PACE (Property Assessed Clean Energy)

Category: Energy Incentives

PACE is a financing tool that helps for profit businesses do energy efficiency retrofits on their property.  The premise of the program is that the business does not see a decrease in net profits—and once the loan is repaid, the business realizes the savings on their operating costs. 

Program objectives:

  • Improve business bottom line through the utilization of "green energy" systems
  • No increase in net operating costs realzied throughout the repyament period
  • Reduction in carbon footprint
  • Increased property value

Program requirements:

  • Property must be classified as Commercial or Residential
  • Applicant(s) is/are the legal owner of the property described in the application
  • Property must be located in the 18-county RMEB Area
  • Property owner is current on all mortgages
  • The property owner is not in bankruptcy and the property is not an asset in a bankruptcy
  • There are no federal or state income liens, judgment liens, or similar involuntary liens on the Property
  • Must have an Energy Audit performed by an approved energy auditor.  Must show significant cost savings
  • Minimum PACE loan will be $5,000
  • Maximum PACE loan will be up to 20% of the assessed property value or $100,000
  • Maximum of 20 years to repay loan.  Loan terms must not exceed estimated life expectancy of improvement
  • Interest rate determined by RMEB Review Committee

 

For more information on this program,  call Robin Weis at the Southwest Regional Devleopment Commission office in Slayton who administers the loan program --  507-836-1638 -- click here to access the brochure, application, and energy audit process!