Hannon Armstrong Sustainable Infrastructure Capital, Inc. Partners with
Johnson Controls to fund $27 million in Energy Improvements to Louisville City
ANNAPOLIS, Md., Oct. 3, 2013
ANNAPOLIS, Md., Oct. 3, 2013 /PRNewswire/ --Hannon Armstrong Sustainable
Infrastructure Capital, Inc. ("Hannon Armstrong") (NYSE: HASI), a leading
provider of debt and equity financing for sustainable infrastructure projects,
announced that it is providing the underlying funding for nearly $27 million
in energy efficiency upgrades to government buildings across the city of
The city of Louisville has signed an agreement with Johnson Controls, a global
leader in building efficiency, to make various improvements including lighting
upgrades and replacement of large pieces of outdated, inefficient equipment
such as chillers and boilers.
Johnson Controls, working with Hannon Armstrong, will fund the upfront cost of
the upgrades. Louisville Metro Government, in turn, will make payments on the
project through a performance contract, in which energy savings from the
building improvements are guaranteed to pay for the work over 23 years.
"This is one of the most innovative partnerships between Johnson Controls and
a city government in the United States," said Louisville Mayor, Greg Fischer.
"This unique approach is a great deal for taxpayers to make much-needed
improvements to our many older buildings," Fischer said. "In addition, this
project will make our city government more sustainable and help us
significantly cut carbon emissions."
The project is projected to:
oReduce yearly carbon emissions by more than 12,000 tons. That's equivalent
to the carbon impact of nearly 26,000 homes;
oResult in $2 million in energy and operational savings year over year -- a
savings that will continue once the payments to Johnson Controls are made
Some of the planned improvements include:
oNew boilers and power systems for City Hall;
oNew chillers and electrical upgrades at the Youth Detention Center, new
boilers at Metro Corrections
oNew boiler cooling tower at Public Health and Wellness;
oNew boilers and condensing units at the Southwest Government Center;
oNumerous electrical and other upgrades at the Louisville Zoo;
oNew HVAC system at the Mary T. Meagher Aquatic Center.
"City government could not afford, on its own, to pay for these upgrades,"
Mayor Fischer said. "This unique public-private partnership shows what happens
when people approach old problems with new ideas and new ways of thinking."
About Hannon Armstrong
Hannon Armstrong makes debt and equity investments in sustainable
infrastructure projects. We focus on profitable projects that increase energy
efficiency, provide cleaner energy, positively impact the environment or make
more efficient use of natural resources. We began our business more than 30
years ago, and since 2000, using our direct origination platform, we have
provided or arranged over $4.0 billion of financing in more than 450
sustainable infrastructure transactions. Hannon Armstrong targets projects
that have high credit quality obligors, fully contracted revenue streams and
inherent economic value.
Hannon Armstrong Sustainable Infrastructure Capital, Inc., based in Annapolis,
MD, has elected to be taxed as a real estate investment trust, or REIT, for
federal income tax purposes.
Hannon Armstrong Sustainable Infrastructure Capital, Inc.
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SOURCE Hannon Armstrong Sustainable Infrastructure Capital, Inc.
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