Sol-Reit Secures a Warehouse Credit Facility Led by Amerant Bank to Support Clean Energy Developers
MIAMI – Sol-REIT, which is revolutionizing clean energy financing through innovative construction-to-permanent loans leveraging a mortgage REIT model, has secured a substantial credit facility with a leading financial institution committed to environmental change.
The agreement with Amerant Bank, the largest community bank in Florida, will allow Sol-REIT to deploy cost-effective capital to support small and medium-sized solar developers to finance renewable energy projects in communities everywhere, including historically underserved areas.
“By securing a warehouse facility with a major regional bank, we’re able to provide small to medium-sized solar developers with access to capital and proliferate the access to clean energy for many households and businesses across the country,” said Mark Settles, CEO of Sol-REIT.
The Amerant Bank facility will provide Sol-REIT the ability to expeditiously execute its expansive pipeline of over $800 million and 400 megawatts of solar power. Sol-REIT is financing individual solar projects with an average loan size of $5 million to $50 million.
“Amerant is committed to offering products and services that help our communities and customers address the unique impacts of climate change,” said Jerry Plush, Amerant Vice Chairman and CEO.
Sol-REIT has structured an extremely compelling mortgage product for middle-market solar developers. Historically solar financing has been inefficient which is why Sol-REIT is changing the game in this sector.
“We are elated to further expand our relationship with Amerant Bank. Amerant has seen the vision of Sol-REIT and is at the forefront of being a capital growth driver in the renewable finance business,” stated Sol-REIT’s Co-Founder and Head of Capital Markets, Brian A. Sidman. “While other banks may follow, Amerant has proven to be a prominent banking institution that is insightful in growing their footprint while limiting risk through their diversification into investment-grade, quality, clean energy financing.”
“We are actively trying to help bridge the gap faced by communities by providing access to finance and building trusted relationships,” Plush said. “This engagement with a credit facility offers us the unique opportunity to drive both of these objectives. It is our expectation that by partnering with Sol-REIT, we can extend our financial services to the underserved while facilitating climate resilience.”
The 400 megawatts of solar power is equivalent to powering 72,253 homes with electricity every year or eliminating nearly a billion miles driven by an average gasoline-powered passenger vehicle annually.
“There is no question that global climate concerns are causing the world to re-think their energy supply chain and evaluate sustainable alternatives,” said Danny Rivera, SVP, Head of Specialty Finance at Amerant Bank, who spearheaded the transaction. “Credit facilities, such as the one we are providing to Sol-REIT, intentionally support the transition to solar energy.
“Specifically for underserved small and medium-sized businesses with a sustainable purpose, credit facilities provide a fundamental tool for business continuity, liquidity and financing flexibility.”
Founded by Jim Spano, Kevin Adler, and Brian A. Sidman, Sol-REIT is the first and only firm seeking to bring mortgage REITs (real estate investment trusts) to the renewable energy market.
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About Amerant Bank
Amerant Bank, N.A., is the largest community bank headquartered in Florida and the main subsidiary of Amerant Bancorp Inc. (NASDAQ: AMTB), with a presence across South Florida and in Tampa, FL, and Houston, TX. The bank has been serving clients for over 40 years, both domestically and abroad, and comprises subsidiaries Amerant Investments and Amerant Mortgage. Rooted in the communities it serves, Amerant Bank supports numerous non-profit, charitable and arts organizations. For news and updates, visit the Amerant Newsroom.
About Sol-REIT
Sol-REIT revolutionizes clean energy financing by providing innovative construction-to-permanent loans for middle-market solar developments across North America. This segment is remarkably underserved in today’s renewable energy market. Led by a team of industry experts experienced in solar development, real estate lending, REITs, and fixed income, Sol-REIT is the first investment vehicle to bring mortgage REITs to the renewables market. In the process, Sol-REIT strives to play an important role in reducing the global carbon footprint. By financing solar similar to real estate, Sol-REIT offers flexible financing for solar projects that matches the asset’s operational life while empowering solar developer entrepreneurs to become long-term owners of their own projects. Sol-REIT is currently financing individual solar projects with an average loan size of $5 million to $50 million. For more information, visit https://www.sol-reit.com