News

PACE Loan Group (PLG) continues its growth across the country, opening a New York City office this week and adding Loren Biller, an experienced originator as a Senior Vice President. Biller will work alongside Robbie Pinkas, SVP, who joined PLG in April.

I’m pleased that Minnesota is considering changes that move the C-PACE legislation from version 2.0 to version 3.0, providing more commercial property owners with an effective, efficient way to finance more sustainable buildings.

“It allows property owners to borrow capital to rehabilitate, renovate and improve existing buildings, and build state-of-the-art new buildings that don’t have high energy costs and burdens,” Kumar said.

“The 30-year amortization and the 30% loan-to-value would significantly increase volume,” Golberstein said. “You’re just going to see larger deals, in general. And we will see significantly more projects qualify for PACE than we currently do.”

PACE Loan Group brought $8 million in C-PACE financing to The Washington, a four-story, three-building luxury multifamily property with 200 units in Eau Claire, WI., filling out the $41 million capital stack’s $20 million in debt and $13 million in equity for the Chicago-based sponsor.

Robbie Pinkas, a C-PACE industry leader, joins PACE Loan Group today as Senior Vice President/Originator. He comes from North Bridge, a New York City-based PACE lender, where he spent three years directing transaction execution and program authority relationships.

The Boardwalk, a two-phase short-term rental condominium under construction in Traverse City, Michigan, received nearly $4 million in C-PACE financing through PLG. The first phase received $1.7 million in early 2023 and has an expected completion date in March 2024; the second phase received $1.8 million.

While attending CREF-C in Miami, the PACE Loan Group team noted a general sense of optimism about interest rates and increased transaction volume in 2024. While PLG expects rates to remain high relative to the historical lows observed over the past several years, the continued strain on the overall refinancing market will provide significant opportunities for preferred equity players and alternative forms of financing, including C-PACE.

Hempel Real Estate has secured a handful of new leases at LaSalle Plaza in downtown Minneapolis since it acquired the 30-story office tower last summer. PACE Loan Group, a commercial real estate lender, will occupy about 4,000 square feet after its lease is signed. The company plans to move in by March.

PLG arranged a 4.45 million PACE loan secured by a special assessment for Lawson’s Landing, which will support the nearly 70-year-old campground’s new wastewater treatment, solar energy, and energy and water efficiency improvements.

The spike in interest rates and the consequent disruption throughout real estate capital markets over the last 18 months is generating newfound interest in commercial property assessed clean energy (C-PACE) financing.

As part of its growth plan and to serve more property owners with C-PACE financing, PACE Loan Group has opened its third office in San Diego. Ina Montejo, business development associate, and Jacob Roth, VP of underwriting, work from that office and will support the company’s growth on the West Coast.

C-PACE’s compelling story right now is the ability to pay off variable construction debt if that construction exceeded building code. This financing not only injects much-needed liquidity into projects but also rewards sponsors for building sustainably and is generally available to properties that were constructed, or gut renovated within a three-year lookback period

The first MNCIFA Board Meeting took place on Wednesday, November 15th. During the meeting Bali Kumar was elected Board Chair and Tessa Haagenson was elected Vice Chair.

Hempel Real Estate acquired LaSalle Plaza, a 30-story office building in downtown Minneapolis, from the prior owner’s lender in June, and finalized the financing package with a $3.5 million C-PACE loan arranged by PACE Loan Group.

Balancing the financial bottom line while building above code can often feel like an uphill battle. However, a financial tool – retroactive C-PACE financing -- is making waves in the CRE finance industry, offering a compelling solution to these challenges.

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

In 2020, PACE Loan Group reported revenue of slightly over $3 million. By 2022, that number skyrocketed to nearly $11.5 million, representing a growth rate of 277.58%. It is a first-time Fast 50 honoree, debuting on The List at No. 3.

Among the options gaining attention from borrowers in the current market is C-PACE (Commercial Property Assessed Clean Energy) financing, and Matthew McCormack, SVP of Originations at PACE Loan Group (PLG), will discuss how it can fulfill their needs. Here, McCormack sets the stage for Tuesday’s conversation.

