Petros PACE Finance Closes $10 Million Equity Round Led by Alex Rodriguez

Entrepreneur and former MLB All-Star leads expansion funding round for Petros

AUSTIN, TEXAS (January 18, 2018) – Petros PACE Finance (www.petros-pace.com) has closed on a $10 million equity round led by Alex Rodriguez and his investment firm, A-ROD Corp.

The investment marks the largest single funding round to date for the Austin-based company and will be used to fund the continued nationwide expansion of Petros’ Commercial Property Assessed Clean Energy (C-PACE) financing business.

“Alex is a highly accomplished and well-respected businessman with unmatched relationships in the commercial real estate industry, and we’re excited to have him as an investor and board member,” said Co-Founder and CEO Mansoor Ghori. “Petros had a terrific year and marked several major milestones in 2017. This investment will help fuel our expansion in this growing industry for an even better 2018.”

Mr. Rodriguez has successfully invested in commercial and residential real estate since 2004. His portfolio includes the ownership and management of more than 10,000 multifamily apartment units in 10 states.

“Commercial PACE is a nascent industry with tremendous growth potential,” said Alex Rodriguez, CEO of A-ROD Corp. “I’m excited to invest in Petros PACE and look forward to leveraging my real estate experience to help the company expand and introduce this innovative financing tool to commercial property owners in new markets across the nation.”

“We are not only excited about A-ROD Corp’s significant commercial real estate holdings for PACE lending opportunities for Petros, but also about their relationships with other significant capital sources that will enable Petros to further expand our funding platform as we prepare to expand rapidly across the country over the next several years,” said Jim Stanislaus, Co-Founder and CFO.

Petros is the leading financier of long-term capital for energy efficiency, renewable energy, water conservation, and seismic upgrades to commercial, multifamily and industrial properties in the U.S. It is also one of the first specialty finance firms in the U.S. to dedicate all of its resources to the commercial PACE market nationwide.

Petros achieved several major milestones in 2017, growing over 100 percent year over year. In 2017, Petros funded transactions in seven different states, the widest footprint in the C-PACE industry, and was also the first to close transactions in four of those states. The company also co-financed the largest deal in C-PACE history at the time of closing.

Currently available in 33 states and Washington, D.C., PACE financing makes comprehensive clean energy projects possible on a broader scale for the first time by:

• Providing up to 100 percent financing to commercial property owners in order to fund energy efficient projects that deliver deep energy cost savings through the life of the loan.
• Rendering a non-recourse private loan into a property tax obligation and enabling lenders to grant longer terms of up to 30 years or the useful life of the upgrades.
• Allowing commercial property owners to increase the value of their existing buildings by reducing total energy costs and increasing net operating income.

For more information visit http://www.petros-pace.com.

Petros PACE Finance

Austin-based Petros PACE Finance, LLC is solely dedicated to providing long-term PACE financing to U.S. commercial property owners seeking to increase their property values and reduce their carbon footprint. The principals of Petros PACE Finance – Mansoor Ghori, Jim Stanislaus and Tommy Deavenport – have executive level, deep expertise in all four critical aspects for commercial PACE: commercial lending, structured finance, debt fund management, and long-term, direct relationships with some of the nation’s largest institutional investors.

Media Contact: Kate Miller Morton
Phone: (512) 922-6277

PETROS PACE HIRES JAKE KELLEY AS SENIOR VICE PRESIDENT OF ORIGINATIONS

Kelley brings 17 years of experience in commercial real estate finance to new role

AUSTIN, TEXAS (November 20, 2017) — Petros Pace Finance LLC has hired Jake Kelley as Senior Vice President of PACE Originations, strengthening its senior management team as the company continues to expand nationally.

A 17-year veteran in the commercial real estate finance business, Mr. Kelley joins Petros from Redbud Capital, an Austin-based boutique advisory business he founded that focuses on arranging debt and equity capital on behalf of institutional and private commercial real estate investors and developers.

Prior to forming Redbud Capital, he led JLL’s Capital Markets business in Central Texas. He is also a former partner in Lehman Brothers’ Global Real Estate Group based in London and Morgan Stanley’s CMBS group based in New York.

“We’re pleased to have Jake on board and excited about the depth of knowledge and experience in commercial real estate financing that he brings to our team,” said Petros CEO Mansoor Ghori. “He’s a great fit for the expansive growth we’ve experienced over the last 12 months and expect will continue next year.”

Petros PACE Finance

Austin-based Petros PACE Finance, LLC is solely dedicated to providing long-term PACE financing to U.S. commercial property owners seeking to increase their property values, lower their energy costs and reduce their carbon footprint. The principals of Petros PACE Finance – Mansoor Ghori, Tommy Deavenport and Jim Stanislaus – have substantial experience in structured finance and lending, and bring significant value to all parties involved in the transactions in which they participate.

