Market and eligibility
Where does Nuveen Green Capital operate?
What property types are eligible for C-PACE?
What project types qualify for C-PACE financing?
Strategic financing
Why use C-PACE instead of a traditional loan?
Can C-PACE be used to recapitalize completed projects?
What is the average project size?
Can C-PACE costs be passed through to tenants or guests?
Can C-PACE close alongside preferred equity or mezzanine debt?
What happens to the C-PACE assessment upon the sale of a building?
How long does it take to close a C-PACE transaction?
Lender consent
Why does my mortgage lender need to sign a consent form for C-PACE?
Why do senior mortgage lenders now regularly consent to C-PACE?
Getting started
How do I get started or apply?
Market and eligibility
What is C-PACE?
C-PACE (Commercial Property Assessed Clean Energy) is private capital enabled through a public-private financing mechanism that allows commercial property owners to fund sustainability and resiliency upgrades through a voluntary special assessment on their property tax bill. Unlike traditional loans, the financing is tied to the property itself rather than the owner. Learn more here.
Where does Nuveen Green Capital operate?
We operate nationwide in every active C-PACE market. C-PACE is now available in nearly 40 states, including every major MSA. Please view Nuveen Green Capital’s coverage map here. Programs are expanding rapidly so please check back often.
What property types are eligible for
C-PACE?
C-PACE financing is available for most commercial and industrial properties, including multifamily buildings with 5+ units, office, retail, industrial, hospitality, residential or commercial condominiums, agricultural, and non-profit/religious facilities.
What project types qualify for C-PACE financing?
C-PACE finances measures that improve a property's energy efficiency, renewable energy, water conservation, or resiliency.
Common qualifying project types include:
- Energy efficiency: HVAC systems, LED lighting, high-efficiency insulation, windows, and building automation controls.
- New construction: Projects designed to perform above local energy codes.
- Water conservation: Low-flow plumbing, smart irrigation, and water reclamation systems.
- Resiliency (state-dependent): Seismic retrofitting, flood mitigation, wind resistance (hurricane-proofing), and fire-suppression upgrades.
- Renewable energy: Solar PV panels, geothermal systems, and battery storage.
Strategic financing
Why use C-PACE instead of a traditional loan?
C-PACE is currently the most cost-effective form of non-recourse, fixed-rate debt capital available. C-PACE offers long-term (20-30 year) financing at significantly lower rates. Unlike conventional loans, C-PACE is generally non-recourse, meaning it is secured by the property rather than the borrower's personal credit or equity. It is non-accelerating, meaning if a default occurs, only the delinquent payments are due, not the entire loan balance. If the property is sold, the assessment stays with the property, rather than needing to be paid off, simplifying the transfer of ownership.
Can C-PACE be used to recapitalize completed projects?
Yes. C-PACE has become a standard liquidity tool. Most states allow owners to recapitalize eligible projects up to 3 years post-completion.
What is the average project size?
NGC can fund projects ranging from $5 to over $500 million. Our average deal size is around $40 million.
Can C-PACE costs be passed through to tenants or guests?
Yes, C-PACE costs can typically be passed through to tenants, especially under triple-net (NNN) leases, as they are treated as a special assessment on the property tax bill. This is also applicable to hotels, where costs can be passed to guests or included in operating costs.
Can C-PACE close alongside preferred equity or mezzanine debt?
Similar to senior mortgage debt C-PACE can also close alongside both preferred equity and mezzanine debt.
What happens to the C-PACE assessment upon the sale of a building?
The assessment is tied to the land, not the owner. It automatically transfers to the buyer upon sale.
How long does it take to close a C-PACE transaction?
The process has become highly streamlined and standardized, often moving from term sheet to closing in 30 to 45 days.
Lender consent
Why does my mortgage lender need to sign a consent form for C-PACE?
Like other benefit assessment payments, (e.g. water, sewer, school district, etc.) C-PACE financing is repaid alongside property taxes – and because it is increasing your annual tax + assessment payment, states typically mandate that a mortgage lender sign a consent or acknowledgement form confirming the assessment will be added to the property’s annual payment obligations and confirming the assessment does not constitute a default or breach any mortgage covenants. This is a protection for the property owner and the mortgage holder.
Why do senior mortgage lenders now regularly consent to C-PACE?
Over 500 institutional lenders — including major national banks, life insurance companies, and debt funds — regularly consent to C-PACE. They do so because:
- Security: Only the annual C-PACE payment in arrears has priority over the mortgage, not the entire loan balance. C-PACE assessments hold the same security position as property taxes, allowing lenders to maintain the first mortgage position.
- Non-acceleration: The loan does not accelerate, preserving the senior lender's foreclosure rights.
- Capitalized interest: C-PACE interest during the construction period is fully capitalized lowering the risk of non-payment.
- Reduced capital costs: C-PACE serves as a cost-efficient alternative to traditional forms of financing, reducing the overall debt burden on the property.
- Foreclosure/remedy rights: C-PACE does not restrict a lender’s foreclosure or other remedy rights, and lenders retain full control in default or workout.
- Improved collateral and lower risk: C-PACE improvements modernize buildings, reducing operating expenses and increasing property value.
Getting started
How do I get started or apply?
Complete this form to be put in touch with a member of our originations team to discuss a potential C-PACE project!
