MIAMI - Global law firm Reed Smith today announced that it has advised North Bridge, a sustainable financing lender and servicer, on a $42 million commercial property assessed clean energy (C-PACE) loan to HB Capital Group, a privately held real estate investment company, as part of a renovation of the historic Newport Beachside Hotel & Resort in Sunny Isles Beach, Florida. This marks the largest C-PACE transaction in Florida to date.

Related Professionals: Randy S. Eckers Nicoletta Lakatos

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C-PACE is a financing option for energy efficiency and renewable energy improvements on a commercial property. Like other project financing, C-PACE uses borrowed capital to pay for the costs associated with energy efficiency, renewable energy and sustainable improvements. Unlike other project financing, the borrowed capital is repaid over time via a voluntary tax assessment. The security provided by the tax assessment affords the borrower certain benefits including longer term financing and transferability of the repayment obligations to subsequent property owners.

The Reed Smith real estate finance team advising on this matter was led by partner Randy Eckers and associate Nicoletta Lakatos.

Additional information pertaining to this transaction can be found in this article in Commercial Observer.