North Bridge Finances Herald Towers Electrification Project in First Multifamily C-PACE Deal in New York City

Infrastructure Modernization Financed with C-PACE Enhances Performance, Efficiency, and Long-Term Value for One Million Square Feet of Residential Space

NEW YORK, March 9, 2026 /PRNewswire/ -- North Bridge ESG LLC ("North Bridge"), a leading provider of real estate credit solutions, has announced the closing of $8.5 million in C-PACE financing to support infrastructure upgrades at Herald Towers, a three-tower apartment complex located at 50 West 34th Street in Midtown Manhattan, measuring nearly one-million-square-feet. The transaction marks the first multifamily C-PACE deal completed in New York City. C-PACE will enable upgrades that will enhance operational efficiency, reduce energy consumption, and align the property with New York City's long-term sustainability and carbon-reduction goals under Local Law 97. The financing will help modernize energy systems across the residential portion of property, which comprises 690 residential units. 

North Bridge's C-PACE financing brings long-term, fixed-rate capital into the structure at a significantly lower cost than other forms of subordinate financing, enabling the sponsor to pursue critical infrastructure upgrades.

JEMB Realty, the building owner, is deploying C-PACE to replace aging heating and cooling systems with electrified, high-efficiency equipment that reduces both carbon emissions and operating expenses while improving long-term building performance and ultimately increasing collateral value. In 2019, New York City enacted Local Law 97, establishing some of the nation's most comprehensive building emissions standards. CPACE helps owners integrate energy efficiency and decarbonization upgrades into their capital plans by financing up to 100% of eligible hard and soft costs.

"This transaction signals the growing institutional acceptance of C-PACE as a credit solution that supports long-term asset value," said Laura Rapaport, Founder and CEO at North Bridge. "This financing demonstrates how New York City's C-PACE program can meaningfully contribute to the City's electrification and retrofit goals and support significant building improvement projects."

"This first multifamily C-PACE deal shows what's possible when we take climate action seriously and center it in our existing housing," said New York City Chief Climate Officer Louise Yeung. "By helping building owners meet Local Law 97, C-PACE is cutting emissions while upgrading aging systems—making buildings healthier and more comfortable to live and work in for New Yorkers. Climate policy should improve people's lives, and this is a step in that direction."

"This transaction demonstrates how the PACE Program can help finance upgrades in multifamily buildings while supporting the City's policy goals," said Curtis Probst, CEO of the New York City Energy Efficiency Corporation (NYCEEC) and Administrator of the New York City PACE Program. "NYCEEC congratulates North Bridge on its first New York City PACE loan and welcomes their ongoing efforts to improve the lives of New Yorkers through the PACE Program."

North Bridge continues to strengthen its position as a national C-PACE leader, having secured a $1 billion strategic commitment from The Carlyle Group to expand its lending capacity. As a long-standing leader in the institutional C-PACE market, the firm consistently executes complex transactions across top-tier markets.

About North Bridge
North Bridge offers tailored C-PACE financing for new and recently completed projects across all commercial real estate asset classes nationwide. North Bridge has earned industry recognition for completing some of the largest and most innovative C-PACE projects to date by combining creative financial acumen with decades of real estate development expertise. With a commitment from Carlyle to provide up to $1 billion to facilitate the origination of C-PACE loans, the North Bridge team is uniquely positioned to design accretive credit solutions for institutional real estate projects. Further information is available at www.northbridgeops.com. Follow North Bridge on LinkedIn.

About JEMB Realty
Founded by Morris Bailey and Joseph L. Jerome in 1990, JEMB Realty is a real estate development, investment, and management organization. A family-run, third-generation company, JEMB is known for its long-term, hands-on approach to ownership and leadership. With deep roots and a forward-looking vision, JEMB combines decades of experience with a strong commitment to actively shaping and enhancing the communities in which it invests.

Today, JEMB Realty and its Canadian affiliate, BUSAC Real Estate, operate and manage a portfolio of office towers, shopping centers, and residential complexes totaling over 7 million square feet across North America. Current holdings are located in the Greater New York area and Montréal, (Québec) Canada.

SOURCE North Bridge