X-Caliber, a national, direct commercial real estate lender focused on impact lending, announced today the launch of Rural PACE-X, a new, proprietary lending product that partners two of its platforms to provide one effective solution.
Rural PACE-X provides high-leverage financing for ground-up construction projects in micro-rural areas. It combines X-Caliber’s conventional senior-secured funding with CastleGreen’s Commercial Property Assessed Clean Energy (C-PACE) financing.
“Rural PACE-X supports a triple-threat social benefit for rural communities by encouraging economic development and creating jobs while promoting energy efficiency and sustainability,” said Sal Tarsia, Managing Partner, CastleGreen Finance.
Funds are intended to provide construction-through-stabilization financing for up to five years.
“This product allows us to combine highly effective solutions for our clients in underserved areas,” said X-Caliber Rural Capital’s Co-Founder Jordan Blanchard. “X-Caliber Rural Capital is the number one USDA Lender in the nation, and we recognized how pairing these two products could support larger projects in micro-rural areas that are also located in states where C-PACE is active.”
Rural PACE-X is available for most commercial real estate projects including hospitality, manufacturing, office, warehouse and logistics, flex, retail, mixed-use, multifamily, medical, senior care, and public works projects.
Here are some of the product’s highlights:
- Restricted to areas with populations under 20,000 and not part of a Metropolitan Statistical Area
- Ideal for states and localities that allow C-PACE (to achieve the highest loan-to-cost)
- Minimum project size $20MM, no maximum project size
- 75% to 85% LTC depending on the local statutes related to C-PACE
- Eligible for any fee simple real estate project that pays property taxes including hospitality, manufacturing, office, warehouse and logistics, flex, retail, mixed-use, multifamily