3rd Party Ownership Lease Options

Operating Lease

An Operating Lease is available to qualifying tax-paying entities. There is no upfront capital outlay. The Host pays 7 years of fixed lease payments (100% tax-deductible) and the leasing company takes the tax benefits. The Host receives all the benefits from energy savings and incentive payments. After 7 years, the Host may purchase the system for 15% of cost, or finance the purchase price through a loan for the 15% cost.

Site Lease

A Site Lease is available to both tax-paying entities and nonprofits, A 3rd party investor will lease the use of the Host’s roof, parking lot or land and install a solar PV system at no cost to the Host which is configured as a “stand-alone” system. The Host will receive contracted lease payments for a typical period of 20 years. The investor will receive all tax, energy and incentive benefits. There may be an opportunity for the Host to receive additional benefits through a net metering and/or “Community Solar” arrangement.

Hybrid Lease

The Hybrid Lease is available to nonprofits for projects larger than 50 kW DC. 

A 3rd party investor discounts 621 Energy’s price by 16%. The nonprofit pays the first 84% to the installer and the investor pays the last 16% with the nonprofit taking ownership of the solar project after six years when all of the tax benefits are fully consumed. During the six-year period, the investor is responsible and pays for all system maintenance and repair costs. The Host receives all electricity savings and SMART incentive payments.

The nonprofit can use any one, or a combination, of the following ways to fund the 84% deposit: 1) ask supporters for donations, 2) use reserves, 3) seek a loan from a bank or community foundation, or 4) use an available CrowdLending Campaign –which is a direct loan from supporters of the nonprofit with principal and interest repaid annually using the savings from the solar project.