X-Caliber Rural Capital (XRC) and CastleGreen Finance, affiliates of US-based real estate finance franchise X-Caliber, have closed a $33.5m combined transaction.
The debt package is for the refinance and construction of a new almond processing facility and a renewable energy system for California Custom Processing (CCP) in Madera.
The US Department of Agriculture (USDA) loan will repay the property owner’s debt and fund the development of an adjacent 52,500ft² structure.
XRC funded $29.5m under the USDA’s Food Supply Chain Guaranteed Loan Programme while CastleGreen donated $4m by California's Statewide Communities Development Authority - Open PACE Programme (CSCDA).
XRC co-founder and executive manager Jordan Blanchard said: “We are pleased to provide long-term financing for our partners at CCP to support the growing almond industry.
“The combination of this USDA Food Supply Chain Loan plus C-PACE financing is a winning formula that delivers a competitive financing package for our client while supporting the environment and the retention of permanent jobs in Madera and surrounding communities.”
The C-PACE structure will cover renewable energy upgrades on the current 65,000ft² almond processing facility such as a rooftop solar array, battery storage, and seismic resilience enhancements for the facility expansion.
The array is expected to create 1.5 million kilowatt-hours of solar power per year, resulting in an annual CO₂ emissions reduction of 1,067 metric tonnes.
Electricity bill reductions are expected to total more than $14.3m throughout the system’s lifetime.
CastleGreen Finance managing partner Sal Tarsia said: “Combining a USDA and C-PACE structure under one roof provides an innovative, long-term financing solution that delivers strong economic and positive environmental impact.”
The next extension project is planned to finish by 2025 and will maintain 48 full-time jobs.
XRC and CastleGreen completed a $52m deal in October last year, combining a USDA Food Supply Chain Guaranteed Loan with C-PACE financing to develop a new 254,000ft² cold storage plant in Madera.
