If there’s one thing California has in abundance, it’s sunshine.
With an average of 256 sunny days per year, Santa Rosa enjoys far more sunshine than the United States as a whole. Besides making it fairly easy to maintain a tan all year long, this sunshine is having an impact on the commercial real estate market as well as the statewide economy in the form of solar energy capture.
Impact Of Solar On Commercial Property Management
In past years, the deployment of solar projects in the commercial sector has been limited to large companies that own their property or have long-term leases. This is unfortunate as small to medium-sized commercial operations would benefit from the money-saving aspects of on-site solar, not to mention the collective benefit to the environment.
Recently, financiers have moved to close this gap with the creation of solutions that make solar projects possible for a larger range of commercial property owners. Property Assessed Clean Energy (PACE) is a simple way for property owners to add value to their holdings while also making it easier for commercial property management companies to attract the highest quality tenants via attractive solar offerings.
How Does PACE Work For Commercial Property Owners?
“PACE statutes authorize municipalities and counties to work with private sector lenders to provide upfront financing to property owners for qualified projects, and to collect the repayment through annual assessments on the property’s real estate tax bill. The term of PACE financing may extend up to 20 years, resulting in utility and other cost savings that exceed the amount of the assessment payment. PACE legislation for commercial property has been adopted in 29 states and the District of Columbia.”
As your commercial property management experts in Santa Rosa, North Bay Property Advisors is dedicated to keeping commercial property owners educated and updated on developments like PACE that could improve their profits and tenant retention rates.
Want to know more about how solar fits into commercial property management? Contact us today.