You may be wondering if CPACE financing is right for your company. It can be difficult to decide whether this financing solution is attainable or attractive for you. As you are weighing the options, keep in mind that there are many advantages to using PACE funding for your commercial construction or redevelopment projects.
Easier Loan Approval
CPACE financing, or C-PACE, can be easily obtainable. This type of loan is less about your FICO score than many other financing options. Typically, PACE qualification is a fairly straightforward process. For example, some requirements include being up to date on any property taxes, getting an appraisal, and ensuring that you have financial statements or projections.
PACE Loans Can Be Sold with the Property
Because PACE loans are tied to the property, you won’t necessarily have to pay off the loan. If you sell your property, the loan goes to the buyer. This is a great advantage to PACE funding, as it means that you aren’t on the hook for the loan after selling your newly constructed or redeveloped property.
Repayment Is Spread Over Years
Additionally, another benefit of using CPACE financing for your project is that you can pay it off over several years. Therefore, you can make relatively small payments toward the loan if you need to. Repayment is typically in a time period between 10 to 20 years, so it will not be a huge burden on your business to quickly pay back the loan.
So, as you look at different financing options, you shouldn’t rule out PACE funding. It can be beneficial for your commercial construction projects, as qualification and repayment can be simpler than other types of loans.
If you are considering a commercial PACE loan, Stonehill Pace can help. We are a direct PACE lender and specialize in commercial funding. Our focus is on new construction and major redevelopment projects for businesses. We work with many different property types, like hotels, senior housing, and offices. Call us today at (678) 823-9313 for more information or to get started on your PACE financing approval. We are always here to answer any questions and look forward to the opportunity to serve you.