Green Per Square Foot

Common efficiency retrofit financing pitfalls to avoid December 8th, 2014

Third-party financing is a great option to drive retrofit projects forward when out-of-pocket funding is either not available, or simply not optimal. However, the process can be complex and time-consuming. Below are some common pitfalls to avoid, framed as best practices.

  • Thoroughly understand your financing options.
  • Understand who’s taking the risks vs. who gets the returns.
  • Evaluate the impact of third-party financing on future building sale-ability.
  • Avoid high financing overhead and origination expenses.
  • Consider whether to bundle numerous efficiency measures vs. pursue individually.
  • Compare quotes from multiple financing partners.
  • Carefully establish a baseline and performance metrics when using shared savings arrangements.


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