PACE: The Chameleon of CRE financing

One bright spot in an otherwise dreary capital markets envirnment has been the continued emergence and success of PACE (Property Assessed Clean Energy) financing, a suprisingly adaptable funding source that has proved to be effective in varied market conditions.

PACE is a privately funded, long-term (20 to 30 years), low-cost, fixed-rate source of financing that can reduce equity, or senior debt, and boost returns.