The Takeaway: Solar for Mid-Cycle Affordable Housing
Highlights from the webinar
(Sunwealth CFO Omar Blayton was a featured speaker in last week’s webinar)
A little over a week ago, the Sunwealth team was excited to attend the Solar for Affordable Housing webinar co-hosted by the NYC Department of Housing Preservation & Development and the non-profit Solar One.
Joining the discussion was Sunwealth CFO Omar Blayton, who spoke to the company’s mission to pioneer investment in underserved communities by democratizing the benefits of the solar economy.
Missed the discussion? Here are a few of our big takeaways.
Solar on Affordable Housing is Increasingly Financeable. A better energy future must share the benefits of the booming solar economy with all corners of our communities—and to date, that’s not happening as quick as it could. Many traditional financiers mistakenly assume that projects on non-profits, houses of worship, and affordable housing present a greater risk than more common installations. If structured properly, PPAs and Low-Income Community Solar Projects with affordable housing partners are financeable, as Sunwealth has seen with our partners like NYCHA. Read more on our work with NYCHA below.
The Affordable Housing market in New York is a large one and there’s never been a better time to finance, develop, and install solar projects on these sites. Projects like those at NYCHA and the FAC have demonstrated proof of concept, but there is so much more to be done. In New York, over 10% of housing falls into the ‘affordable’ category, but the NYCHA projects in their entirety represent just 5% of the New York City market alone. With the right financing partners and a competitive PPA/site lease, developers and installers can make more of these important projects a reality.
Sunwealth is proud to have partnered with many of our fellow panelists to complete key projects across New York City. Two of these—with NYCHA and the Fifth Avenue Committee—are profiled below.
New York City Housing Authority (NYCHA)
As part of its Sustainability Agenda commitment to host 25 megawatts of solar power by 2025, NYCHA entered into several lease agreements with Sunwealth. The leases provide NYCHA with annual payments while allowing LMI residents to save through participation in community solar. The installation of the projects included a workforce development program that resulted in 40% of NYCHA resident trainees obtaining fulltime solar installer positions.
67 Properties – 3,021 kW of Community Solar -- $6M+ Savings – 89 Job Years Created
Fifth Avenue Committee (FAC)
With an interest in reducing the energy burden of its tenants, FAC entered into a power purchase agreement (PPA) with Sunwealth. The PPA guarantees savings to FAC in the form of a fixed discount, and FAC passes the savings on to its tenants. The projects provide each tenant with estimated savings of $240 per year. FAC additionally organized a successful job training program around the installation of the projects, exposing its tenants to career development opportunities in the clean energy sector.
7 Properties – 155 kW of PPA Solar -- $150,000+ Savings – 4 Job Years Created
Contact us to learn how we can help you finance solar on affordable housing (and other small and medium commercial projects!)