Initially developed by First Solar, the solar project was acquired by Longroad Energy in February 2021
US-based renewable energy firm Longroad Energy has closed the term financing for Sun Streams 2, its 200MW solar project located in Maricopa County, Arizona.
Sun Streams 2 project was initially developed by First Solar, and was acquired by Longroad Energy in February 2021.
The project was constructed by McCarthy, with First Solar supplying the Series 6 modules and the trackers by Nextracker.
CIBC served as the coordinating lead arranger, collateral agent and issuing bank, while Silicon Valley Bank was the coordinating lead arranger and administrative agent for the financing.
Also, PNC Bank served as sole tax equity investor, and commercial banking company Helaba has participated in the financing.
The Sun Streams 2 project is backed by a 20-year revenue agreement with Microsoft, for the energy, RECs, and capacity of the full project to support its renewable energy goals.
CIBC managing director Jim King said: “The Sun Streams 2 project is another example of Longroad Energy’s market-leading development capabilities and CIBC’s commitment to the U.S. renewable energy sector.
“We are pleased to co-lead this important financing for Longroad and we thank the team for asking us to support them on this significant transaction.”
PNC renewable energy finance group managing director Mark Williams said: “PNC is pleased to provide Longroad Energy with tax equity financing for the Sun Streams 2 solar generation facility.
“This project underscores our commitment to supporting customers and communities throughout the U.S. with financing for high-quality renewable assets.”
Sun Streams 2 is one of four Maricopa County-based projects that Longroad purchased from First Solar. The solar portfolio comprises a total capacity of around 900MW with the potential for 1-2GWh of battery storage.
Currently under development, Sun Streams 3, 4, and 5 projects are expected to come online between 2022 and 2024.
Longroad Energy chief financial officer Peter Keel said: “Sun Streams 2 is a great project, and we are happy to finalize the permanent capital structure. We are grateful to our lenders CIBC, Silicon Valley Bank, and Helaba.
“Also, we are pleased to complete our first tax equity transaction with PNC Bank. Longroad values our financial partners and looks forward to many more deals with them in the future.”