PACE financing is now live! The law which passed in New York City over two years ago is now officially available to building owners and managers retrofitting their buildings to comply with Local Law 97.  The City recently approved and closed on its first PACE loan for the renovation of an office building in downtown Manhattan. In addition to substantial energy savings, the owner used the PACE loan to avoid significant financial penalties under Local Law 97 had the retrofits not taken place.   The loan allows building owners to finance up to 100% of project costs. Unlike conventional financing, loans provided through the NYC Accelerator PACE Financing Program are repaid in installments through a charge on the subject property’s tax bill. Loans are sized according to projected energy cost reductions, so building owners can begin realizing savings from day one. The program is open to any commercial or multifamily buildings with three units or more, including tax-exempt non-profit and religious facilities, health care facilities, and industrial properties, that meet the requirements and eligibility. Mayor Bill de Blasio described PACE loans as “a critical financial tool to redesign your properties for energy efficiency and sustainability.” As of now, only retrofits are eligible for PACE loans in New York City.  New construction and ground leases will also be eligible for PACE loans later this year – most likely around September.  For more information on PACE financing or to discuss your building’s roadmap toward Local Law 97 compliance, contact the CANY team today.