Key Equipment Finance provides $9.7 million in financing for Massachusetts community solar

Key Equipment Finance, an affiliate of KeyCorp, announced it has provided a $7.8 million tax lease and a $1.9 million term loan to Radnor, Pennsylvania-based Community Energy, a provider of utility-scale wind and solar projects, for community solar projects in Massachusetts totaling 3.75 MWdc. Split between solar farms in the Towns of Barre and Rutland, the projects will generate remote net metering credits. A Massachusetts commercial customer will purchase half the generation output, with the remainder purchased by residential community solar subscribers. Community Energy used sale-leaseback financing for the project, which includes a PPA and allows monetization of the tax benefits, inclusive of the investment tax credit and depreciation. In this solar tax lease structure, Community Energy owns and operates the system and sells the power.