healthcare

H-PACE™ for Hospitals

H-PACE™ financing provides a new source of funds to help hospitals manage their annual and long-term capital programs.

What H-PACE™ Solves

For most hospitals, the second largest cash outflow item, after payroll, is capital spending. Aging plants, obsolescence and emerging technologies, advances in medical knowledge, changing standards of care, changing reimbursement, and consumer choice all create tremendous demand for capital spending year in and year out.

Finding enough cash and debt resources is often one of the biggest challenges for any institution.

Why Use H-PACE™?

H-PACE™ provides access to capital that is repaid through a new property assessment on the respective owner’s property tax bill and is available to both nonprofit and for-profit hospitals. Although most nonprofits do not pay ad valorem property taxes, they can pay annual property assessment payments.

H-PACE™ does not require a loan agreement, and there are no financial covenants or institutional guarantees. H-PACE™ is less expensive than traditional capital leasing, and you own the assets from the date of acquisition.

In our experience, more than 50% of any construction project and a wide array of large capital purchases can qualify for H-PACE™ financing.

Another great utility of H-PACE™ is to reimburse your hospital for prior qualifying expenditures. The cash received through this reimbursement can be used for any working capital needs or other CapEx projects.

To get started with H-PACE™, you can completed a PACE360™ Assessment where we review your CapEx budget or construction budget details at no cost to determine how much of your planned spending will qualify for H-PACE™ financing.

Get a PACE360™ Assessment

We will assess your project or portfolio, confirm PACE eligibility, uncover the maximum amount of PACE financing available and provide general terms, structure, and the process to achieve a successful funding.

Get Started