On a previous post, Jansen Steel Fenestration Systems Add New Life to Old Buildings, we discussed the outstanding performance standards of various Jansen Steel Facade and window systems for commercial and institutional building applications, systems designed for adaptive reuse, restoration and new construction.
In the same post, we further discussed the desirability of using Jansen Facades for purposes of compliance with newly stated environmental standards. Longevity and performance go hand in hand for ethical building materials.
Your project with the value-added upgrades, could enjoy the benefits of a high performance facade all while the facade pays for itself with the yearly energy savings provided by the upgrade. Here is how.
Enter C-PACE:
Commercial Property Assessed Clean Energy (C-PACE) is a tool that can finance energy efficiency and renewable energy improvements on commercial property. Like other project financing, C-PACE uses borrowed capital to pay for the upfront costs associated with energy efficiency or renewable energy improvements. Unlike other project financing, the borrowed capital is repaid over time via a voluntary tax assessment. The security provided by the tax assessment, a long-used and well understood mechanism, results in several compelling features, including longer term financing and transferability of the repayment obligations to the next property owner. In turn, C-PACE strengthens the business case for investment in longer payback and deeper building retrofits beyond what is possible with traditional financing.
Terms can be from 20-30 years because repayment is secured by the tax assessment and transfers to the next property owner (traditional commercial loans are usually 7-10 years). The objective is to have the thermal upgrades pay for themselves with the energy savings.
Interest rates are competitive since the tax assessment mechanism is considered secure and low-risk; fees associated with program administration or other services are common. Obviously, this would be structured with the compliance of other lenders if applicable.
BOTTOM LINE: The necessary and beneficial energy upgrades provided by the Jansen systems, can be financed from this innovative program, allowing the building owner to apply his capital for other project purposes.
IQ Radiant Glass welcomes the opportunity to propose the most efficient fenestration system for your project and with the assistance of our PACE associates assist in providing financing alternatives.