Volatility in capital markets has caused significant disruption in the commercial real estate market.
Nuveen Green Capital — the C-PACE financing division of Nuveen, the $1T+ asset manager — specializes in reliable and flexible bridge financing options.
Commercial Property Assessed Clean Energy (C-PACE) makes it possible for commercial property owners to obtain fixed-rate , low-cost, long term financing for a wide range of commercial and multifamily real estate projects, including:
Pre or Mid-Construction
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Cost overruns
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Replenish reserves
Refinance/ Pay-Downs
Project delays
Pre-stabilized, Lease up
Equity Buy-Out
Re-traded Loan Terms
Recapitalizations
Supply chain disruptions
Value for Sponsor
• Net proceeds up to 35% of property value
• Fixed interest rate ~7% with a long amortization (20-30 years from first payment date)
• Delayed first repayment — up to 24 months post-closing
• Non-recourse except for development projects which require a completion guarantee
• Financing secured via a non-accelerating property tax assessment (C-PACE assessment)
• Prepayable at any time subject to sliding scale prepayment fee
• No financial covenants after completion
Value for Lender
• Enhanced economics through blended pricing accretive to property level cash flows
• Fixed rate provides certainty for refinancing
• Long term provides optionality for refinancing
• De-risking construction period
• Control in a default
» No workouts
» Non-acceleration
» No restriction on foreclosure rights
• Ample cure periods
• Escrow of C-PACE assessment proceeds
Our Process
Nuveen Green Capital has funded over $1B of into hundreds of C-PACE assessments across
the country. We fully manage our deals from beginning to funding to servicing – providing
execution certainty and exceptional service. Nuveen Green Capital’s reputation in the industry is
second-to-none. Our process is fast and simple – we can fund bridge financings in as little as 30
days from term sheet execution.
Loan Parameters
Property Type
Office, industrial, multifamily, retail, hospitality, and non-profit
Loan Size
$2MM – $500MM
Interest Rate
10-Year Treasury + 260-300bps
Fees
1-2%
Term
20-30 year; shorter loan terms available
Amortization
Full term, 1-3 years of I/O, and sculpted amortization structures available; Actual/360
Loan to Value/ Loan to Cost
Maximum C-PACE + Mortgages LTC of 90% for new construction/rehab developments
Maximum C-PACE + Mortgages LTV of 95% for retrofit projects based on the as-stabilized or
as-complete property value
Total debt to cost ratios are subject to appropriate DSCR ratios and senior lender approval
Coverage
1.25x DSCR (1.1x allowed on multifamily assets in major metro areas)
Prepay
Tailored prepayment fees that step down over time
Recourse
Non-recourse upon completion
Why Use Nuveen Green Capital?
Nuveen Green Capital is a national leader in sustainable commercial real estate financing solutions and an affiliate of Nuveen, the $1T+ asset manager and wholly owned subsidiary of TIAA. The company, which was established by the C-PACE industry’s founders and standard-setters, has grown to offer a market-leading suite of accretive financing products for commercial real estate owners who seek to improve the energy, water and resiliency performance of their property. Nuveen Green Capital is a private capital provider dedicated to making sustainability a smart financial decision for the commercial real estate market and community.
