DC Green Bank Announces DC PACE Closing on Affordable Housing Property in NW Washington

December 14, 2020

Gary Decker
External Affairs and Communications Partner

DC Green Bank Announces DC PACE Closing on Affordable Housing Property in NW Washington

DC Green Bank is excited to announce the closing of a $635,000 loan for 1363 Peabody Street NW, a 30-unit multifamily apartment building located in the Brentwood neighborhood of Washington, DC as part of the DC Commercial Property Assessed Clean Energy (DC PACE) financing program.

The project will fund green building improvements including solar installation, building envelope measures, and plumbing, electrical, lighting, and HVAC upgrades. Petra Development is the project owner and developer. Financing for these upgrades will be provided by Greenworks Lending through the DC PACE program, which is administered by Urban Ingenuity, a local DC business, under contract to the District Government.

Greenworks Lending provided $635,000 in Commercial PACE (C-PACE) financing for the project, while Amalgamated Bank provided the construction loan. This transaction marks the fifth successful PACE financing partnership between Petra Development, Greenworks Lending, Urban Ingenuity, and the District Department of Energy & Environment (DOEE), and the third since the launch of the DC Green Bank, which is charged by statute with overseeing the DC PACE financing program.

“From schools, to stadiums, to nonprofits, the DC PACE program has contributed to many notable advancements in the District’s clean energy efforts,” said DC Green Bank CEO Eli Hopson. “We’re excited to be partnering with Mayor Bowser and DOEE to support the growth of the DC PACE program and accelerate solar deployment and energy efficiency upgrades for affordable multifamily buildings and other commercial real estate projects in DC.”

Greenworks Lending is a private capital provider uniquely dedicated to funding energy efficiency and solar upgrades for commercial real estate through C-PACE and has supplied financing to hundreds of commercial properties. This project represents Greenworks’ 14th successful PACE transaction in the District, for an aggregate investment of nearly $10m in clean energy development with property owners in the District.

“Providing affordable housing is a priority for Washington, DC and this ambitious project demonstrates the value of C-PACE financing for multifamily construction in the nation’s capital,” said Michael Billingsley, Greenworks Lending’s Mid-Atlantic Business Development Director.

The DC PACE program has provided for nearly $50 million dollars in private investment in projects that help meet Mayor Muriel Bowser’s climate goals, create jobs, and keep the cost of housing within reach for the District’s working families.

Urban Ingenuity CEO Bracken Hendricks said, “This project brings it all together, demonstrating that housing affordability, environmental performance, and lower bills for consumers can all go hand in hand.”

The 1363 Peabody Street NW project is under construction and scheduled for completion before the end of the year.

About DC Green Bank
DC Green Bank was established by the District’s Green Finance Authority Establishment Act of 2018. DC Green Bank develops innovative financial solutions to support District businesses and residents in the journey to greener households and communities. DC Green Bank will serve as administrator for the DC PACE Program, a critical component in achieving the goals of the Clean Energy DC Plan.

DC PACE (Property Assessed Clean Energy) was created by an act of the Council of the District of Columbia in 2010 and is administered by Urban Ingenuity, working under contract to the District’s Department of Energy and Environment (DOEE). DC PACE allows property owners to access financing for qualifying energy efficiency and clean energy improvements on their buildings and repay the investment through a special tax assessment.

About District Department of Energy & Environment
The Department of Energy and Environment (DOEE) is the leading authority on energy and environmental issues affecting the District of Columbia. Using a combination of regulations, outreach, education, and incentives, our agency administers programs and services to fulfill our mission. We work collaboratively with other government agencies, residents, businesses, and institutions to promote environmentally responsible behavior that will lead to a more sustainable urban environment.

About Urban Ingenuity
Urban Ingenuity serves as a program administrator to the DC PACE financing program on behalf of the District of Columbia Department of Energy and Environment, working in close partnership with DC Green Bank. UI is a local Washington DC business with 10 years’ experience financing and developing clean energy projects that promote housing affordability, and build just, green and resilient neighborhoods. UI’s track record nearly $50 million in DC PACE financing and successful deployment of community solar and microgrid projects in the nation’s capital and around the country.

About Greenworks Lending
Greenworks Lending is the largest provider of Commercial Property Assessed Clean Energy (C-PACE) financing in the country. Led by several of the industry’s founding policy developers and standard-setters, Greenworks Lending is a private capital provider uniquely dedicated to funding commercial real estate through C-PACE. Greenworks has provided financing to hundreds of commercial properties and is active in 25 states. Greenworks Lending’s C-PACE financing makes clean energy a smart financial decision for commercial property owners.

About Petra Development
PETRA is a developer of luxury homes, condominiums, and affordable projects nationwide with a focus on integrity and craftsmanship. We carefully select properties that have great promise and allow us to fulfill their development potential. Our completed projects are breathtaking in form, function, and execution down to the smallest detail. PETRA’s portfolio is rapidly expanding to include urban-infill mixed use, multifamily, and an array of affordable and subsidized housing.