SolarCity, U.S. Bancorp Create Fund for Solar Projects

SolarCity Corp., a U.S. developer of rooftop solar systems, and U.S. Bancorp (USB) created a tax-equity fund that will finance as much as $250 million in power projects.

The fund is the sixth and largest created by the companies since they began working together three years ago, San Mateo, California-based Solar City said today in a statement. It will support residential, commercial and government solar projects.

The financial company expects to invest $440 million in renewable energy this year and about 80 percent of that will be for solar projects, Darren Van’t Hof, director of renewable- energy investments for U.S. Bank, said in an interview.

“It’s really the level of maturity in the industry that we’re comfortable with,” he said. The Minneapolis-based bank didn’t say how much it invested in the fund.

Google Inc., the world’s biggest search-engine company, invested $280 million in June 2011 in a similar SolarCity fund.

To contact the reporter on this story: Ehren Goossens in New York at egoossens1@bloomberg.net

To contact the editor responsible for this story: Reed Landberg at landberg@bloomberg.net

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