OYA Solar Closes Development Capital Facility with Greenbacker Capital
OYA Solar, a solar developer and asset owner, announced today that it has secured financing that will support the development and construction of approximately 350-400 MWDC of community solar projects across New York State. The development capital financing transaction was successfully closed with a private equity and credit fund affiliated with Greenbacker Capital Management, LLC., with NY Green Bank, a division of the New York State Energy Research and Development Authority (“NYSERDA”), participating
OYA is on track to commission its first New York project in March 2021, a 6.8 MWDC project located in Constable, New York, and is expected to start construction on its next six New York community solar projects in the first quarter of 2021. By the end of 2021, OYA expects to have placed in service 16 New York community solar projects, or nearly 100 MWDC of capacity and 143 GWh of annual production, enough to power approximately 21,000 homes, and provide clean energy to a wide variety of local businesses, public sector agencies, affordable housing providers and residents.
“We are pleased to have found a strong partner in Greenbacker to enable OYA to unlock the value of its robust portfolio of community solar and utility scale projects in the U.S. northeast and mid-Atlantic regions,” says Manish Nayar, CEO & Founder of OYA Solar. “The Greenbacker team is comprised of seasoned developers with strong market conviction, ultimately providing a flexible, structured solution that recognizes the tremendous value created by converting development pipeline into operating cash flow.” Additionally, OYA is in the process of securing a tax equity commitment of approximately $40 to $50 million for its 2021 construction portfolio.
“Greenbacker is proud to support renewable energy development and investment in its home state of New York, and we are excited to work with the OYA team over the next several years as the company continues to grow and execute its significant solar development pipeline,” said Ben Baker, Managing Director and Principal of the Greenbacker fund.
“NY Green Bank is pleased to support OYA Solar and provide financing that continues to position New York as one of the fastest growing solar markets in the nation. This transaction and the resulting projects moves us closer to meeting Governor Cuomo’s goal to install six gigawatts of solar by 2025,” said Alfred Griffin, NY Green Bank President.
Today’s announcement builds on existing financing provided to OYA projects and demonstrates NY Green Bank’s mission to accelerate the deployment of capital into New York’s clean energy market.
The successful closing of the transaction, along with the previously announced $35 million construction financing facility from NY Green Bank, positions OYA to meet its long-term growth objectives and solidifies the company as one of the top community solar developers in New York State. Furthermore, the construction of these projects will have a significant and immediate positive economic impact in New York State and provide direct economic and environmental benefits to New Yorkers for the next 25 years. OYA plans to increase its investment across the State to help support the State’s goal to deploy 6 GW of Distributed Solar by 2025.