In the ever-evolving landscape of commercial real estate, two pressing concerns loom large: managing interest rate exposure and meeting the market’s demand for sustainability. However, a financial tool – retroactive Commercial Property-Assessed Clean Energy (C-PACE) financing -- is making waves in the CRE finance industry.

Over the past 18 months, Ledding has helped PLG underwrite deals that allow the company to keep lending and helping get projects done instead of sitting on the sidelines. These are just a few reasons we chose Angela Ledding as one of the Chicago-Midwest Connect CRE’s 2023 Women in Real Estate Award winners.

Reset Hotel, a new hotel coming to Twentynine Palms, a Palm Springs exurb adjacent to the North Entrance of Joshua Tree National Park, has started construction with $11.2 million in C-PACE financing from PACE Loan Group.

Governor Tim Walz and Lieutenant Governor Peggy Flanagan today announced the following appointments to the Minnesota Climate Innovation Finance Authority. PLG's Bali Kumar - Member with Expertise in Investment Fund Management or Financing and Deploying Clean Energy Technologies.

Parag Vipani, an experienced capital markets professional, joined PACE Loan Group as vice president, where he will be responsible for originating, underwriting, and closing on PLG’s pipeline of C-PACE financing transactions.

“Financing Deals in an Uncertain Climate” is the title of a panel at Wednesday’s Connect Orange County event, and PACE (Property Assessed Cleaning Energy) financing has proven to be a means of doing just that. Among the experts who will address this topic on Sept. 27 is Bali Kumar, COO of PACE Loan Group. Connect CRE spoke with Kumar to set the stage for the upcoming conversation. Here’s what he told us:

Continued sluggishness in the lending market is setting the stage for an increase in Property Assessed Clean Energy financing. The outcome, market professionals believe, is that C-PACE capital will come to represent ever-larger portions of the debt on existing properties and, especially, new projects.

PACE Loan Group’s Senior Vice President Matthew McCormack arranged a $6.2 million PACE loan that was part of $32.8 million refinancing of the Northbrook Renaissance in Northbrook, IL.

With traditional lenders reluctant to fund new real estate projects, developers are seeking other financing sources. An increasingly popular option is Commercial Property Assessed Clean Energy, or C-PACE, financing.

PACE Loan Group was recognized today as one of the Fast 50 growth companies in the Twin Cities by the Minneapolis-St. Paul Business Journal. This recognition comes from three years of an average of 89% growth per year through the company’s focus on providing C-PACE financing to commercial real estate property owners.

Among our panel of experts will be Matthew McCormack, SVP, originations with PACE Loan Group (PLG), who will provide insights into the benefits of PACE (Property Assessed Clean Energy) and C-PACE (Commercial Property Assessed Clean Energy) financing. We spoke with McCormack to set the stage; his responses appear below.

PACE Loan Group closed a $13.82 million C-PACE loan for a 151-room conversion from a hotel into workforce housing in Kissimmee, FL. The borrower plans to complete the renovation and open the low-rise/garden apartment complex at 2950 Reedy Creek Blvd. in May 2024.

PACE Loan Group (PLG), a national leader in Commercial Property Assessed Clean Energy (C-PACE) financing, closed a $13.82 million C-PACE loan for a 151-room conversion from a hotel into attainable, workforce housing in Kissimmee, Osceola County, Florida.

PACE Loan Group, a national leader in Commercial Property Assessed Clean Energy & Resilience (C-PACER) financing, closed a $5.5 million package for the Aviator Hotel, the largest of its kind in Alaska.

PACE Loan Group (PLG), an industry leader in the emerging financing tool, C-PACE (Commercial Property Assessed Clean Energy), had two of its leaders recognized at the annual PACENation Summit, June 6-7, 2023, in New York City.

Blossom Hotel Houston near the Texas Medical Center has secured a $22.5 million commercial property assessed clean energy loan, commonly called a C-PACE loan, to cover the cost of previously installed energy-conservation systems.