US-based Dimension Energy has secured a $650m construction and term financing package for a 132MW portfolio of 25 community solar projects located in Pennsylvania, New York, New Jersey and Illinois.
Mitsubishi UFJ Financial Group (MUFG), First Citizens Bank, ING Capital and National Bank of Canada provided $415m in debt financing.
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Franklin Park, which is working with Dimension for the first time, contributed $235m in tax equity.
The projects form part of the company’s community solar portfolio across four US states.
Dimension said community solar projects can offer subscribers savings on utility bills and produce electricity near the point of use, which reduces the need for long-distance transmission infrastructure. The company often develops and brings projects online in as little as 18 months.
Dimension Energy co-founder and CEO Rafael Dobrzynski said: “Our largest project financing to-date is a testament to Dimension’s track record and the critical role distributed generation plays in solving America’s energy crisis.
“We’re thrilled to welcome Franklin Park as a new partner and to continue our strong relationships with First Citizens Bank, MUFG, ING, and National Bank of Canada.”
CG/CRC-IB advised Dimension on the transaction as its sole financial adviser.
Stoel Rives represented Dimension, while Foley & Lardner acted for the lender group and McDermott Will & Schulte represented Franklin Park. Enertis Applus+ provided technical advice on the projects.
MUFG Project Finance managing director Fred Zelaya said: “MUFG is pleased to have acted as a coordinating lead arranger (CLA) for the successful closing of Dimension Energy’s latest landmark project. We look forward to continuing to support Dimension’s ambitious growth in the industry.”
