New BMO program aims to finance net-zero commercial building retrofits
BMO has launched a program that aims to help commercial building owners get the financing they need to execute net-zero energy retrofits.
Under the program, BMO commercial bankers will work with clients to explore business cases for energy efficiency retrofits. The companies will then work with industry partners to scope work, forecast greenhouse gas savings, and certify the project.
Depending on the forecast GHG savings, the client may qualify for Canada Infrastructure Bank impact capital to support project execution. Long-term refinancing is then available through BMO.
"Greenhouse gas emissions from Canada's building and construction sector account for an estimated 30 percent of Canada's total emissions profile, and there is no route to net zero without extensive energy efficiency retrofits to existing building stock,” said Jeffrey Shell, Head of Alternatives, Commercial ESG and Innovation, BMO Global Asset Management. “This program is an example of the way we partner with organizations to create new and effective sustainable solutions for our clients."
Recent projects include an innovative adaptive re-use project by real estate development firm Sidewalk RED in Nova Scotia.
Project partners are working to convert a largely vacant office building into 141 units of rental housing, while decarbonizing the building's day-to-day operations and saving over 5,000 tonnes of embodied carbon emissions versus converting an existing building.