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Garrett County, Maryland Seal
Garrett County Government
301.334.8970 | [email protected]

MD-PACE Financing

MD-PACE, or Property Assessed Clean Energy Financing, Provides Access to Capital for Commercial Property Owners
What is MD-PACE Financing?
MD-PACE enables building owners (and builders) to access flexible, 100% upfront financing to improve their buildings' value.  MD-PACE allows the cost of improvements to be tied to the commercial building over an extended term for more advantageous financing.
PACE is a government policy based on the principle that commercial energy projects – such as installing solar equipment or improving a building’s heat recovery system – are public benefits like sewers, roads, and bridges. PACE authorizes counties to work with private capital providers to provide upfront financing to commercial property owners for qualifying improvement projects, and to collect the repayment through annual or semi-annual surcharges on the property’s tax bill.
For more about MD-PACE, visit the "What is PACE" webpage.
MD-PACE Requires 0% Down and Allows Long Payback Periods                       
  • Building owners can be cash flow positive from day 1
  • Underwriting is focused on the underlying building
  • Accessible to those with Non-Investment Grade Credit
MD-PACE Allows Tremendous Flexibility
  • Buildings that may sell before full payoff.
  • Buildings where tenants pay energy bill but owner finances upgrades.
  • Projects that have longer payback periods.
Owners with Tax Appetite Love PACE
  • Full realization of tax credits- including solar ITC
  • Accelerated depreciation benefits (MACRS)
Immediate Net Operating Income Improvement
  • Increases Net Operating Income- all PACE projects are cash flow positive
  • Doesn't tie up balance sheet with debt
  • Also increases value of underlying asset