Energy Efficiency, GHG Emissions, Finance - October 3, 2022
Utah Resort to Fund Energy Efficiency with C-PACE
Petros PACE Finance (Petros), a structured finance company, announced that it closed on $153 million C-PACE financing as part of the $820 million, 580-acre world-class development, Black Desert Resort Project in Ivins, Utah.
The $153 million capital is being used to fund numerous eligible energy-efficient and resiliency solutions, including exterior and interior measures such as LED lighting, HVAC, and thorough seismic strengthening throughout The Black Desert Resort. Additionally, the funds will be used to deploy the largest ever use of cost-effective, innovative low-voltage wiring throughout the development.
Commercial Property Assessed Clean Energy (C-PACE) is a recognized financing mechanism for energy efficiency, water efficiency, renewable energy and resilience projects. Through C-PACE, property owners can finance building retrofits, gut rehabilitations and new construction with no upfront costs; and in some markets eligible projects can be funded retroactively to replace more expensive financing.
Located near Zion National Park, phase one of Black Desert Resort will include a luxury resort hotel, approximately 1,000 condos, 190,000 square feet of retail, restaurants, and commercial space, 25,000 square feet of event space, a full clubhouse, and a Tom Weiskopf-designed 19-hole golf course. The development is currently under construction and upon completion will be the largest hospitality offering in the state of Utah. Phase I of the project is set to open in the fall of 2024.
"C-PACE has arrived as a mainstream financing tool of choice for large, complex integrated commercial construction and renovation projects across the country,” said Mansoor Ghori, CEO and co-founder of Petros PACE Finance in a statement.” The Black Desert Resort funding is a perfect example of the value C-PACE financing brings to property owners: lower financing costs, more flexibility across the capital stack and the ability to fund environmentally important improvements and innovations."