Pete Morgan Weighs in on C-PACE Financing for Commercial Real Estate Developers

Winston & Strawn Finance Partner Pete Morgan was quoted in Debtwire’s September 25 article titled, “Equity Infusions Coming to C-PACE Sector, Set to Drive Debt Levels.” In the article, Pete discusses three commercial PACE lenders that are securing equity investments from commercial real estate developers, which are likely to be announced within the next six months.

“The developers are giving the lenders equity financing, and in turn, the lenders will provide C-PACE financing for their projects. These type of relationships are a first for the sector,” Pete explained.

“Developers need to install HVAC systems and insulation, among other energy-efficient improvements, whether it’s for gut-renovations or new developments. And PACE is cheaper than mezzanine financing,” Pete said.

Pete focuses his practice in the areas of leasing, lending, structured finance, private equity, and fund formation. He advises clients in connection with warehouse financings, lease arrangements, senior secured transactions, second-lien financings, mezzanine financings, and high-yield debt issuances, and structuring private equity transactions and highly structured funds.