Benefits of C-PACE
- Low-cost, non-recourse, non-accelerating capital
- 100% project financing includes hard, soft and related costs
- Serves as a critical component of the commercial real estate capital stack for new construction and property rehabilitation/repositioning
- Payments may be deferred for several years or structured with an interest-only period
- Facilitates corporate sustainability goals and compliance with mandated capital improvements
How C-PACE works
- property owners gain access to private capital to reduce operational expenses and manage their capital stack effectively
- communities are able to provide an incentive for carbon reduction, public safety, and economic development at zero cost to taxpayers
- building tenants and occupants can benefit from reduced utility costs, increased building performance, and operational resiliency
- state and local legislators can address specific social objectives such as carbon emission reduction goals and earthquake preparedddness
Case Example
Tommie Hollywood, a Hyatt brand hotel, located between Sunset and Hollywood Boulevards in Los Angeles opened in 2021. During development, the owners sought to lower the overall cost of capital for this 212 guest room boutique hotel, making C-PACE an optimal financial tool to support the sustainable and resiliency aspects of their build.
“Working with Counterpointe Sustainable Real Estate to help build sustainability into our projects has become an important part of our capital strategy,”
– Warren Cruz, Chief Accounting Officer, Relevant Group
- $12 million 30Yr fixed rate C-PACE financing
- New development in Hollywood, CA
- Energy Efficiency and seismic resiliency
- Construction completed 2021
