Harnessing Relationships with Senior Lenders to Secure CPACE Financing
Senior Living Facility
Because Commercial Property Assessed Clean Energy (CPACE) loans are billed as an assessment that takes priority over all first liens, a CPACE loan requires senior lenders to consent to it. Although senior lenders are becoming more familiar with CPACE and are therefore more willing to consent to the loan, many are still unaware of it. Educating a senior lender on the benefits of CPACE financing can be a nuanced process. Peachtree Group has longstanding relationships with most senior lenders and understands their concerns, as well as how to structure a deal with the highest chance of garnering consent.
Peachtree Group leveraged its vast network of senior lenders to secure a CPACE loan for the development of a five-story, 148-unit multifamily facility with 6,893 square feet of leasable retail space located in Ridgefield, WA. Amenities for the senior living facility include housekeeping, a lounge and fitness center, a golf simulator, a pool, billiards, and pickleball, as well as shuttle transport services.
The construction budget includes a total of $27.1MM in CPACE-eligible line items. The CPACE loan will fund $26.18MM of net CPACE proceeds, which will go toward the building envelope, HVAC, lighting, plumbing, covered processes, qualifying soft costs, and seismic improvements. The remainder is held as interest reserve for any overages.
Strong Basis & Location
The property sits within a large mixed-use master plan community that includes both commercial and residential uses. It is adjacent to a large, protected wetland and green space, offering stunning views. The location is a 15-minute drive from downtown Vancouver, WA, and a 30-minute drive from Portland, OR. Due to its rapid growth, Ridgefield has experienced significant real estate development, including new housing developments, apartments, and condominiums. The real estate market is generally characterized by relatively high demand, driven by the area’s attractiveness to families and professionals, as well as its proximity to Portland.
Market outlook & Demand for Senior Living
Census data reveals that the number of Americans aged 65 and older reached a staggering 55.8MM in 2020, accounting for 16.8% of the nation’s population. This surge in the aging population is the primary driver behind the increased demand for senior housing. Anticipation among area residents has been high since the initial announcement in July 2022.
Proximity to Demand Drivers
To meet the growing demand, it is estimated that more than 800K additional units of senior housing will need to be added in the U.S. by 2030. Ridgefield has been one of the fastest-growing cities in Washington. Its population is diverse, including a significant number of families and young professionals. Overall, the location benefits from nearby attractions such as entertainment venues, retail stores, and wholesale markets, which cater to the preferences and convenience of the senior population.
Peachtree Group is a senior bridge and construction lender that can provide CPACE financing on projects currently under construction or completed within the last 36 months. The program is available for all commercial real estate asset classes.
Learn more about CPACE financing or contact Peachtree's CPACE team.
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Peachtree news and insights.
Every Move Matters: Navigating the New Era of Commercial Real Estate
You don't think twice about skipping a workout or hitting snooze, until six months later when your back goes out lifting a suitcase. That's the thing about choices: they rarely shout. Most whisper. At the moment, they feel light, harmless, and even forgettable. But over time, they stack up and eventually shape everything.
It's the same in commercial real estate.
For years, the market rewarded financial engineering. Falling interest rates, cap rate compression and cheap capital allowed many investors to ride the momentum and still generate strong returns. That era is over.
We're now operating in a higher-for-longer environment. Interest rates are elevated, traditional lenders have pulled back, and capital markets are volatile. Macroeconomic disruptions, geopolitical risk and inflation-shifting trading policy are repricing risk in real time.
In this environment, every move matters. Every decision, whether to buy, sell, recapitalize or hold, carries more weight than it did even a year ago.
· Capital must be deployed with precision. The margin for error has narrowed. Mispricing risk, overleveraging,or relying on optimistic underwriting can quickly impair a deal.
· Liquidity is a strategic advantage.In a market where many lenders have pulled back or lowered leverage, execution certainty is no longer assumed. It's earned.
