Deal Spotlight
Power Purchase Agreement for Cogen System at Bayside Affordable Multifamily Housing
The Building: Lakeside Towers
Building type
Affordable Multifamily
Building size
1 building
336,200 square feet
313 units
Year built
1961
Location
Bayside, NY
Project type
Cogeneration
NYCEEC loan product
PPA
Term
11 years
Closing date
September 2018
The Project
The building entered into a power purchase agreement (PPA) with Strategic Finance Group to purchase electrical and thermal generation from a 125 kW Tecogen cogeneration system. NYCEEC provided a $420,000 loan to a special purpose entity owned by Strategic Finance Group to purchase and install the cogeneration system and associated equipment. This loan with a $201,000 NYSERDA incentive financed the majority of the project cost.
Total Project Cost
$720,000
Incentives
$201,000
Other Sources
$99,000
NYCEEC Loan
$420,000
Annual Savings
$89,000
Simple Payback Period
8.1 years
The Results
NYCEEC’s financing will reduce energy waste, save the building money and provide residents with significant resiliency benefits. It will provide for energy savings, increased predictability of energy costs, improved building performance and resiliency, and minimal upfront project cost to owner.