First C-PACE Financed Deal in Baltimore Fuels Energy Efficient Buildout by Volunteers of America Chesapeake.
- Volunteers of America Chesapeake continues re-development of 4900 E. Monument St by building out final 5,000 square feet into offices and a community resource center for the broader community in support of returning citizens.
- Greenworks Lending, provides $785,000 in long-term capital, to fund energy efficient and water conservation aspects of building improvements
- Repayment will be completed through Maryland’s Commercial PACE (C-PACE) program, a public-private partnership funding energy efficient and renewable capital improvements through special tax assessments.
- Councilman Eric Costello (District 11) registers support of the C-PACE program and calls for utilization by commercial property owners and developers.
Baltimore, MD – Volunteers of America Chesapeake (VOAC) is developing 5,000 square feet of its residential re-entry facility at 4900 E. Monument St. in Baltimore, MD to expand its office space and community resource center, with energy efficiency in mind. The lighting, insulation, water conservation, heating and cooling elements of the build out have been financed by Greenworks Lending through the State’s Commercial Property Assessed Clean Energy (C-PACE) program.
The application of C-PACE financing, which allows for commercial property owners to finance energy efficient and renewable energy capital improvements through a special property tax assessment is the first of its kind in Baltimore. Legislation to enable the financing structure was passed in late 2016 and supported widely as a tool to help redevelop aging properties explained Gerard K. Neely, Program Manager for Maryland Commercial PACE.
“C-PACE financing makes energy efficiency and renewable energy projects a smart business decision,” suggested Greenworks Lending Co-founder and CEO Jessica Bailey. “This first project in the Baltimore market is exciting because of the region’s focus on economic development and the capacity for our financing to support the reduction of operating expenses as commercial properties are reinvented, re-positioned, built anew or simply updated.”
The Volunteers of America Residential Re-Entry Center is an adaptive reuse of an existing steel fabrication warehouse that was initially completed by AZOLA Building Rehabilitation Inc. in 2013. Azola teamed up with Volunteers of America, Chesapeake to design and build their 148 bed residential re-entry center (RRC). The building’s high ceilings and wide column spacing allowed for all functions of their operation to be under one roof. The facility includes the residential living quarters, offices, classrooms, a large commercial kitchen and cafeteria, and an indoor basketball court. This second stage renovation builds out a previously unutilized 5,000 square feet to house a community resource center and additional offices.
“By utilizing this space, and doing so with energy efficiency in mind, we are able to accomplish a number of goals including adding value to our property, increasing our ability to service residents and the East Baltimore community, as well as leasing space to third party service providers,” explained Russell Snyder, Volunteers of America, Chesapeake’s CEO. “By financing the energy saving components of our construction through C-PACE we can maximize our working capital for this expansion on the front side of E. Monument Street.”
“C-PACE can be an important piece of real estate development and re-development strategies,” stated Jayson Williams, President and CEO of Mayson Dixon Strategic Consulting, who introduced Volunteers of America Chesapeake to Greenworks Lending. “It is great to see needed resources such as C-PACE financing made available to non-profit organizations like Volunteers of America Chesapeake, Inc. who are making a significant impact in serving Baltimore’s returning citizens,” Williams continued.
While the Volunteers of America Chesapeake project ensures the new space’s operational efficiency for years, the impact of Greenworks Lending’s financing on a city level is poised to add up as well.
“Baltimore is committed to promoting C-PACE financing among commercial property owners and developers in the City,” stated Baltimore City Councilperson Eric Costello (District 11). “We look at the capital private firms such as Greenworks Lending provides through the program as a way to facilitate investment in the City’s redevelopment, support job growth in the clean energy sector, and help grow our City without any burden to the budget or taxpayers.”
About Greenworks Lending:
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 property owner investment in renewable energy and energy efficiency projects through state legislated C-PACE (Commercial Property Assessed Clean Energy) programs on a national level. For more information visit www.greenworkslending.com.
About Volunteers of America Chesapeake:
Volunteers of America Chesapeake, Inc. is a faith-based, non-profit organization whose mission is inspire self-reliance, dignity and hope through health and human services. Founded in 1896 in Baltimore, MD Volunteers of America Chesapeake was one of the first branches of Volunteers of America – one of the Nation’s leading comprehensive health and human services organizations providing support to our communities most vulnerable individuals and families. Volunteers of America Chesapeake serves over 4,500 men, women and children in the Mid-Atlantic Region.