· Fundamentals, not financial engineering, define success. Cap rate compression is no longer the tailwind it once was. Returns must come from operational excellence, asset quality and disciplined management.
· Time is costly. In action can be just as damaging as a poor decision. Delays in refinancing or hesitation in uncertain markets can weigh heavily on performance.
At Peachtree, we've built our platform for this exact environment. With a fully integrated investment and credit platform, deep experience across market cycles, and flexible capital ready to deploy, we're well-positioned to take decisive action when others hesitate.
Because in this market, as inlife, every action has a weight and the most successful outcomes are born from clarity, discipline and conviction.
Private credit remains one of the most compelling solutions in today's market, offering downside protection, yield and flexibility. And with traditional capital still constrained, special situation investing is gaining momentum as a primary strategy to unlock value in a dislocated market.
As the landscape evolves, we continue to seek opportunities that leverage our strengths and provide value to our investors.
— Greg Friedman | Managing Principal & CEO of Peachtree Group
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Peachtree Group CEO Recognized as 2025 Industry Leader in Commercial Real Estate Finance
ATLANTA (May 5, 2025) - Peachtree Group (“Peachtree”) is proud to announce that Greg Friedman, managing principal and CEO, has been recognized among the 2025 Rainmakers in CRE Debt, Equity & Finance by GlobeSt.,and named to Commercial Observer’s prestigious Power Finance list. These industry-leading accolades highlight Friedman's exceptional leadership, strategic innovation and enduring impact on the commercial real estate finance landscape.
Inclusion on the GlobeSt. Rainmakers list acknowledges Friedman's ability to navigate one of the most challenging commercial real estate finance periods. Amid elevated interest rates, tightening capital markets and declining valuations, Friedman has led Peachtree's vertically integrated management platforms with clarity and conviction. His approach has helped stakeholders unlock value, access liquidity and capitalize on market dislocation.
Commercial Observer’s Power Finance list further affirms Friedman’s influence and adaptability. As lenders retracted and transaction volume slowed, Peachtree continued to deliver creative capital solutions from originating loans to establishing strategic partnerships and playing across the capital stack. Under Friedman’s leadership, Peachtree has remained a dependable partner known for its certainty of execution, critical expertise and a solutions-driven mindset.
“These recognitions are a testament to Greg’s vision and our entire team’s commitment to being a steady force in an unpredictable market,” said Jatin Desai, managing principal and CFO of Peachtree. “Our strategy has always centered on disciplined investing, innovation and building strong relationships. Greg has set the tone.”
Peachtree’s success is powered by a high-performing, deeply experienced team that brings together the full spectrum of credit, equity, development and asset management expertise. This collective strength allows the firm to respond decisively to market shifts, underwrite with conviction and deliver solutions others can’t.
Peachtree has executed over $12 billion in commercial real estate transactions since inception. Its integrated platform aligns real estate, credit and capital markets expertise, positioning the firm to identify opportunities, deploy capital efficiently and manage risk across cycles.
Peachtree Group Closed 22 Loans Totaling $487.8MM in the Last 90 Days
May 2025
Peachtree Group is a nationwide direct balance-sheet lender, offering competitive terms, in-house loan servicing, and flexible capital to handle a wide array of projects.
Peachtree provides full-stack debt capital solutions to qualified commercial real estate owners across all sectors throughout the U.S. We offer bridge, construction, mezzanine, preferred equity, CPACE, permanent and NNN financing.
See below for some of the most recent loan transactions from Peachtree Group including hotel loans, retail, multifamily, industrial, and land.
Need Financing? Contact us at lending@peachtreegroup.com.
Peachtree Group Closed 22 Loans Totaling $487.8MM in the Last 90 Days
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In The News
- Peachtree Group CEO Recongized as 2025 Industry Leader in Commercial Real Estate Finance
- Commercial Observer: Peachtree Group Provides $35MM Refi for SoCal Hotels
- Commercial Observer: Peachtree Group Refis Seattle Hotel with $68MM Loan
