Fowler Owners Renovate Office Building with Otero County’s First Use of C-PACE Financing
Lafayette, CO—Colorado C-PACE announced today that Total Concept will leverage CO C-PACE financing to support an energy efficiency retrofit project on their 4,463 sq. ft. office building located at 34385 State Highway 167 in Fowler. This is the first C-PACE project for Otero County and Southeastern Colorado.
“Faced with an aging office building, we knew it was time to replace structural systems,” said Steven Cordova of Total Concept. Cordova added: “While the potential energy savings and environmental benefits have been of interest for some time, the capital expense was discouraging. NED Enterprises showed us how C-PACE could not only make going solar possible, but also allow us to install additional energy efficiency upgrades we hadn’t even considered.”
Project upgrades will include the installation of an on-demand hot water heater, high efficiency windows, added insulation, an 11.16 kW roof-mounted solar PV array projected to produce just over 18,000 kilowatt hours per year, and an LED lighting retrofit. David Chittle, CPA and CEO of NED Enterprises, which originated and managed the project, said: “Our work demonstrated that these upgrades would increase the asset value of the building by $51,000, and yield projected energy cost savings of $101,000 over the useful life of the equipment. With such sound investment economics, it was obvious to Total Concept that moving forward with these improvements was the right decision.”
Chittle added: “This was our first C-PACE project and we couldn’t be more pleased with how easily it came together. Without C-PACE, Total Concept would have replaced only the failing equipment and stopped there. But C-PACE financing allowed them to maximize energy savings with no out-of-pocket expense, and that’s good for their bottom line and the environment.”
PACE Conservation Solutions, a Pueblo-based capital provider, funded the project, which totaled over $84,000. Keith Willy, owner of PACE Conservation Solutions, said: “We are so very grateful to be part of this program with Total Concept and NED Enterprises. Both organizations are best in class and extremely effective with execution. I can’t believe how lucky we are to be part of the PACE program with these two organizations.” Keith continued: “It is extremely rewarding to bring PACE capital to Total Concept and Southern Colorado. The program brings flexible solutions for small businesses which ultimately reduce the cost of business and convert utility bills into investments in long-lived assets on Main Street.”
Otero County opted into Colorado’s C-PACE program in March of 2019, and this project marks the county’s first closing-PACE project. Danelle Berg, Economic Development and Special Projects Manager for Otero County, said: “Otero County is looking forward to businesses embracing C-PACE. The program will benefit business owners and the environment. When businesses save money on their utilities, consumers benefit as well. C-PACE can create jobs, spur business growth and investment and promote comfortable work environments. Everybody wins!”
About Colorado C-PACE
A program of the New Energy Improvement District (NEID), administered by Sustainable Real Estate Solutions, Colorado C-PACE facilitates financing for energy and water improvements in new and existing commercial buildings, including new heating/cooling systems, lighting, water pumps, insulation, and renewable energy projects. C-PACE offers long-term financing that covers 100 percent of the project cost and is repaid over a period of up to 25 years. The payments are structured as a regular line item on the property tax bill. When a property is sold, the C-PACE assessment can stay with the property and transfer to the new owner, who enjoys the ongoing utility cost savings associated with the project.
Sustainable Real Estate Solutions (SRS) partners with state and local governments to administer commercial property assessed clean energy (C-PACE) programs. Founded in 2010 by experienced commercial real estate and energy efficiency professionals, the company’s proprietary technology-enabled PACEworx™ Platform streamlines the management of the data-intensive C-PACE technical and financial underwriting process. SRS’s Investor Confidence Project-credentialed quality assurance methodology has facilitated more than $255 million in C-PACE financing nationwide. SRS empowers C-PACE public-private partnerships across the country. The company is based in Trumbull, Connecticut.