CIT Group Inc. announced it is serving as coordinating lead arranger on $84 million financing for a 140-megawatt solar farm in Fort Bend County, TX —40 miles southwest of Houston.
Home to Fortune 500 companies, international businesses, and the brightest innovators, Fort Bend County has grown from 8,600 business establishments or companies to nearly 15,000 in ten years and is classified as the tenth-largest county —and fastest-growing — in Texas.
The utility-scale project, Cutlass Solar, and its sponsor, Advanced Power, are industry leaders in power generation across the U.S., Canada, and Europe, and COO of Advanced Power Development, Jonathan Winslow, touts the financial partnership as a bridge to increased renewable energy generation capacity in the Greater Houston area. “We have worked successfully with CIT on multiple project financings, so we were confident in the capabilities when we called on them again to arrange financing for this important project.”
Recent winter storms and the market disruptions, as a result, prompted CIT to arrange financing using a creatively structured transaction balancing the strengths of Advanced Power’s development expertise against the market demand for merchant commodity risk.
Acting as the construction and asset manager for Cutlass Solar, and upon completion of construction, Advanced Power will sell energy and renewable credits into the ERCOT market. “We are very grateful for the support of the local community and look forward to being a part of it in the years to come,” said Collin Brown, project manager in charge of the development of the Cutlass Solar project. “The environmental, economic, and local tax-based benefits are clear, and the project will benefit Texas’ energy portfolio and the people who rely on it.”