State program relies on private capital, not taxpayer funds, to finance energy efficiency projects
Lafayette, CO, April 5, 2018—A two-story office building in Golden will soon become more energy efficient thanks in part to the state’s commercial property assessed clean energy (C-PACE) program. The program, a public-private partnership, relies on private capital, not taxpayer funds, to help commercial property owners finance energy efficiency projects with affordable, long-term, non-recourse financing.
Denver-based Integro developed the project for the 62,742-square-foot building, which is located at 651 Corporate Circle. Built in 2000, the building will receive new rooftop heating and cooling units, LED lighting, and lighting controls. The project—the third C-PACE project for Ogilvie Properties, the building’s owner—is projected to reduce electricity consumption by 44 percent and increase the property’s value by an estimated $517,000.
Group14 Engineering conducted the energy audit of the facility as part of the property owner’s larger effort to reduce operating expenses and improve the efficiency of the facility.
ANB Bank, a regional bank with locations in Colorado, Wyoming, and the Kansas City metro area, funded the investment, which totaled $470,000.
“C-PACE gives commercial property owners powerful financial incentives for completing capital improvements on their properties,” said Keirstin Beck, a principal with Integro. “The program was perfect for this project, since it enabled the property owner to modernize the building without tapping into working capital.”
“As a commercial property owner, I want to ensure that my buildings are reliable, efficient, and competitive,” said Stu Ogilvie, the founder of Ogilvie Properties. “By facilitating affordable financing for energy efficiency projects, the state’s C-PACE program makes it easy to accomplish all three of these goals.”
“C-PACE is a relatively new offering for our bank, but it’s easy to see why it is so popular,” said Matt Baldner, president of ANB Bank Metro Area Region. “Along with the tremendous benefits it offers to building owners, it also has numerous societal benefits. I’m pleased that projects like these not only help our customers, but also create jobs and provide cleaner air for the community.”
“Our mission is to inspire better buildings where people thrive—a sentiment that everyone working on this project shares,” said Celeste Cizik, Group14 Engineering’s existing buildings manager. “The upgrades Ogilvie Properties will install will save energy, reduce costs, extend the life of the building, and ensure that it is more comfortable for tenants. It’s a win for everyone involved.”
About Colorado C-PACE
A program of the New Energy Improvement District (NEID) administered by Sustainable Real Estate Solutions, Colorado C-PACE facilitates financing for energy and water improvements, including new heating/cooling systems, lighting, water pumps, insulation, and renewable energy projects for commercial properties. C-PACE offers long-term financing that covers 100 percent of the project cost and is repaid over a period of up to 20 years. The payments are structured as a regular line item on the property tax bill. When a property is sold, the C-PACE assessment can stay with the property and transfer to the new owner, who enjoys the ongoing utility cost savings associated with the project.
Sustainable Real Estate Solutions (SRS) partners with state and local governments to administer commercial property assessed clean energy (C-PACE) programs. Founded in 2010 by experienced commercial real estate and energy efficiency professionals, the company’s proprietary technology-enabled PACEworx™ Platform streamlines the management of the data-intensive C-PACE technical and financial underwriting process. SRS’s Investor Confidence Project-credentialed quality assurance methodology has facilitated more than $130 million in C-PACE financing nationwide—a level unmatched in the industry. SRS empowers C-PACE public-private partnerships across the country, including programs in California, Colorado, Connecticut, Ohio, Oregon, Rhode Island, Utah, and Virginia. The company is based in Trumbull, Connecticut.