Eyzenberg Green Capital originates and funds C-PACE financing for new development and heavy renovation real estate projects.
Eyzenberg Green Capital
WHAT IS C-PACE
Commercial Property Assessed Clean Energy (“C-PACE”) is an innovative financing mechanism of low-cost, long-term non-recourse capital for new construction or gut rehabs of commercial real estate. C-PACE is used to finance 100% of eligible hard and soft costs for a project (approximately 20-25% of total development budget) and secured by a special assessment against the property. Repayment of the assessment financing is done via the building owner’s property tax bill with payments due concurrent with ordinary property tax payments.
WHY EYZENBERG GREEN CAPITAL
Eyzenberg Green Capital is a partnership between Eyzenberg & Company (“Eyzenberg”) and Greenworks Lending (“Greenworks”) uniquely dedicated to funding commercial real estate transactions through C-PACE.

MARKET LEADING EXPERIENCE
Greenworks is the largest C-PACE capital provider having funded the most projects in the country. Its founders launched and lead the first successful C-PACE program and have since closed over 250 projects across 15 states.
THE ENTIRE CAPITAL STACK
Eyzenberg is the market leader for “full spectrum” innovative capital solutions for CRE projects in the US. As a member firm of the Real Estate Capital Alliance ($5.2B capital placement in 2018) we are uniquely positioned to obtain all requisite lender consents as well as structure and arrange all other monies necessary to fully capitalize your project in tandem with C-PACE.
LEGISLATIVE EXPERTISE
Greenworks has set-up and advised on the structure of over a dozen state programs including the very first one in CT. Due to the varied nuances of individual programs at the local level, leading edge and experienced polity expertise is a necessity to get C-PACE deals processed and closed.
CAPITAL PROVIDER
Eyzenberg Green Capital is a direct balance sheet provider with significant lending capacity backed by a top financial institution. With permanent capital and multiple funding outlets Eyzenberg Green Capital has the markets lowest cost of capital for C-PACE financing.
C-PACE BENEFITS
Reduce Blended Cost of Capital
- Fills the gap between senior debt and equity at lower pricing than alternative capital structures like mezzanine debt or preferred and common equity.
- Potential to recoup C-Pace assessment costs by passing through to hotel guests or commercial tenants.
Creates Optionality to Capitalize Your Projects
- Can be used to reduce the amount of senior debt to a level necessary to attract financing and does not require an intercreditor agreement.
- Provides an optional capital structure for situations where structured finance may not be available due to market or size of the transaction.
Flexible Capital
- Fully assumable and assignable upon a sale of the asset creating option value in a moving interest rate environment.
- Ability to capitalize costs incurred retroactively within the prior 36 months.
Off-balance Sheet Potential
- Many owners treat property taxes (ad valorem and special assessments) as an operating expense with some electing to pass on the costs to tenant or guests.
De-risks the Capital Stack for the Borrower
- No repayment or carry guarantee and covenant light.
- Repayment is based on a self -amortizing structure avoiding balloon, interest rate or refinance risk at any point while the loan is outstanding.
- C-PACE is non-accelerating beyond the current year’s assessment and can never be fully called upon a sale or payment/technical default.
- As a “silent” capital provider C-PACE does not require complicated intercreditor or recognition agreements with senior lenders, only a simple acknowledgement and consent form.
A Crucial Piece of the Puzzle
- Can be utilized in tandem with a ground lease structure due to C-PACE flexibility of being assessed against a leasehold or leased fee position.
- Perfect long-term match for Opportunity Zone deals with required long dated hold periods.
- Commercial condominiums are eligible in certain cases.
- Sponsor equity requirements can be reduced for Historic and New Market Tax Credit projects.
AVAILABLE STATES
PACE-enabling legislation is active in 38 states plus D.C., and PACE programs are now active (launched and operating) in 22 states plus D.C.

ELIGIBLE ASSET CLASSES
Strike Zone |
---|
Multi-Family |
Hospitality |
Retail |
Office |
Senior Living |
Student Housing |
Light Industrial / Warehouse |
Likely |
---|
Nursing Home |
Storage |
Auto Repair |
Golf Courses |
Hospitals |
Farm / Agriculture |
Educational Facilities |
Limited |
---|
Marijuana |
Sports Complexes |
Parking Garages |
Civic Properties |
Houses of Worship |
Condo |
Ineligible |
---|
Dry Cleaning |
Gas Stations |
Vacant Land |
Governmental Owned |
Residential (<5 units) |
Marina |
Heavy / Specialty Manufacturing |
ELIGIBLE IMPROVEMENTS
Eligibility includes certain hard costs and the associated soft costs but may vary by state and municipality.
ENERGY EFFICIENCY
Lighting upgrades
HVAC systems
Building envelope & insulation
Automatic building controls
Variable frequency drives
Boilers & hot water heating
Roof replacement
Water conservation
HVAC systems
Building envelope & insulation
Automatic building controls
Variable frequency drives
Boilers & hot water heating
Roof replacement
Water conservation
RESILIENCY
Seismic resiliency
Hurricane resiliency
Fire Resiliency
Stormwater management
Hurricane resiliency
Fire Resiliency
Stormwater management
RENEWABLE ENERGY
Solar PV
Solar thermal
Microgrids
EV charging stations
Solar thermal
Microgrids
EV charging stations
C-PACE IN THE CAPITAL STACK

FUNDING PARAMETERS
Transaction Scenarios: | New development, acquisition with a heavy renovation component or recapitalization in tandem with a redevelopment of the property |
Property Types: | All commercial property types and select alternative asset classes |
Funding Size: | $10MM-$150MM+, smaller requests reviewed on a case by case basis |
Recourse: | No repayment or carry guarantee, completion guarantee burns of at TCO |
Pricing: | 5% to 6.5%, dependent on term, location, use and leverage |
Term & Amortization: | Self amortizing (no balloon) with terms up to 30 years (based on estimated useful life of the improvements |
Max Lien-to-Value | 90% (combined debt) for new developments / 95% for retrofits |
Max LTV/LTC: | 25% of as completed value / 30% of total capitalized budget for new developments (higher for retrofits) |
Prepayment: | No lockout but subject to a pre-negotiated fee |
Geography: | Currently active in 16 states and D.C. with legislation approved in 38 states, plus D.C. |
FUNDING PROCESS
STAGE | DURATION | DESCRIPTION |
---|---|---|
Pre-screen | 1 Day | Determine location and property type eligibility |
Analysis | 1 Week | Gather data and analyze projects viability and size C-PACE financing, issue term sheet |
Underwriting | 2 - 4 Weeks | Conduct customary due diligence, obtain lender consent from all capital stack participants and local Program Administrator |
Closing | 2 - 3 Weeks | Closing documentation and C-PACE assessment contract executed |
Total | 5 - 8 Weeks | Weeks |
PRE-SCREEN REQUIREMENTS
Property Address: | Is location C-PACE eligible |
Project Type: | New construction, retrofit or heavy gut rehab |
Property Type: | Hotel, office, retail, multifamily, etc. |
Sources & Uses: | How does C-PACE fit into the capital stack and what LTC is desired |
Pro Forma: | What will coverage look like and estimated LTV on the exit be |
Scope of Work: | To determine what costs are C-PACE eligible |
Sponsorship Info: | Demonstrable track record of similar projects in scale and scope |