As a commercial tenant, whether you’re a consumer-facing retailer or a third-party logistics provider, you’re likely focused on your bottom line while balancing your sustainability goals.
Transitioning to renewable energy - solar and battery storage - can be a great option for addressing both. Solar energy purchased through a PPA can drop your energy prices, and reduce your carbon footprint by cutting down on energy consumed from the dirty grid. But, it’s often the case that concerns about your lease length stand in your way.
How lease lengths can affect your solar decision
As you consider your portfolio, you likely have various lease terms across multiple buildings and landlords. You may be asking yourself: What if I have a short lease? Will my landlord still go for it? Will I have to extend my lease? Will my rent increase?
The solution is to enter a fixed tariff solar energy PPA, aligned with your commercial lease length. Here’s our guidance based on your remaining term:
10 or more years left: These are slam-dunk cases. Since InRange will fix your energy price for up to 10 years, you can significantly hedge against long term volatility of the energy market and your landlord is ensured stable revenue well past their payback period.
5-9 years left: InRange’s unique revenue generation model drives short payback periods. When the payback period is shorter than the remaining term, landlords are much more likely to move forward with solar installations. Recommend these sites to your landlord(s) - we handle the rest.
Less than 5 years left: If you have a lease event within the next 5 years, you can still enter a fixed PPA:
In situations where the payback period is longer than your remaining term, InRange’s model of selling export ensures your landlord continues to generate significant revenue even in the case of a void period. Since shorter lease terms are especially common in the logistics industry, your landlord can still get the revenue stability they need to move forward - both during and after your remaining term.
If you don’t want to rely on your landlord installing solar, you can buy energy directly from the InRange Marketplace. InRange packages excess energy generated from local commercial buildings, and sells it to you as a “sleeved PPA”, directly working with your existing energy supplier.
Regardless of lease length, InRange offers your landlord a variety of flexible financing options that will reduce their risk while offering you a fixed on-site tariff that will cut your energy costs by 25%.
A portfolio approach
InRange is not just a solar developer, but an energy procurement platform. We look across your entire portfolio of sites, and as your lease terms and landlords differ, so will your site by site strategy. Our team of experts can help you and your landlord navigate your options to align your incentives and ensure a win-win scenario.
Add your sites on the InRange platform, including lease events, and you’ll instantly get a solar offer. Your short lease sites can even buy excess energy from your long lease sites!