Stonehill PACE can help provide funding for building projects, even after you’ve completed the work!
If you’ve recently made upgrades to your building or used innovative energy-efficient design and building elements on your completed construction project, talk to our PACE lenders about retroactive financing.
Recently Completed a Development and Looking for Capital? Talk to our PACE Lenders about Retroactive Funding
Why consider retroactive financing from our PACE lenders? PACE offers many benefits for property owners, including competitive interest rates, long loan terms (up to 30 years), and no personal guarantees.
Many property owners may face cash flow issues after investing in improvement projects. Retroactive PACE loans allow owners to inject liquidity in the property to improve cash flow, set aside reserves, or recapitalize equity. Also, there are no personal guarantees and generally the loan stays with the property. Therefore, you’re off the hook for loan repayment if you decide to sell your property later.
Retroactive funding works much the same as normal pre-project funding. However, one of the main differences is that 100% of the loan proceeds go directly to reimbursing the property owner for costs already spent. Additionally, the loan term is usually based on the remaining useful life of your upgrades. For instance, if the useful life for the improvements is 30 years and you apply for financing one year after, then the loan term would likely be 29 years or less.
Some states that allow for retroactive commercial PACE include:
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There are over 25 states that allow retroactive PACE. If you have questions about the location of your project, don’t hesitate to reach out to our team. If you are in a state that does allow retroactive PACE, we have strong relationships with administrators to help you through the qualification process.
In addition, the amount of time we can retroactively finance your project depends on your location. Some limit it to a few months. By contrast, other states allow for up to three years of look back. Our PACE lenders can help you determine if you qualify and help make the process simple and convenient.
A Wide Range of Projects Qualify for PACE Financing
You may be surprised at the many different upgrades and building features that can qualify for PACE funding. In many states, if you build to code, you can qualify for a portion of this financing. Each state has different requirements for what improvements are eligible.
Some projects our PACE lenders may offer retroactive funding for include:
- LED lighting installation
- Low-E windows
- Water conserving plumbing fixtures
- High efficiency insulation
- Energy efficient roofing
- HVAC Upgrades
The basic requirements for PACE financing are generally that there are no liens or unpaid property taxes, the project will help save more money than the cost of the loan, and the value of the project should last longer than the loan term.
Many property owners are pleasantly surprised when they speak to our PACE team about projects that qualify. Even no-brainer projects like replacing an old appliance (like water heaters and HVAC systems) with a new, energy-saving one may qualify.
Choose Stonehill PACE for Low-Cost Financing
Our professionals at Stonehill PACE help you find the most cost-effective financing solutions for your commercial property. If you need low cost, fixed rate, and non-recourse funding, our professionals are here to help. We work with commercial properties of all types to help you optimize your capital stack with PACE funding. Call us today at (678) 832-9313 to start discussing your loan options!