long-term savings.

PACE FINANCING REQUIREMENTS

PACE Financing Programs are available in most municipalities in California. To qualify for PACE Financing, you must meet specific PACE Financing Requirements outlined below.

PACE FINANCING BENEFITS

PACE Financing Programs enable property owners to purchase energy-efficient, renewable energy, and water-efficient products, increase the property value and obtain immediate savings with zero money down. These programs offers a wide range of PACE Financing Benefits to property owners, who are able to meet PACE Financing requirements outlined above.

HOW DOES THE PACE FINANCING PROCESS WORK?

The Pace Financing Process entails a number of steps designed to complete your energy efficiency, renewable energy, or water efficiency home improvement project with the selected PACE Financing Provider, as outlined below.

You should ask your contractor to help you with structuring your PACE Financing in such a way that you put minimum or no money down and be able to become cash-flow positive as soon as possible. In some instances, it may be even possible to become cash-flow positive in year one, considering available Federal Tax Credits and Product Rebates.

COMPARISON BETWEEN PACE FINANCING AND OTHER FINANCING METHODS

Comparison between PACE Financing and other financing methods is summarized below. Hopefully, this comparison will help you make an informed decision about the most suitable choice for financing you next energy efficiency, renewable energy, or water efficiency home improvement project.

HOW CAN I GET PACE FINANCING?

PACE Financing is available through several reputable PACE Financing Companies depending on your residential area.

POPULAR PACE FINANCING PROVIDERS

Some of the most popular PACE Financing Providers are presented below in A to Z order.

ADDITIONAL INFORMATION ABOUT
COMMERCIAL PACE FINANCING

If you are a commercial property owner, you are urged to look into Commercial PACE Financing for the purpose of obtaining the necessary funding for any energy efficiency, renewable energy, or water efficiency project for your property.

You are invited to view short videos below which will provide you with useful information regarding the viability of PACE Financing for various types of commercial properties.

Moreover, you will learn how to compare different types of financing options related to commercial projects and identify the most cost-effective option to meet your specific project needs.

Finally, this information will provide you with practical knowledge and assist you in your prudent decision-making process.

PACE FINANCING FOR COMMERCIAL PROPERTY OWNERS

Many commercial property owners successfully used PACE Financing to improve the energy and water efficiency of their properties. Hundreds of millions of U.S. Dollars were allocated by PACE Financing for green energy commercial projects and the list of projects continues to grow.

PACE FINANCING FOR COMMERCIAL PROJECTS

PACE Financing is growing in popularity among commercial property owners. You are invited to watch a few short videos below designed to remove confusion about how the cost of PACE Financing compares with the cost of internal capital allocated by companies to energy efficiency and renewable energy projects.

WHY SHOULD COMMERCIAL PROPERTY OWNERS USE PACE?

As a commercial property owner, you owe it to yourself to learn about significant benefits offered by PACE Financing to real estate companies.

PACE FUNDING FOR A COMMERCIAL PROPERTY EXAMPLE

You are invited to learn, how a $6.8 Million PACE Bond was used to finance the energy efficiency component of a full scale hotel renovation in downtown Pasadena, California. Hopefully, this will provide you with additional useful information about Commercial PACE Financing.

DISCLAIMER

Cool Remodeling, Inc. is neither a broker nor a lender. PACE Financing is provided by third-party lenders unaffiliated with Cool Remodeling, Inc. under the terms and conditions arranged directly between the property owner and such lender, all subject to credit requirements and satisfactory completion of financing documents. Any financing terms and conditions are subject to change from time to time.

Cool Remodeling, Inc. does not assist with, counsel or negotiate financing, other than providing property owners an introduction to lenders.