Golden-based SHF Holdings Inc., doing business as Safe Harbor Financial (NASDAQ: SHFS), closed a $500,000 loan to PI 51st Avenue LLC, a subsidiary of Pioneer Interests Inc., dba Natty Rems LLC. This loan is part of the Cannabis Resource Optimization Program (CROP) and is facilitated through partnerships with the Collective Clean Energy Fund (CCEF) and Partner Colorado Credit Union (PCCU).
The loan will be used to support energy-efficient upgrades at PI 51st Avenue’s cultivation and processing facility in Denver. Proceeds will allow for investment in energy-saving lighting and other essential equipment, promoting operational efficiency and sustainability in the cannabis sector.
This collaboration combines resources from CCEF, a nonprofit focused on clean energy financing, and PCCU, providing competitive loan terms to PI 51st Avenue. The loan features reduced borrowing costs through a cash collateral arrangement and an interest rate buydown agreement from CCEF.
“Through partnerships like these, Safe Harbor Financial is leading the way in providing cannabis businesses with tailored financing solutions that promote both industry growth and sustainability,” said Sundie Seefried, CEO of Golden-based Safe Harbor Financial. “Our collaboration with CCEF and PCCU exemplifies our ability to access resources from both nonprofit and financial institutions to offer cost-effective, environmentally conscious financing within the cannabis sector, setting a benchmark for responsible lending.”
Cannabis cultivation facilities in Colorado account for an estimated 2% of the state’s electricity consumption, making energy efficiency crucial for both environmental impact and cost savings. Energy expenses, including electricity, natural gas and propane, represent nearly 33% of operating costs for Colorado cannabis growers. Safe Harbor’s CROP loan program enables cannabis businesses to reduce these expenses and resource usage.
