C-PACE can offer immediate partial repayment of a senior loan. By doing so it can immediately improve all key lender metrics including LTV, DSCR, and Debt Yield.
We’ve discussed how C-PACE financing can be used for a wide variety of commercial real estate projects. We’ve also shared how it benefits sponsors struggling with cash flow in the wake of COVID-19. But what about lenders?
Real Estate sponsors are seeking solutions for properties that are temporarily underperforming as a result of COVID-19. Most sponsors and lenders agree that time is the most important ingredient in weathering the economic fallout from the pandemic.
C-PACE is a powerful, flexible financing tool that can fund, de-risk, or relieve the debt burden from your real estate project. C-PACE provides non-recourse funding up to 30% of stabilized value. In a growing number of states, C-PACE can be used for both construction and refinancing.