LANSING—An elementary school that closed in 2000 is being redeveloped into an energy-efficient multi-family housing building with the aid of Property Assessed Clean Energy (PACE) financing.
The building in question, at 1030 S. Holmes St. in Lansing, will see $824,000 financed to add improved heating, ventilation, and air conditioning equipment, better insulation, better windows, better doors, and LED lighting to the structure, saving $4.2 million in energy use over 25 years.
The three-story building will include 47 studio and one-bedroom apartments.
PACE financing provides long-term financing of energy efficiency upgrades, renewable energy installations, and other green building imrpovements for residential, commercial, and industrial property owners.
Rather than traditional loans used to finance these improvements—which typically require repayment long before they pay for themselves in energy savings—PACE financing is applied to the building as a special property tax assessment that is repaid over up to 25 years. And like any other property tax assessment, the PACE financing is sold with the building should it change hands. Some 28 of Michigan’s 83 counties have approved PACE financing in their jurisdictions, along with 20 cities.
“The city of Lansing and other community members worked very hard to rehabilitate this property for a long time,” said Matt McNeil of Dymaxion Property Management Group. “We’re happy to be the ones to finally deliver on a project that will breathe new life into a building that serves as the nucleus of a neighborhood. Our mission in each project is to improve community and neighborhoods through development. 1030 Holmes is no exception. PACE served as an excellent economic development incentive to help make this happen. We are so excited to have an excellent partnership with Lean & Green Michigan as well as PACE Loan Group. This team and program have made this project feasible.”
For more about PACE financing, contact Lean & Green Michigan at https://leanandgreenmi.com.