Colorado C-PACE (C-PACE)

Colorado C-PACE enables owners of eligible commercial and industrial buildings to finance up to 100% of energy efficiency, renewable energy and water conservation eligible improvements. Financing is provided by private capital providers at competitive rates with repayment terms up to 25 years.

Eligible properties must

• Be located in a participating C-PACE county

• Require financing for eligible energy improvements

• Be current on property taxes and municipal assessments

• Not be in bankruptcy or mortgage default

• Be used for commercial, industrial, or agricultural purposes

This is long-term private financing repaid through your property tax bill — not a grant. Nothing is forgiven; the appeal is the term length and that it can be cash-flow positive from year one.

• Amount: "building owners receive up to 100 percent financing with attractive repayment terms consistent with the useful life of the improvements (up to 25 years)." New construction is capped differently: "The total amount available to finance a new construction project in Colorado under C-PACE remains up to 20 percent of the total eligible construction costs."

• Term: "For existing building retrofits, the maximum term will still be limited by the weighted average effective useful life of the equipment and can range typically from 10, 15, or up to 25-year terms. Only single measure projects with EULs of 25 years or greater would be able to take advantage of the longer 25-year term, items like roof replacement, solar PV, and elevator modernization projects."

• Interest rate is not set by the program: "Financing is provided by private capital providers at competitive rates," and "To ensure the best possible terms, including interest rate and other fees, the building owner can review term sheets from multiple private capital providers, facilitated by the program administrator, to select the best fit." No rate range is published.

• Fees — the part that decides whether a small project is worth it: "a one-time fee equal to 2.5% of the project finance amount (not to exceed $75,000 per project, with a minimum fee of $5,000 per project) will be assigned to each C-PACE project. The program administration fee is typically included in the total financed amount." On top of that, "The District will also include a $600 closing fee and recording fees," a required title product (LPIG), and possible capital-provider legal or closing fees. That $5,000 floor means a $100,000 project pays 5% in admin fee alone.

• Repayment mechanism: "A voluntary assessment (similar to a sewer district assessment) is placed on the building owner's property tax bill... Because the C-PACE assessment obligation runs with the property, the assessment automatically transfers to the next owner when the property is sold."

• No minimum or maximum project size is published. Agricultural-use buildings are eligible, but the property must sit in a participating C-PACE county and be current on property taxes.

To apply, submit the Pre-Qualification Submission Form online at https://coloradocpace.com/project-pre-qualification-submission-form/ or contact service@copace.com / jason@coloradocpace.com.

• Participating Counties

• Find a Contractor

• Find a C-PACE Project Developer

• Case Studies

• Pre-Qualification Submission Form

• Program Brochure

• Program Guide