Rural Energy for America Guaranteed Loan Program
Leveraging Competitive Terms to Facilitate Your Renewable Energy Project
As a USDA-licensed lender, August Brown provides affordable financing through the Rural Energy for America Guaranteed Loan Program (REAP) to qualified developers, small businesses, and agricultural producers for renewable energy systems, to make energy efficiency improvements, or to purchase energy-efficient equipment. The August Brown team has unique expertise in the USDA’s loan programs and is committed to working with you to create the best financing to meet your needs and ensure your company will be positioned for long-term, smart solutions for climate variability and overall energy costs to support your future infrastructure needs.
Eligible Areas
- Primarily serving rural areas with populations of 50,000 residents or less based on the last census and not contiguous with an adjacent populated area. The USDA mapping link will confirm eligibility. Click to link – http://eligibility.sc.egov.usda.gov
- Agriculture producers may be located in rural or non-rural areas
Terms
- Loan ranges of $1MM to $25MM per individual project
- Maximum loan term of 30 years
- Fixed or variable rates
Qualified Applicants
- Rural small businesses
- Agricultural producers
Proceeds
- Renewable energy, including, but not limited to – solar, biomass, renewable natural gas, geothermal, hydropower (below 30 watts), hydrogen, small and large wind generation, and ocean (tital, current, thermal)
- Funds may also be used for the purchase, installation, and construction of energy efficiency improvements and energy efficient equipment, including, but not limited to – high efficiency heating, ventilation, and air conditioning systems (HVAC), insulation, lighting, and cooling or refrigeration units
Available Funding
Loan amounts up to 75% of total eligible project costs
Overall Benefits
- Flexible underwriting including post-PPA loan terms
- Ability to underwrite spot, merchant, capacity, or other ancillary income
- Compatible for projects that include Investment Tax Credit funding
- Higher leverage than typical conventional loans
- Extended loan terms with no balloon payments
- Construction to permanent single loan closing
- August Brown retains ownership and services the loan for the full term