Lafayette, CO—Colorado C-PACE announced today that Rob and Lynne Baer, owners and developers of The Pad Hostel in Silverthorne, CO, will use C-PACE financing to fund 20 percent of the cost to construct their new 26,000 sq. ft. hostel in Summit County. Situated at 491 Rainbow Drive, the hostel will include 101 beds allocated between typical hotel rooms, micro suites, and dormitories. This is the second C-PACE project financed in Summit County and the first for the town of Silverthorne.
Owner Rob Baer said, “While we were exploring funding options for this project, we learned of the CO C-PACE program which provides both attractive rates and long-term financing for energy efficient buildings. By incorporating C-PACE financing, we were able to improve the building’s energy performance and reduce the hostel’s greenhouse gas emissions by over 465 tons – a feature we are proud to promote to our prospective guests and the community.”
The Baer’s partnered with Energetics Consulting Engineers LLC (ECE) for project development and the savings analysis. Elizabeth Gillmor, principal and founder of ECE, said, “The design is forecast to exceed the baseline code compliant model by 5.1 percent, which exceeds Colorado’s C-PACE program requirements for new construction. This means we can tap C-PACE financing for up to 20 percent of the total construction costs.” She added, “This is ECE’s first C-PACE project and we are delighted with the financial and environmental benefits provided by this innovative financing program.”
The Baers contracted Colorado-based Himmelman Construction to build the hostel. Justin Black, Project Manager at Himmelman, said, “In spite of the pandemic, this project is moving full steam ahead and demonstrates that innovative growth and development are alive and well in Colorado.” He added, “We have been interested in learning more about the C-PACE program and now, with the experience of this first project, we have learned first-hand what an amazing program Colorado has brought to benefit the state’s economy.”
Lever Real Estate Capital LLC, a provider of C-PACE financing nationwide, provided the $2.8 million financing. “Colorado is our backyard and we are always pleased to fund Colorado C-PACE projects,” said Mark Boyer of Lever Real Estate Capital. He added, “More and more developers are seeking C-PACE financing for new construction projects. The many benefits, including a lower weighted average cost of capital and the ability to cover both hard and soft costs, make it a compelling financial option while encouraging energy-efficient design.”
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 $325 million in C-PACE financing nationwide. SRS empowers C-PACE public-private partnerships across the country. The company is based in Trumbull, Connecticut.