October 26, 2020
For Immediate Release
Media contact: Tom Deyo, Montgomery County Green Bank Chief Executive Officer, at firstname.lastname@example.org
ROCKVILLE – The Montgomery County Green Bank (“Green Bank”) and City First Enterprises (“City First”) are offering flexible, affordable financing to help Montgomery County businesses address needed energy efficiency and health-related improvements that can aid recovery from the economic impacts of COVID-19. Stockbridge condominiums became the first local commercial entity to use a loan under the program to improve its operating budget and gain savings.
“The projects funded under this program will help many businesses that are seeking to reduce operating costs, reopen and grow,” said Tom Deyo, Green Bank CEO. “This crisis is challenging because many businesses need to manage operating budgets while increasing investment in new mechanical systems and physical safety measures to make tenants and customers feel comfortable with returning. The Green Bank/City First program can help businesses implement improvements while preserving cash and reaping the benefits of energy efficiency savings.”
The Small Business Energy Savings Support Program offered by the Green Bank and City First is a flexible financing option that offers lower-cost financing and varied repayment terms for energy efficiency that can help businesses reduce their operating costs as well as improve work and living environments.
“Flexible is key to helping businesses at this time,” said Oswaldo Acosta, CEO of City First Enterprises. “The Green Bank and City First came together quickly as the pandemic hit and identified a need to be flexible and available to respond to market needs. Within 45 days we had defined a program, put our resources together, and moved to bring the program to market.”
Businesses with up to 500 employees can access loans from $10,000 to $150,000 for up to five-year terms at interest rates of 3% to 5%. The terms include repayment options to meet business needs, including interest-only payments for six months or payment deferrals for three months. Each borrower will be underwritten on a streamlined basis using their capacity for undertaking the loan and their energy savings from the system upgrades.
“Our condominium needed to find ways to save money and reduce operating costs during this unprecedented time,” said David Gardner, Attorney for Stockbridge Condominium Association. “The Manager worked with a contractor and identified significant savings in lighting but needed a bridge in funding to cover the costs. The Green Bank/City First financing offered us terms that helped fund the project with the savings and still have funding left over to immediately reduce our operating costs.”
The Green Bank also collaborates with Pepco and other utility partners to help bring energy efficiency projects to fruition and be the most cost effective. For this project, the Green Bank, Stockbridge, and the contractor worked closely with Pepco to secure substantial Small Business incentives that will help offset the costs of this project.
The Montgomery County Green Bank’s Small Business Energy Savings Program is available to Montgomery County businesses and is an example of how the Green Bank can bring valuable investment to the county to meet its energy savings and healthy-building needs.
“The capital needs in the county are vast at this time as the market seeks to recover from COVID-19,” Deyo said. “The Green Bank and City First share a common mission to help small businesses operate more efficiently and address key energy and health-related property improvements.”
The Montgomery County Green Bank is an independent, 501(c)(3) nonprofit dedicated to helping businesses and residents affordably implement energy efficiency and clean energy solutions. The Green Bank supports the county by driving investment into energy efficiency and clean energy through lending and investment partners in the region. These efforts include working with homeowners, renters, and commercial entities of all varieties. For more information, visit www.mcgreenbank.org.
City First Enterprises is a 501(c)(3) nonprofit and a Community Development Financial Institution (a designation by the US Treasury). City First operates principally through the Equitable Growth Fund, which provides accessible debt capital to groups working in affordable housing, small businesses, education, nonprofits, education, community facilities, and commercial real estate in the Washington, DC, Maryland, and Virginia areas. Visit www.cfenterprises.org for more information.