Stonehill PACE provides $16.3 million C-PACE loan to Washington state project

STONEHILL PACE, THE Property Assessed Clean Energy financing division of Stonehill, has provided $16.3 million in its first commercial property assessed clean energy (C-PACE) financing in Washington, a statement said. The loan is for the Cornus House, a new 199-unit multifamily project with 1,233 square feet of retail development in Tacoma, Washington.

The C-PACE financing is over a 30-year term and will fund lighting, covered process, seismic and qualifying soft costs, according to Stonehill PACE. The project development is expected to start before the year end and is scheduled to be finished by Nov. 1, 2024.

“For eligible projects, C-PACE financing remains one of the more attractive venues to get a project over the finish line,” said Jared Schlosser, Stonehill’s senior vice president and head of Stonehill PACE. “The Cornus House is a great project in a strong market led by a savvy ownership group with 30-plus years of commercial real estate experience and a portfolio of more than 800 apartments. This C-PACE financing is the final piece to complete the financing puzzle.”

In February, Stonehill PACE completed approximately $150 million in commercial property assessed clean energy (C-PACE) loans over the previous 12 months. The loans can be applied to renewable energy and energy-efficient components and seismic retrofitting within the hospitality, multifamily, senior living, industrial and mixed-use real estate sectors.

Last month, Stonehill CRE, the commercial real estate group of the firm, originated and purchased $200 million in first mortgage loans since being launched in the second quarter of 2022. Stonehill, led by Matthew Crosswy as president and principal, is a division of Atlanta-based Peachtree Group, led by Jatin Desai and Mitul Patel as managing principals, Greg Friedman as managing principal and CEO.

During the recent Lodging Conference in Phoenix, members of Peachtree’s leadership team released the latest numbers for its development pipeline. By the end of this year, it expects to have opened or broken ground on 15 hotels, primarily select service, adding 1,500 rooms, and was expecting to reach a development record.