PACE Massachusetts

What’s the PACE Massachusetts advantage?

PACE Massachusetts offers more flexibility than a direct loan, allowing you to undertake comprehensive energy upgrades with longer financing terms of up to 20 years without adding new debt to your balance sheet. Savings from the upgrades can be used to repay the betterment over time which can be collected quarterly, semi-annually or annually. Additionally, at property sale, the assessment and lien are transferred to future property owners, who also benefit from the installed upgrades and will realize energy savings.

Other benefits include:

• Accelerated job creation, business growth, and environmental benefits for communities.
• Cash flow improvements and reduced credit risk for capital providers.
• Environmental relief and progress towards Massachusetts clean-energy goals.

Who’s eligible?

Owners of commercial and industrial buildings, owners of multifamily properties with five-plus units, and nonprofit organizations that own buildings.

What projects qualify?

PACE Massachusetts is used to finance energy efficiency and renewable energy improvements such as boilers and furnaces, chillers, motors and drivers, lighting, solar panels, insulation, air sealing, geothermal, solar hot water, energy management systems, energy recovery, and redistribution systems. For a complete list, please see Guidelines/Appendix B and Appendix M.

How does the program work?

Interested property owners can submit a completed PACE Massachusetts application detailing the type of energy improvement project they want to undertake – and demonstrating that the energy savings from the project will be greater than the cost (a requirement of the program). Applicants should choose a capital provider such as a bank or a PACE lender, to fund the project and to help finalize the application package. MassDevelopment can assist property owners with identifying funding options. Contact pace@massdevelopment.com.

How do municipalities opt-in?

Individual municipalities may allow owners to participate in PACE by opting in by a majority vote of the city or town council or the board of selectmen, as appropriate. For more information on starting the municipal opt-in process and to obtain a copy of the PACE resolution model, please email pace@massdevelopment.com.