U.S. Bancorp and SolarCity have created a renewable energy tax equity fund that will help to initiate the first phase of project SolarStrong, SolarCity's five-year, nationwide initiative to provide existing privatized military housing with access to solar power.
U.S. Bancorp's most recent investment represents an expansion of an ongoing partnership with SolarCity. The partnership first began in 2009 to finance solar projects for U.S. homeowners and businesses.
SolarStrong is ultimately expected to create up to 300 MW of solar generation capacity that could provide power to up to 120,000 privatized military family homes. If completed as anticipated, SolarStrong is expected to be the largest residential solar photovoltaic project in American history, according to SolarCity.
SolarCity initially sought a U.S. Department of Energy loan guarantee for the project, but the loan guarantee was not finalized in time for the program's deadline. SolarCity and Bank of America Merrill Lynch subsequently agreed to terms on a separate financing agreement for SolarStrong.