Dividend Solar,a non-bank lender that offers institutional investors the ability to invest directly in the U.S. residential solar market,has joined the Climate Bonds Initiative (CBI) as its first partner focused exclusively on the U.S. distributed solar generation.The new partnership will help Dividend Solar tofurther the green bonds market in the U.S. by delivering investment grade returns that directly address climate change and accelerate the adoption of solar in the United States.
By serving as the bridge for large-scale, yield-seeking capital and individual homeowners, Dividend Solar reduces the soft costs of solar and encourages new investors to participate in the solar asset class.Itpartners with solar installation firms across the U.S. to offer streamlined loan financing to homeowners looking for a better way to go solar. With a nationwide footprint and a loan product that offers Solar-Ownership-as-a-Service™, borrowers enjoy the outsized financial benefits of solar as well as system production guarantees, hassle-free maintenance and performance monitoring at no additional cost. Dividend Solar’s full-service EmpowerLoan™ reduces the friction of going solar and provides investors with stable returns from projects that directly contribute to addressing climate change.
“By joining the Climate Bonds Initiative as its first partner focused exclusively on the distributed solar market in the U.S., Dividend Solar is supporting this rapidly growing market and continuing to attract new investment capital into the asset class,” says Steve Michella, CEO of Dividend Solar.
The Climate Bonds Initiative promotes investment in projects and assets necessary for a rapid transition to a low-carbon and climate-resilient economy. By developing a large and liquid Green and Climate Bonds market, the CBI is driving down the cost of capital for climate projects and mobilizing the $100 trillion bond market towards climate change solutions.
Investors in Climate Bonds benefit from funding green projects without taking any additional risk or cost, receive greater transparency into a bond’s use of proceeds and have the ability to report on climate impact of fixed income investments. As the demand for sustainable investments continues to grow, investors are increasingly looking to deploy capital in alternative asset classes – including distributed solar loans.