Aug 31 2013
Sol Systems continues its success in financing mid-market commercial solar projects, and recently secured an investor for a 500 kW North Carolina project in a matter of weeks. The system, located in Clayton, North Carolina was funded through a larger multi-megawatt portfolio.
Blue Green Solar, LLC developed the 500 kW project in Clayton, NC with funding from one of Sol System’s investor partners.
Heath McLaughlin, the Founder of Blue Green Energy, LLC and the developer of the project commented: “We see Sol Systems as a valuable resource to developers hoping to receive qualified funding for solar projects. Sol Systems found us an investor at the right price point and helped to support the transaction on a tight deadline. It was a good experience to work with their team, and we very much appreciate their dedication and support.”
Single-site solar projects in the 250 kW – 1 MW size range typically face financing difficulties due to high transaction costs. Projects in North Carolina are especially challenging because the 35% tax credit is a critical piece of the financing, yet there is limited demand for North Carolina state tax credits. Sol Systems’ unique approach of working hand-in-hand with a diverse group of investor clients provided significant advantages to ensuring a financing solution for Blue Green.
“Our focus on velocity and efficiency sets us apart,” said Andrew Gilligan, who helps lead Sol Systems’ Investor Advisory Services. “In this case, our ability to move rapidly was crucial to getting the project financed. We quickly identified an investor client that fit the needs of a project, and worked with our developer client to support an efficient project financing process. This is a great example of the value that we provide to both our developer and investor clients.”
The transaction marks another success story for Sol Systems’ initiative to provide innovative financing solutions for distributed generation projects, specifically in the commercial sector. The middle market has tremendous potential, but is limited by financing options. In the past three months alone the Sol Systems team has arranged financing for 10 projects ranging from 225 kW to 1.2 MW in size. To date, Sol Systems has successfully facilitated financing for approximately 55 MW in solar energy projects throughout the United States, and plans to arrange over $100 million in solar project development in 2013.