Renovate America completed its third securitization of property-assessed clean energy (PACE) bonds with $240 million available for clean energy and water efficiency projects.
The first two rounds from Renovate America’s Home Energy Renovation Opportunity (HERO) program funded more than $600 million in residential projects in California.
PACE programs allow investments in water- and energy-efficiency retrofits and distributed renewable generation to be paid back through property taxes, which lowers the risk for both lenders and owners and can potentially open up a far larger swath of the energy-efficiency market.
With the recent imposition of a mandatory 25 percent cut in urban water use in California, the latest round of financing is an incredible opportunity for water efficiency projects. PACE can cover such upgrades as drip irrigation, water capture systems, high-efficiency faucets, showerheads and toilets, and some drought-tolerant landscaping.
PACE financing for homes expanded rapidly in 2014, with residential loans eclipsing commercial projects in California. Read more.