Media Contact: Kate Miller Morton
Phone: (512) 922-6277

PETROS PACE FINANCE CLOSES $1.3 MILLION C-PACE LOAN IN HOUSTON

First C-PACE loan for office retrofit in Texas to save owner $3.66 million over 20 years

AUSTIN, TEXAS (November 16, 2017) — Petros PACE Finance has closed on a $1.3 million Commercial Property Assessed Clean Energy (C-PACE) transaction that will fund significant energy efficiency upgrades to a Houston office building that are projected to save the owner more than $3.66 million over the term of the 20-year loan.

Property owner 1225 North Loop Investments, Inc. plans to install new chillers with associated water pumps, variable speed drives and air handlers, a building control system and LED lighting in the 200,400-square foot building 1225 North Loop West.

The project will be financed without any out-of-pocket expense to the investment group through the City of Houston commercial PACE program, which allows commercial property owners to retrofit their buildings with renewable energy and energy and water efficient systems by borrowing money from a private lender and repaying the loan via a special assessment on their local property tax.

“Outdated mechanical and building systems result in higher utility and operating costs for landlords and tenants, but financing energy efficiency upgrades is often a challenge for owners of older buildings,” said Petros CEO Mansoor Ghori. “This C-PACE loan will finance the improvements to 1225 North Loop West at no cost to the owner while spreading the cost out over many years with the certainty of a fixed-rate loan.”
“PACE introduces a new solution for building upgrades, at no additional cost to the owner,” said Seth Eslami, vice president of Stellar International, which manages the property. “The savings in energy costs will pay for the upgrades while leading the path to a greener future.”
This project marks the first time that any C-PACE program in Texas has been used to fund energy efficiency improvements to a multitenant office building.

“PACE Houston is pleased to have facilitated the first multi-tenant office building PACE project in the State of Texas,” said PACE Houston Energy Efficiency Solutions President Tim Crockett. “Petros showed its substantial expertise throughout the underwriting process of this project. We believe this project will demonstrate the huge value PACE can provide a building owner and thus lead to more owners using this powerful tool.”

Completed in 1984, 1225 North Loop West already rivals or outperforms many newer office buildings when it comes to energy efficiency. The Class A building meets more than 50 percent of its electricity needs through renewable wind sources and has received six ENERGY STAR awards since 2010.

The upgrades are expected to save the building owner more than 1.5 million KWH in energy use and $2.9 million in energy costs over 20 years. Utilizing the C-PACE program, the owner also can take advantage of tax-related benefits in the form of annual interest deductions and equipment depreciation along with any eligible rebates.

Petros is one of the first specialty finance firms in the U.S. to dedicate all of its resources to the commercial PACE market nationwide. This is the eighth C-PACE loan that Petros has funded in Texas and its second in Houston.

Currently available in 32 states and Washington, D.C., PACE financing makes comprehensive clean energy projects possible on a broader scale for the first time by:

• Providing up to 100 percent financing to commercial property owners in order to fund energy efficient projects that deliver deep energy cost savings through the life of the loan.
• Rendering a private loan into a property tax obligation and enabling lenders to grant longer terms of up to 30 years or the useful life of the upgrades.
• Allowing commercial property owners to increase the value of their existing buildings by reducing total energy costs and increasing net operating income.

For more information visit http://www.petros-pace.com.

Petros PACE Finance

Austin-based Petros PACE Finance, LLC is solely dedicated to providing long-term PACE financing to U.S. commercial property owners seeking to increase their property values and reduce their carbon footprint. The principals of Petros PACE Finance – Mansoor Ghori, Tommy Deavenport and Jim Stanislaus – have substantial experience in structured finance and lending, and bring significant value to all parties involved in the transactions in which they participate.

Media Contact: Kate Miller Morton
Phone: (512) 922-6277

PETROS PACE FINANCES ENERGY EFFICIENCY IMPROVEMENTS AT THE WHITNEY

Project enabled by $863,130 C-PACE loan to save owner $2 million over 20 years

AUSTIN, TEXAS (August 21, 2017) — Petros PACE Finance has closed on an $863,130 Commercial Property Assessed Clean Energy (C-PACE) loan with The New Whitney Real Estate, LLC that will fund significant energy efficiency improvements at Detroit’s most iconic mansion, The Whitney.

Constructed in 1894, the 22,000-square foot mansion was built by lumber baron David Whitney, Jr. and currently houses the popular fine dining restaurant The Whitney and the upscale lounge Ghostbar.

Property and restaurant owner Arthur “Bud” Liebler plans to invest the money in new HVAC units, LED lighting, building controls, storm windows and kitchen ranges, which together are expected to generate more than $2 million in utility and operations and maintenance savings over the 20-year term of the loan.

The project will be financed without any out-of-pocket expense to The Whitney through the Lean & Green Michigan PACE program, which allows commercial property owners to retrofit their buildings with renewable energy and energy efficient systems by borrowing money from a private lender and repaying the loan via a special assessment on their local property tax.

“Inefficient energy use and high utility costs are a common challenge for historic property owners,” said Petros CEO Mansoor Ghori. “The PACE program makes it incredibly easy for property owners to invest in energy efficiency by spreading the cost out over many years — 20 years in this case — and making the investment cash flow positive for the borrower from day one.”

