The commercial business impact of Houston's record rainfall can be somewhat mitigated through the use of a new public-private partnership program. The program is called Property Assessed Clean Energy, or PACE for short.
The program is actually designed for energy efficiency improvements but if those energy efficiency improvements just happen to be for new high efficiency air conditioning units that replace older less efficient (and now underwater) air conditioning units, PACE can help. In the process, other energy efficiency improvements can be (completed), such as outdoor LED lighting, (new) insulation or a cool roof.
PACE gives the owner access to 100% long term fixed rate financing that is tied to the property (not the owner) but enables the owner to get the facility back in shape, more quickly, for the benefit of the tenants hurt by recent floods.
The process involves defining the project scope of work, determining if the savings are enough to service PACE payments and receiving appropriate acknowledgement from the existing lender. Identifying the project specifics ahead of time may enable the owner to receive a refund for monies already expended, subject to approval. The insurance proceeds would be handled separately between the property owner and the insurance company according to the terms of the property owner's policy.
The process involves defining the project, determining its eligibility, determining if the savings are enough to service the PACE payments. Approval is then needed from the existing lender, the local PACE administrator and the new long term lender.
For more information, contact PACE Houston's Tim Crockett at 713-530-7922