Commercial program terms
Residential program terms

Commercial Programs

Borrower Eligibility:
Commercial and industrial (C&I) property owners, including nonprofits and multifamily properties.

(Not suitable for condominiums)

Eligible Properties:
Property must be in Montgomery County, MD.

C&I properties or businesses and rental apartment buildings of 5 or more units.

Eligible Clean Energy Measures:
  • Energy Efficiency
  • Renewable Energy
  • New construction and retrofit projects
  • Energy savings measures
  • Energy storage
  • Solar PV
  • Geothermal
  • Combined heat and power
  • EV Charging stations
Participating Lenders:
Search the Directory here. Filter by “C-PACE”
Loan Size:
Minimum: $5,000

Maximum: 20% LTV for existing buildings

Maximum: Up to 20% LTV for new construction depending on code exceedance

Maximum: 90% total debt to value on property.

Financing Available:
Up to 100% financing
Financing Terms:
Type:  Non-accelerating term loan.  Repaid through PACE surcharge on property tax.

Term:  Up to 20 years

Rates:
Rates vary by Participating Lender and are based on several factors, including borrower’s credit, size of loan, term, and market conditions.
Collateral:
Recording of surcharge assessment as a priority lien on property owner’s property tax.

Must have first lender’s consent.

Borrower Eligibility:
Commercial and industrial (C&I) property owners, including nonprofits, common ownership community associations, and multifamily properties.

Tenants of commercial properties with consent of the property owner for improvements.

Eligible Properties:
Property must be in Montgomery County, MD.

C&I properties or businesses, rental apartment buildings of 5 or more units, condominiums, Homeownership Communities. (Condos and HOAs can be outside of Pepco service area.)

Eligible Clean Energy Measures:
  • Energy Efficiency
  • Renewable Energy
  • Measures in Pepco’s C&I energy savings program.
  • Energy storage
  • Solar PV
  • Geothermal
  • Combined heat and power
  • EV Charging stations
  • Loan can include up to 30% of costs for other improvements related to energy saving improvements.
Participating Lenders:
Sandy Spring Bank

Latino Economic Development Center

Loan Size:
Minimum: $15,000
Financing Available:
Up to 100% financing
Financing Terms:
Tenor:  2 to 12 years.

Fixed rate term loan financing.  Loans over 7 years have a one time step up in rate in Year 7.

Rates:
Rates vary by Participating Lender and are based on several factors, including borrower’s credit, size of loan, term, and market conditions.
Collateral:
UCC-1 and other filings, including fixture filings, as required by the Participating Lender. Guarantee requirements as appropriate.
Borrower Eligibility:
Small businesses with fewer than 500 employees, including nonprofits, common ownership community associations, and multifamily properties.

Tenants of commercial properties with consent of the property owner for improvements.

Eligible Properties:
Property must be in Montgomery County, MD.

C&I properties or businesses, rental apartment buildings of 5 or more units, condominiums, Homeownership Communities.

Eligible Clean Energy Measures:
Projects must include a renewable energy or energy efficiency component that generates energy savings or cost savings benefits.

Loan can include up to 30% of costs for other improvements related to energy saving improvements.

Participating Lenders:
City First Enterprises
Loan Size:
Minimum: $10,000

Maximum:  $150,000

Financing Available:
Up to 100% financing
Financing Terms:
Type: Unsecured or Secured by UCC-1 on fixtures

Term: Up to 5 years

Initial payment flexibility: Interest-only for six months; deferred payment for 3 months.

Rates:
3% to 5% depending on several factors including secured / unsecured, borrower’s credit, size of loan, term, and market conditions.
Collateral:
Secured loans use UCC-1 filings. Guarantee requirements as appropriate.
Borrower Eligibility:
Commercial and industrial (C&I) property owners, including nonprofits, common ownership community associations, and multifamily properties.
Eligible Properties:
Property must be in Montgomery County, MD.

In addition to traditional C&I sector properties or businesses, the PPA can reach:

  • Nonprofits
  • Rental apartment buildings of 5 or more units
  • Condominiums
Eligible Clean Energy Measures:
Solar PV, minimum of 25 kW

Target of 200 kW, though larger solar PV system sizes are eligible and will be considered under the program.

Participating Lenders:
Contact MCGB.
PPA Pricing:
PPA agreement will set a fixed price per kWh of the solar energy generated from system for term of PPA agreement. (Lower starting kWh prices with an annual escalating rate option is available if customer desires.)
Financing Available:
No out-of-pocket costs to install system
Financing Terms:
Type: Power Purchase Agreement

Term: 20 years; longer term considered on case-by-case basis.

Collateral:
No building/financial collateral required. PPA provider owns the solar system and retains rights over system equipment.

