Financing the Home Energy Revolution
© 2014 Renovate America, Inc. All Rights Reserved.
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Whatis
PACE?
PropertyAssessed
CleanEnergy
© 2014 Renovate America, Inc. All Rights Reserved.
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PropertyAssessedCleanEnergy(PACE)
Amomentofopportunity:
•
Everyyear,1in6propertyownersreplaceasystem
thataffectsenergyconsumption
PACECommunityBenefits:
•
Reducedcarbonemissions
•
Lessenergyconsumption
•
Lowerutilitybills
•
Creationofnew,localjobs
•
Increasedpropertyvalues
© 2014 Renovate America, Inc. All Rights Reserved.
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BenefitstoGovernmentPartners
PrivateCapitalFundsPublicPolicyObjectives
ü Notaxpayermoneyorpublicrisk
ü Meetinglocalgoals
ü Real-timeimpactreporting
ü Housingstockismodernized
ü Consumerprotectionstandards
Mayor Sue Frost, Citrus Heights, CA
© 2016 Renovate America, Inc. All Rights Reserved.
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PACELoans:DoesSaleValueReflectImprovements?
JournalofStructuredFinance,Winter2016
• PACEhomesincreasedinvalue
$199- $8,883
• PACEhomessawnearlya$7,000
premiumwhenpurchasedfrom
foreclosure
• PACEhomeenergyrenovations
recovermorethan100%ofcost…
comparedto58%to66%recovery
forbathandkitchenremodels
© 2014 Renovate America, Inc. All Rights Reserved.
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Missouri
TheMissouriCleanEnergyDistrict(MCED)haspartneredwith
RenovateAmericatobringPACEfinancingtoMissouriproperty
ownersthroughtheHEROprogram.
RenovateAmericabringsprivatecapitaltomeetpublicpolicyobjectivesandistheonlycompanytowidelymarket
PACEbondswithsixsecuritizationscomplete.
Ourprovenmodelenablesustoprovide:
• Ongoingcapital
• Industry-leadingconsumerprotections
• Dependablesupportservices
• Comprehensivetechnologyinfrastructure
…allatnocosttogovernment.
© 2014 Renovate America, Inc. All Rights Reserved.
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HEROAdvantage
WhenyouhaveHEROinyourcommunityyouareprotectingpropertyownersbefore,duringanduponcompletion
ofeveryproject.
HEROFeatures:
•
100%Financing
•
ApprovalsBasedonHomeEquity
•
LowFixedInterestRates
•
5,10,15or20YearPaymentTerms
•
ConsumerProtections
HEROProducts:
Overonemillionmodelsofefficiency
productsqualify,including:
•
HVAC
•
Roofing
•
Windows&Doors
•
Insulation
•
Solar
© 2014 Renovate America, Inc. All Rights Reserved.
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HEROConsumerProtections
PROTECTION
HERO
HOMEEQUITY
LOANS
CREDITCARDS
ProductEligibility Check
ContractorRequirements
FairPricing Check
PermitRequirements
TermsConfirmation
FundingProvidedOnly UponSuccessful
CompletionofProjectandHomeownerSignOff
Pre- andPost-FundingDisputeResolution
© 2014 Renovate America, Inc. All Rights Reserved.
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HEROConsumer
Protections
Adherencetofairlendingprinciples:
• Underwritingprocesstoensure
eligibilitycriteriaismet
• Termsheetmodeledafter“Know
BeforeYouOwe”
• Protectionoffinancialdata
© 2014 Renovate America, Inc. All Rights Reserved.
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HEROProtectsElderlyConsumers
Complianceagentsprovidethefollowing
additionalservicesforelderlyprotection:
• In-homevisits(regularfollow-ups)
•
Contractor/propertyownermediation
services
•
LiaisewithElderProtectionOrganizations
•
100%resolutionofallreasonablematters
Additionalpreventativecontrolsinplacefor
homeownersovertheageof64:
• Trainedspecialistswhoaskspecific
questionstogaugepropertyowner’s
capacitytoenterintoacontract
•
Verbalconfirmationoffinancingterms
•
Verbalconfirmationfromhomeowners
beforecontractorsarepaid
© 2014 Renovate America, Inc. All Rights Reserved.
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HEROSupportsGovernmentPartners
HEROGov providesreal-timeaccesstodatasothatgovernmentpartnerscansee– atanytime– theimpactof
theprogramontheircommunity.
Features:
Up-to-theminutereportsprovidedataon:
•
Economicstimulus&impact
•
Environmentalimpact&savings
•
Drill-downonmetricsbycommunity
•
Abilitytoviewdifferenttimeperiods
© 2014 Renovate America, Inc. All Rights Reserved.
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TheHEROStoryinCalifornia– SuccessSince2012
70,500+homesimproved
$1.58+Billionfundedinupgrades
13,300+localjobscreated
$2.72+Billioninannualeconomicimpact
2.71+MilliontonsofabatedCO2 emissions
$2.53+Billioninutilitybillsavings
97
SaidthatHEROProgramRepresentativesare
friendly,knowledgeableandprofessional.
96
SaidthattheywouldrecommendtheHERO
Programtoafriendorrelative.
Numbers reflectHEROprogramlifetimeresultsthroughApril2016
© 2014 Renovate America, Inc. All Rights Reserved.
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PACEExpansion
• 32StateshavePACE-enablinglegislation
• CA,MO,andFL-- residentialPACEPrograms
• InCA,approximately90%ofhouseholdshavePACEavailabletothem.
OurMarketExpansionteamisactivelyworkingwithstateandlocalpartnersaroundthe
countrytomakeresidentialPACEavailable.
© 2014 Renovate America, Inc. All Rights Reserved.
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Financing the Home Energy Revolution
© 2014 Renovate America, Inc. All Rights Reserved.
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