**New Petros CEO Kevin McMeen Aims to Build on Platform’s Strength and Leverage Broader Experience**
Kevin McMeen recently stepped into the role of President and CEO at Petros PACE Finance, one of the nation’s leading providers of Commercial Property Assessed Clean Energy (C-PACE) financing. Based in Austin, Petros has built a portfolio of nearly $2 billion in balance sheet-funded C-PACE transactions. With decades of experience in real estate lending and structured finance, including co-founding MidCap Financial, an Apollo Global Management portfolio company, McMeen aims to drive Petros into a new phase of growth.
In an interview, McMeen shared his vision for Petros, the evolving landscape of C-PACE financing, and how the company is strategically positioned for continued success.
**Q: You’re in your first few months as CEO and President of Petros. What drew you to the company, and what excites you about leading it into its next phase?**
**A:** I was drawn to Petros for many reasons, including the opportunity to leverage my broader real estate experience within the C-PACE industry. I knew this was a unique opportunity to join a strong team that’s already been leading the way forward in real estate financing.
What excites me about the road ahead is building on that foundation. Petros has always been a leader in the C-PACE industry, and my goal is to continue that tradition while expanding our reach and deepening our institutional relationships. We’re focused on bringing in complementary talent with experience in complex transactions and deep ties to institutional investors. That’s key as we work to drive broader acceptance of C-PACE in the institutional market.
We are also refining our capital strategy by identifying cost-effective approaches to the debt stack, opening new investor relationships, and ultimately lowering the cost of capital. All of this helps position us to be more competitive and active in a growing market.
**Q: Petros is a recognized leader in the C-PACE space, but how do you view its role more broadly as a commercial real estate capital provider?**
**A:** At the end of the day, we provide affordable capital for commercial real estate projects. While C-PACE financing must be used for energy-efficient and sustainable upgrades—which is a good thing—our larger value comes from offering capital that simply makes financial sense. Developers have choices. It’s our job to make C-PACE compelling through competitive pricing, a user-friendly process, reliable term sheets, and best-in-class service. That’s how we continue to be both a C-PACE leader and a trusted source of capital in the market.
*Petros PACE Finance recently provided $15 million in C-PACE financing for the new construction of the AC Hotel by Marriott in Knoxville, Tennessee.*
**Q: What makes Petros uniquely positioned to continue deploying capital when the market tightens or economic conditions become uncertain?**
**A:** At Petros, we prioritize alignment between our originations and underwriting teams to ensure a shared credit perspective. That continued collaboration allows us to adapt in real time to shifting market conditions—whether that means reassessing pricing or finding creative ways to structure deals in a rising interest rate environment.
We also focus on building strong relationships with experienced, well-capitalized sponsors who work collaboratively with us to close deals. That kind of partnership is essential in any market, but it becomes especially critical during periods of uncertainty.
**Q: Petros recently closed its first joint unitranche transaction. What does this structure offer borrowers, and how does it align with your broader strategy?**
**A:** A unitranche structure allows us to partner with a first mortgage lender to offer a single, integrated financing solution. For borrowers, that means simplicity and efficiency—two things developers greatly value. It also reflects our broader strategy of offering best-in-class service and seamless access to capital. We want developers to know they can come to us for fast, affordable capital and for connections to senior lenders who understand and support the benefits of integrating C-PACE into the capital structure.
**Q: How is C-PACE penetrating the large loan market, and how do you see deal size, structure, and sophistication evolving as the market matures?**
**A:** C-PACE is making steady inroads into the institutional market, and much of that progress has come from how we structure our deals. Traditionally, C-PACE loans were fully funded up front, which led to negative arbitrage. At Petros, we’ve been addressing that by implementing multi-tranche deal structures, which allow for more efficient use of capital by both borrowers and lenders.
These kinds of innovations are becoming more common as larger and more sophisticated players enter the space. We intend to remain at the forefront of that evolution, finding new ways to win business and grow the market. It’s an exciting time, and I’m proud to be leading Petros as we continue pushing boundaries and expanding the impact of C-PACE financing.
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