Mortgage Holders
C-PACE provides an affordable, long-term financing opportunity that empowers borrowers to install qualifying energy and water savings projects. Property Owners must obtain consent from all mortgage and lien holders before PEA will approve their C-PACE projects.
How It Works
Mortgage and lien holder notification and consent are required per the Pennsylvania C-PACE statute and Philadelphia C-PACE ordinance.
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Rationale for Consent
Over 200 financial institutions have consented to C-PACE financings throughout the country. See the Lender Consent Guide on the Resources page for more details.
Lenders provide consent for many reasons:
• C-PACE financed projects generally reduce building operating costs, thereby increasing a property’s cash available for debt service.
• C-PACE projects generally add new equipment to a building, thereby increasing the mortgage holder’s collateral.
• C-PACE payments do not accelerate.
• Projects financed through C-PACE often reduce maintenance and repair costs, and improve a building’s health and comfort, making it more attractive to tenants and future owners.
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Notification from Property Owner
The Property Owner must notify all mortgage and lien holders of its intent to execute a C-PACE financing.
A draft notice is included in Appendix J of the Program Guidelines, which can be found on the Resources page.
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Consent from Mortgage/Lien Holders
Property Owners must receive consent from all mortgage and lien holders prior to PEA’s approval of a C-PACE project’s Final Application.
A form of consent is included in Appendix J of the Program Guidelines, which can be found on the Resources page.
Have questions?
Visit the FAQs page or contact PEA to learn more about the C-PACE process.
Learn MoreRelated Resources
What is C-PACE?
C-PACE is a financing structure that allows commercial property owners to borrow money for energy and water efficiency improvements and renewable energy installations via a special assessment similar to a property tax assessment.
Learn MoreReady to Apply?
Complete the form on application page or contact us for more information.
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