True Green Capital Management (TGC), a specialized energy infrastructure asset management firm, today announced that its has closed on $42.8 million in debt financing and $41.1 million in tax equity financing supporting NY Solar Farms, a 70 megawatt community solar portfolio located in central and northeastern New York State.
The solar portfolio – one of the largest of its type comprising 10 projects across six different sites – is owned by TGC’s 3rd fund. Combined, TGC’s funds have approximately 400 megawatts of solar projects operating and over 200 megawatts under construction or development, including an additional 80 megawatts of NY community solar projects.
“Community solar projects are an important pillar of New York’s clean energy strategy,” said Chris Kirkman, head of project finance at TGC. “The NY Solar Farms portfolio is another example of how solar projects can support local economies and power homes and businesses while reducing our reliance on fossil fuels.”
Debt financing for the portfolio was provided by CIT Group Inc.’s Power and Energy Unit and NY Green Bank, a state-sponsored financial entity working to increase investments into New York’s clean energy markets. U.S. Bank, through its subsidiary U.S. Bancorp Community Development Corporation, provided tax equity financing for the portfolio. Both of these financings are believed to be the largest such investments in NY community solar to date. TGC anticipates expanding or replicating these facilities to partially finance its ongoing expansion of its NY community solar portfolio.
“CIT is one of the leading banks financing renewable energy projects,” said Mike Lorusso, managing director and group head for CIT’s Power and Energy unit. “We are excited to be working in this vital industry and pleased to assist True Green Capital with a financing package that supports the growth of community solar power in New York.”
“In any developing market such as this, U.S. Bank puts elevated focus on working with best-in-class sponsors and developers,” said Dan Siegel, senior vice president for U.S. Bancorp Community Development Corporation. “True Green Capital Management has proven themselves time and time again to be excellent partners and we are excited to be working with them on these job-creating projects that will provide solar access to a wide range of customers.”
Alfred Griffin, NY Green Bank President said, “To date, NY Green Bank has committed over $200 million in financing for community distributed generation and is pleased to be able to add financing towards True Green Capital’s 70 megawatt portfolio to our capital commitments. Their commitment to advancing infrastructure solutions with a focus on the sub-utility scale solar power segment will continue to play an important role in supporting New York’s nation-leading climate and clean energy goals under Governor Cuomo’s leadership.”