Pulaski County held a check presentation Wednesday, Dec. 7 to mark Pulaski PACE’S first approved energy efficiency project. The development is a 50-unit, 56,200 sq. ft. multi-family apartment complex, owned by The Preserve at Aldersgate, LLC, which will sit on two acres in West Little Rock and is expected to be completed in November 2017. Pulaski PACE has authorized funding of upgrades totaling approximately $650,000 for interior and exterior LED lighting, water conserving fixtures, high-efficiency HVAC, efficient windows and a cool roof.
“After learning more about the PACE program, we found its creative financing mechanism to be extremely attractive. PACE allows us to make our properties energy efficient without the up-front out-of-pocket costs,” said managing partner for Newcap Investment Partners, Adron Gilbert. “As a real estate developer, it is important to find sources of capital which are affordable and PACE’s cost of capital is more competitive than most other sources of funding. The 20-year financing term allows us to spread those costs out, creating less of a burden to the project.”
The project is being financed by PACE Equity, LLC, which pays upfront costs of the upgrades. Upon completion, the appraised property value will be approximately $6.6 million and the PACE authorized improvements will result in savings of $1,625,000 in utility and operating costs over the payback period.
In 2015, the County established the Pulaski PACE (Property Assessed Clean Energy) program to allow commercial property owners to fund and install approved energy efficiency, renewable energy and water conservation improvements by attaching the improvement cost to their property tax bill. Each energy savings project is amortized up to a 20-year period, providing the property owner with a cash-flow positive energy savings solution.
“Pulaski PACE puts the County at the forefront of providing a cost effective mechanism for implementing energy efficiency and minimizing companies’ environmental footprint,” said Pulaski County Judge Barry Hyde. “Through this project, the property owner is showing their commitment to being good stewards of resources, both environmental and financial. It is our hope that more property owners will take advantage of this cost saving program.”
Visit pulaskicounty.net/pulaski-pace to learn more about Pulaski PACE.