Marriott Syracuse Downtown will undergo several energy efficient upgrades thanks to $9.9 million in Commercial Property Assessed Clean Energy (C-PACE) funding.
Petros PACE Finance, LLC closed the deal with Brine Wells Development, an owner and developer of hospitality properties, to finance energy-saving upgrades as part of a larger restoration of the hotel.
Brine Wells used the funds to recapitalize the renovation of the Marriott Syracuse Downtown, serving as the catalyst for the revitalization of the south end of the Syracuse metropolitan market. The 261-key hotel opened in 2016 following a historical restoration of the 1920s-era building formerly known as Hotel Syracuse. Further renovations, expected to complete in May 2020, will add 50 rooms, along with additional function space and a restaurant. Energy-efficient measures incorporated in the renovations included improvements to the property’s building envelope, plumbing, HVAC, lighting and electrical systems.
C-PACE is a relatively new financing tool for energy and water efficiency projects that has grown quickly in recent years. As a low-cost, long-term permanent financing product secured as a property tax assessment, it provides developers with an alternative to mezzanine debt and equity that lowers overall capital costs and allows them to invest in higher efficiency building designs.
This marks Petros’ first C-PACE transaction in New York.