Application for funding and additional information:
- For Commercial Property Owners: HERO eliminates the key barriers to completing energy projects for businesses – 100% upfront funds and long term fixed rate financing.
- Public Facilities & Infrastructure Improvements: Local Governments benefit from energy project financing for Public Facilities through the District.
- Rural Development Commercial Facility Target Fund: In development: not currently offered. Energy project assistance for property owners in rural Missouri communities Proposed to operate in conjunction with the USDA IRP program.
Access to long term fixed rate financing of energy improvements is available for small and large projects on virtually any conceivable property type of the built environment.
Commercial property types include office buildings, industrial property, medical centers, hotels, malls, retail stores, farm, multifamily housing, warehouses and garages. Through the program, residential property containing more than a certain number of units qualifies as commercial property for borrowing purposes.
PACE is the Solution
PACE overcomes challenges that have hindered adoption of energy efficiency and related projects in our nation’s buildings. PACE financing solves the upfront cost barrier by providing 100% financing for project costs. Long term repayment of up to 20 years makes longer payback projects immediately cash flow positive and buildings more valuable. For contractors, PACE makes it easier to close a larger sale.
Property owners across the US are using PACE because it saves them money and makes their buildings more valuable. PACE pays for 100% of a project’s costs and is repaid for up to 20 years with an assessment added to the property’s tax bill. PACE financing stays with the building upon sale and is easy to share with tenants. State and local governments sponsor PACE financing to create jobs, promote economic development, and protect the environment.
The cost of the energy saving improvement is then repaid through an assessment on the owner’s annual property tax bill. Assessments are tied by a lien to the specific property. If the property is later sold, the assessment and lien stay with the property and become the obligation of the new owner, but the cost-saving benefits of the energy improvements also transfer to the new owner.
Properly designed energy saving projects will allow property owners to save more on yearly energy costs than their property tax increase. In plain terms, PACE financing can help property owners achieve a net positive cash flow or economic benefit.
* Note: Commercial projects requiring funding greater than $1.5 Million will be accepted for processing through the HERO Commercial Program and managed by the District Administrator. Competitive term sheets provided by qualified investors will be solicited and qualified. Please contact the District Administrator to initiate project funding.