Residential Programs

Borrower Eligibility:
Homeowners in Montgomery County, Maryland.
Eligible Properties:
Single family homes, townhomes, and condominiums. Property must be in Montgomery County, MD.
Eligible Clean Energy Measures:
  • Solar PV
  • Geothermal
  • Energy Storage
Participating Lenders:
Clean Energy Credit Union
Loan Size:
Up to $50,000
Financing Terms:
Short Term Loan to Bridge Investment Tax Credits

  • Up to 26% of project cost
  • 12 to 18 month term
  • No current payment; paid in full at term
  • No prepayment penalty

Long Term Loan for Balance of Project Costs

  • Up to 74% of project cost
  • 12 year, 15 year, 20 year terms
  • Fully amortizing for term
  • No prepayment penalty
Rates:

Fixed Rate for term of loan.
Preferred rates for Montgomery County.

Short Term:

  • 4.49% For 12 to 18 months

Long Term:

  • 4.49% for 12 years
  • 4.74% for 15 years
  • 4.99% for 20 years
Rates shown are for best credit; rates vary to borrower based on several factors, including borrower’s credit, term, and market conditions. Rates are subject to change.
Fees:
Lender application fee: $25

Credit Union fee: Credit Union account deposit of $5.
Joining Credit Union is required.

Contractor fee: $200

Borrower Eligibility:
Homeowners in Montgomery County, Maryland.
Eligible Properties:
Single family homes and townhomes. Property must be in Montgomery County, MD.
Eligible Clean Energy Measures:
  • Solar PV
  • Solar PV + Battery Storage
  • Solar PV + Electric Vehicle Charging
Options:
  1. Purchase Subsidy
  2. Loan

Homeowners may choose either 1 or 2 or both of the above.  It is not necessary to do both.

Option 1: Purchase Subsidy:
The installer provides an upfront subsidy to cover a portion of the cost of the system by paying upfront for five (5) years of projected Solar Renewable Energy Credits expected to be created by the homeowner’s system.  This allows the homeowner to get a value for those potential SRECs upfront to reduce the initial cost of the system.  In so doing, the homeowner reduces their out-of-pocket costs for the system.

When the homeowner reviews the solar proposal with an installer, the installer will offer a SREC subsidy amount that corresponds to the expected generation of energy from the homeowner’s solar array for the first five years after installation.  The installer will show this SREC subsidy as a deduct from the contract price.  The homeowner will only be responsible for the balance of payment after the deduction.

For the SREC subsidy to be applied, the homeowner must assign their ownership of SRECs to the installer for a period of five (5) years.  The homeowner will have ownership of the SRECs after five (5) years.

Option 2: Loan:
Offering two loan types:

  • Short-term loans to cover the amount of the tax credit the homeowner can receive for the system and
  • Long-term loans to support the balance of the purchase of the solar PV system

Combined the two loans can cover 100% of the system costs of the homeowner.

Participating Lenders:
Clean Energy Credit Union
Loan Size:
Up to $50,000 (email info@mcgreenbank.org for approval for higher amount)
Financing Terms:
  • Short-term loan options of 12 months and 18 months
  • Long-term loan options of 12 years, 15 years, or 20 years
Rates:

Fixed Rate for term of loan.
Preferred rates for Montgomery County.

Short Term:

  • 4.49% For 12 to 18 months

Long Term:

  • 4.49% for 12 years
  • 4.74% for 15 years
  • 4.99% for 20 years

Rates shown are for best credit; rates vary to borrower based on several factors, including borrower’s credit, term, and market conditions. Rates are subject to change.

Fees:
Lender application fee: $25 per application

Credit Union account deposit of $5.
Joining Credit Union is required.

Borrower Eligibility:
Homeowners in Montgomery County, Maryland.
Eligible Properties:
Single family homes, townhomes, and condominiums. Property must be in Montgomery County, MD.
Eligible Clean Energy Measures:
  • Solar PV
  • Solar PV + Battery Storage
Participating Lenders:
Sunnova
Financing Terms:
25-year contract between homeowner and Participating Lender to purchase the electricity produced by the solar PV system installed on the homeowners’ home.
Contract Payment Options:
  1. Start by paying less per kWh than you are paying for your current electricity (5% or greater discount). Payment per kWh then goes up 1% or less each year.
  2. Pay a rate per kWh that is set at the outset near your current electricity price and has no escalator for the term of the contract

Talk to a participating installer for more information.

Payment Factor:
The customer will only pay for the electricity generated by the solar array on the home each month.
Maintenance and Insurance:
All maintenance and insurance costs covered by Participating Lender. Homeowner has no responsibility to pay or maintain the system.
Fees:
No fees!

Loan Calculator

Loan Amount
Years
Interest Rate

If you know your desired loan term and corresponding interest rate, please use the following steps:

  • Check your project contract or proposal to find the total amount of your project. Enter that in the “Loan Amount” space at the top.

  • Enter the number of years you want to take out your loan for.

  • Enter the interest rate that corresponds with the loan and term you are looking for. Interest rates provided are for best credit score. You may be approved for a higher interest rate depending on your credit score.

  • Click on the Calculate button to see your estimated monthly payment.

The results are preliminary and are not the actual loan payment amounts which will be determined by the lender after you complete your loan application with your selected lender. Monthly loan payments are fixed for the term of the loan and include interest.