Unlocking commercial real estate value
Commercial Real Estate investors and owners have long left power delivery for their tenants to utilities. With dramatically lower solar costs, CRE owners not only can power their buildings and tenants, but also use it to add meaningful value to their portfolios. Correctly financially engineered to optimize property value, mid-sized solar power projects provide the following triple play for owners:
- Securing 30% investment tax credit and accelerated depreciation, unlocking built-in gain, tax equity revenue or 1031 exchange opportunities;
- Capturing revenue — often the second highest line item on the property P&L — currently lost to utilities, and
- Providing a competitive advantage in the market to win RFPs and buy properties through optimized asset value and, for certain tenants, meeting their sustainability and renewable energy requirements.