Purchased by Mr. Liebler in 2007, the 52-room mansion last received a major upgrade to its mechanical systems in the 1980s.

“The PACE program gives building owners and businesses like ours an incredible opportunity to update old systems without dipping into operating funds,” Liebler said.  “You end up with an up-to-date and totally energy efficient property and have the energy savings benefits while you’re paying back the loan.  It’s a win-win for everyone.” 

This is the Wayne County C-PACE program’s first project and reflects the county’s commitment to helping existing local businesses thrive and grow.

“I am pleased Wayne County, through the C-PACE program, can help The Whitney become more efficient without our taxpayers incurring the costs,” said Wayne County Executive Warren C. Evans. “This is the first project in what I expect to grow into a larger effort to help our businesses become greener. My team and I are excited to connect other local businesses with PACE.”

Petros is one of the first specialty finance firms in the U.S. to dedicate all of its resources to the commercial PACE market nationwide. This is the sixth PACE loan that Petros has funded in Michigan.

“Anyone who knows Detroit knows The Whitney, which has stood sentinel on Woodward Avenue through all our ups and downs since the days of the lumber barons,” said Andy Levin, president of Lean & Green Michigan. “It is beyond gratifying to help make this gorgeous Detroit fixture a symbol of our smart, low carbon future.”

Currently available in 32 states and Washington, D.C., PACE financing makes comprehensive clean energy projects possible on a broader scale for the first time by:

• Providing up to 100 percent financing to commercial property owners in order to fund energy efficient projects that deliver deep energy cost savings through the life of the loan.
• Rendering a private loan into a property tax obligation and enabling lenders to grant longer terms of up to 30 years or the useful life of the upgrades.
• Allowing commercial property owners to increase the value of their existing buildings by reducing total energy costs and increasing net operating income.

For more information visit http://www.petros-pace.com.

Petros PACE Finance

Austin-based Petros PACE Finance, LLC is solely dedicated to providing long-term PACE financing to U.S. commercial property owners seeking to increase their property values and reduce their carbon footprint. The principals of Petros PACE Finance – Mansoor Ghori, Tommy Deavenport and Jim Stanislaus – have substantial experience in structured finance and lending, and bring significant value to all parties involved in the transactions in which they participate.

Media Contact: Kate Miller Morton
Phone: (512) 922-6277

PETROS PACE FINANCE CLOSES FIRST DEAL IN WASHINGTON, D.C.

$531,350 C-PACE loan to D.C. Baptist Convention to fund energy-saving retrofits

AUSTIN, TEXAS (July 25, 2017) — Petros PACE Finance has closed its first Commercial Property Assessed Clean Energy (C-PACE) transaction in Washington, D.C.

The $531,350 loan to the District of Columbia Baptist Convention will fund cost saving energy retrofits in the 58-year-old building owned by the non-profit organization at 4025 9th Street SE.

“Petros PACE is excited to close our first deal in the Washington, D.C. area as we continue to expand nationwide,” said Petros CEO Mansoor Ghori. “Energy retrofits can be difficult for any property owner to finance, and that’s especially true for non-profits. This loan will enable the D.C. Baptist Convention to invest in long-term energy savings without any negative impact on its budget or ability to carry out its mission.”

The new HVAC units, LED lighting and windows along with upgraded electrical infrastructure and building envelope improvements are expected to save the D.C. Baptist Convention more than $800,000 over the life of the project and create a more comfortable learning environment for the students at The Early Childhood Academy, which leases the majority of the 15,000-square-foot building.

The project will be financed without any out-of-pocket expense to the D.C. Baptist Convention through the D.C. PACE program, which allows commercial property owners to retrofit their buildings with renewable energy and energy efficient systems by borrowing money from a private lender and repaying the loan via a special assessment on their local property tax.

Petros is one of the first specialty finance firms in the U.S. to dedicate all of its resources to the commercial PACE market nationwide.

Currently available in 32 states and Washington, D.C., PACE financing makes comprehensive clean energy projects possible on a broader scale for the first time by:

• Providing up to 100 percent financing to commercial property owners in order to fund energy efficient projects that deliver deep energy cost savings through the life of the loan.
• Rendering a private loan into a property tax obligation and enabling lenders to grant longer terms of up to 30 years or the useful life of the upgrades.
• Allowing commercial property owners to increase the value of their existing buildings by reducing total energy costs and increasing net operating income.

For more information visit http://www.petros-pace.com.

Petros PACE Finance

Austin-based Petros PACE Finance, LLC is solely dedicated to providing long-term PACE financing to U.S. commercial property owners seeking to increase their property values and reduce their carbon footprint. The principals of Petros PACE Finance – Mansoor Ghori, Tommy Deavenport and Jim Stanislaus – have substantial experience in structured finance and lending, and bring significant value to all parties involved in the transactions in which they participate.

Media Contact: Kate Miller Morton
Phone: (512) 922-6277