Commercial Property Assessed Clean Energy Program
Peoria County's Commercial Property Assessed Clean Energy Program, known as C-PACE or PACE, launched in August 2021. Learn more from the video launch or by reading more below.
Clean energy upgrades can enhance commercial property values, achieve significant long-term cost savings, and give properties a competitive edge in the marketplace. Read our article in the September 2021 issue of Peoria Magazines! https://www.peoriamagazines.com/pm/2021/sep/setting-pace-peoria-county
What is C-PACE?
Commercial Property Assessed Clean Energy, or C-PACE, is a financing option through the State of Illinois for commercial property owners wanting to make clean energy building improvements. Owners may obtain up to 100% long-term, fixed-rate financing for energy efficiency, renewable energy, resiliency, water use, and electric vehicle charging building improvements.
The term of C-PACE financing may extend through the useful life of the improvement, which may be up to 20-30 years long, and can result in cost savings that exceed the amount of the C-PACE financing.
One of the distinguishing features of C-PACE is that it is secured by a special assessment lien on the property and is repaid as a line item on the owner's Peoria County property tax bill. C-PACE special assessments “run with the land”, therefore C-PACE is non-recourse to the borrower and does not accelerate or become due upon the sale of the property. This allows property owners to invest in longer-term payback clean energy improvements that can generate positive cash flow.
The Illinois Energy Conservation Authority (IECA) PACE program authorizes Illinois municipalities and counties to work with private-sector lenders to provide upfront C-PACE financing—up to 100% of the cost of improvements—to property owners for qualified projects. Commercial and multifamily property owners across IECA PACE participating communities can use this financing to enhance the sustainability of their properties and lower both operating expenses and their cost of capital.
Who is eligible?
- A property owner must be the owner of record.
- The property owner must be eligible to receive a property tax bill and pay property taxes to the appropriate jurisdiction(s). Some nonprofit organizations may be eligible.
- The property owner of record must not have filed for bankruptcy in the last two years.
- The property owner must be current on all taxes, special assessments, water or sewer charges, or other property assessed clean energy program assessments.
- Mortgage debt, if any, on the property must be current without delinquencies.
- There must be no involuntary liens on the property, including, but not limited to: construction or mechanics liens, lis pendens or judgments against the record owner, environmental proceedings, or eminent domain proceedings.
- There may be no notices of default or delinquency on property-based debt that have been recorded and not cured.
- The property may not be an asset to a current bankruptcy.
Property owners can confirm they have an eligible property located in an IECA PACE participating community and see how to apply at https://iecapace.org/getting-started-apply.