The CT Solar Lease was a financing product developed in partnership with a tax equity investor (US Bank) and a syndicate of local lenders (First Niagara Bank and Webster Bank). CT Green Bank provided a US$3.5 million loan loss reserve in combination with US$2.3 million in subordinated debt and US$7.2 million in equity.
SL2 enabled lease and power purchase agreement (“PPA”) financing for residential and commercial-scale solar PV systems in Connecticut installed by an array of independent contractors. The CT Solar Lease is the first fund to secure solar leases and PPAs using a PACE lien, a lauded innovation. SL2 was an overwhelming success; the program’s capacity (over $70 million) was fully utilized, with nearly 1,200 residential systems and dozens of systems of commercial-scale projects accounting for over 20 megawatts of new distributed deployment.