What is PACE?

•  Property Assessed Clean Energy

(PACE) is an innovative way for property owners to pay for energy upgrades.

•  Public-Private Partnership.

•  Repaid through a special assessment on the property – up to 30% of property value.

•  Non-recourse, fixed rate financing for up to 20 years.

•  Pays for 100% of the improvement costs.

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When would I use it?

LED Lighting Commercial Boilers VRF HVAC Systems Chillers

Fume Hoods Escalators Refrigeration Parking Lights

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Elevators Cool Roofs Windows Solar PV Controls

MO – St. Louis City, County, St. Charles, etc.

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* - Kansas PACE (CID Act) ** - Oklahoma PACE (Improvement District Act)

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Where?

•  Close a financing gap to get a building

project off the ground (PACE can be combined with other financing options such as bank financing, equity, and secondary).

•  Replace cash for owner occupied building projects; cash can be invested in operating business or elsewhere

•  Reimbursement for an energy project that's already completed – e.g. LED lighting or HVAC upgrades

•  Upgrade buildings that are in disrepair and too expensive to operate

Why select PACE financing?

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How does it work? Determine

Energy Components

Get Contractor Analysis

Letter of Intent -due

diligence

Determine PACE District

§  Set the PACE §  MCED §  Show Me PACE

PACE Funders

Energy Engineering Select PACE

Developer (Concierge)

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What is the process: Concierge of the Energy Efficiency Project + Funding

Structured Process to manage transaction cost and implementation:

•  Conduct Preliminary Energy Analysis

•  Identify Energy Conservation Measures (ECM)

•  Evaluate Property, Principals and Finances for the Building

•  Maximize all incentives (including utilities) to create the best business case

•  Develop business case (scope, savings, cost)

•  Create Strategy to assemble team, best PACE District and ideal Funder

•  Letter of Intent •  Due Diligence •  Collect all Documents •  Select Funder •  Secure Lender Consent •  Detail scope, cost savings and

contractor selections •  Select PACE administrator

based on project requirements

•  Submission of full application package to selected PACE district

•  Execute loan & assessment agreements

•  Manage draw payments

Phase 3: Close

Phase 2: Project Development

Phase 1: Exploration & Strategy

Development

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tami@pacesage.com

Tami Martens

Managing Director – St. Louis 10502 Manchester Road, Suite 205

St. Louis, MO 63122 Cell: 314.277.2036

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www.pacesage.com www.techsmartenergy.com