Sunwealth Closes $30 Million Construction Loan with the Urban Investment Group at Goldman Sachs Alternatives to Drive Renewable Energy Transition and Broaden Energy Access in Underserved Communities

The loan facility will finance solar and solar-plus-storage with a focus on providing solar access to historically underserved communities.

Sunwealth’s solar project on the headquarters of the Fifth Ave Committee. Sunwealth manages over 54 MW of impactful community-based solar projects throughout the country.

CAMBRIDGE, Mass., Dec. 5, 2024—Sunwealth, a clean energy impact investment firm, announced today a $30 million construction loan facility with the Urban Investment Group at Goldman Sachs Alternatives to develop solar, solar-plus-storage, and standalone storage projects across the United States. This agreement furthers Sunwealth’s mission to build an equitable, just, and inclusive clean energy future.

The Urban Investment Group (UIG) at Goldman Sachs Alternatives drives the firm’s impact investing, delivering innovative financing to address pressing social and economic challenges and fuel long-term growth in low- and moderate-income communities. Since 2001, UIG has committed over $21 billion to transformative projects, including one of the U.S.’s first social impact bonds and one of the largest public housing green energy retrofits.

“In UIG, we are committed to economic development that is equitable, in particular scaling positive social, environmental, and economic impact in low- and moderate-income communities,” said Sherry Wang, Co-head of the Urban Investment Group at Goldman Sachs Alternatives. “We’re proud to partner with Sunwealth on this new facility to build innovative community solar projects, leveraging clean power to help lower energy bills for the most cost-burdened households.” 

Aligned with Sunwealth and UIG’s commitment to underserved communities, the majority of the facility’s funds will be allocated to projects benefiting disadvantaged communities. As of 2024, over 58% of the projects in Sunwealth’s portfolio benefit historically underserved communities. Sunwealth manages over 700 solar projects, totaling 54.3 MW across 18 states, creating more than $125 million in energy savings for customers and over 1,800 green jobs. Sunwealth celebrated ten years of successful operation in 2024.

“A just energy transition is a trillion-dollar investment opportunity,” said Jon Abe, Co-Founder and CEO of Sunwealth. “We are excited to partner with the Goldman Sachs Urban Investment Group; this investment accelerates our work to build a better energy future, driven by the power of impact investing.”

Sunwealth closed this loan agreement with the support of The Kresge Foundation. Kresge has long supported disadvantaged communities and catalyzed private impact investment in equitable clean energy solutions, including a $3 million non-funded guarantee as part of this transaction.

“Now more than ever, Kresge is committed to ensuring communities with low wealth and communities of color – those most vulnerable to the impacts of climate change -- can access solar energy and storage,” said Joe Evans Social Investment Officer for The Kresge Foundation. “This guarantee will support solar projects for social service providers, schools, houses of worship, small businesses and other nonprofits. We aim to demonstrate that these smaller and typically overlooked solar projects can successfully be financed through a capital market facility like those provided by Goldman Sachs and to recruit other traditional market actors who understand the value of climate and economic justice.”

“We are grateful for the partnership of Kresge and Goldman Sachs’ Urban Investment Group and our shared mission to increase wealth, resilience, and clean energy access in historically underserved communities,” said Omar Blayton, CFO of Sunwealth. “This investment will help drive the growth of high-impact solar projects across the country, and we hope it encourages other investors to participate in advancing renewable energy through impact investing.”

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Sunwealth Contact:
MaryElizabeth Mooney
413-281-3940
maryelizabeth@sunwealth.com

Goldman Sachs Contact:
Abbey Collins
212-902-5400

About Sunwealth
Sunwealth invests in a better energy future by financing and managing solar projects that benefit diverse communities through clean power, carbon reduction, cost savings and job creation. Sunwealth partners with skilled local solar installers, community organizations and local businesses, and investors to change who benefits from renewable energy by changing the way we invest in it.  Since 2014, Sunwealth has invested over $200 million in solar projects across the United States. For four consecutive years, Impact Assets named Sunwealth to its IA50, a leading list of impact fund managers; Environmental Finance awarded Sunwealth its 2023 ESG Fixed Income Fund of the Year.  Learn more at www.sunwealth.com 

About the Urban Investment Group (UIG) at Goldman Sachs Alternatives
Goldman Sachs (NYSE: GS) is one of the leading investors in alternatives globally, with over $500 billion in assets and more than 30 years of experience. The business invests in the full spectrum of alternatives including private equity, growth equity, private credit, real estate, infrastructure, hedge funds and sustainability. Clients access these solutions through direct strategies, customized partnerships, and open-architecture programs. The business is driven by a focus on partnership and shared success with its clients, seeking to deliver long-term investment performance drawing on its global network and deep expertise across industries and markets. The alternative investments platform is part of Goldman Sachs Asset Management, which delivers investment and advisory services across public and private markets for the world’s leading institutions, financial advisors and individuals. Goldman Sachs has over $3.1 trillion in assets under supervision globally as of September 30, 2024.

Established in 2001, UIG has committed over $21 billion in loan and investment capital to revitalize and rebuild the urban fabric in underserved neighborhoods, investing in economic development projects and social enterprises across affordable housing, education, workforce development, small businesses, and sustainability.

About The Kresge Foundation
The Kresge Foundation was founded in 1924 to promote human progress. Today, Kresge fulfills that mission by building and strengthening pathways to opportunity for low-income people in America’s cities, seeking to dismantle structural and systemic barriers to equality and justice. Using a full array of grants, loans, and other investment tools, Kresge invests more than $160 million annually to foster economic and social change. For more information, visit kresge.org.