Multifamily Energy Efficiency Loan Program

General Information and Structure

Lender:

City of Lewiston

Lending Type:

Public entity

Jurisdiction:

This is a combo loan/rebate program. Once approved by the LQC, the total project costs is equivalent to 2x's the size of the expected rebates from Efficiency Maine. From this total project cost, a 20% verifiable match is required from the owner (minus the fee from the energy audit); the City will provide a "bridge" loan to fund the recommended energy improvements or 80% of the total project cost. The owner must agree to have the City act as "Agent for Owner". Once the energy improvements have been made, and verified through an Independent Engineer appointed by Efficiency Maine; the rebates (50% of the total project cost) will be paid directly from Efficiency Maine to the City to repay 50% of the loan back immediately leaving a loan of 30% to be repaid by the Owner to the City over a period of 10 years. Funding Source is Community Development Block Grant (CDBG). Other federal, state, or local funding may also be used based on availability and at the City's discretion.

Active or Closed Program?:

Active

Eligibility Criteria:

To be eligible, the property must be a rental property with 5+ units, located in the target area; may be owner occupied or investor owned; in "good standing" with Code Enforcement; and building must be structurally sound. Mixed use commercial properties with rental units may qualify under this program, but needs to meet the parameters of the Efficiency Maine program. Applicant Eligibility: The applicant must have proof of ownership of the building; must be current on all City assessments for the property itself and any other buildings owned in the City of Lewiston; and may not be an elected or appointed City Official. At least 51% of the rental units in the property must be occupied by low-moderate income residents. (See Appendix 3: Median Family Income Guidelines). As part of the application, the owner must provide Tenant Income Verification Forms filled out and signed by the tenant. (See Appendix 4: Tenant Income Verification Form). Owner must provide releases to the City for all energy consumption for the past year, a current rent roll and proof of actual rents received, verifiable proof of operating expenses for the past two years which will be included into a rental proforma that will be used to determine financial viability.

Type of Financing:

Bridge

Mini-Permanent/Permanent

Loan Size Range:

Not specified

Type of Improvements Covered:

The most common improvements may include: replacement of furnace, conversion of oil to gas, water heaters, insulation, low flow aerators, etc.

Financing Details

When is the Product Applicable?:

Mid-cycle

Interest Rate:

Principal residence of owner inside Lewiston or Auburn, 2% up to 10 years as determined by LQCPrincipal residence outside Lewiston-Auburn, 3% up to 10 years as determined by LQC

Maturity:

Principal residence of owner inside Lewiston or Auburn, 2% up to 10 years as determined by LQCPrincipal residence outside Lewiston-Auburn, 3% up to 10 years as determined by LQC

Additional Information

Link to Additional Information:

http://www.lewistonmaine.gov/DocumentCenter/View/4472/012-5-Multifamily-Energy-Efficiency-Loan-Program?bidId=