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Nuveen Green Capital PACEWELL 8 LLC Term Notes Series 2023-1 Scored 82/100 On Green Transaction Evaluation

NEW YORK (S&P Global Ratings) March 27, 2023--S&P Global Ratings said today that it scored Nuveen Green Capital's PACEWELL 8 LLC term notes Series 2023-1 as 82/100. We consider 93% of the underlying collateral to be in scope for our Green Transaction Evaluation.

The full Green Transaction Evaluation report is available here.

"A primary driver of the environmental benefit score of 82 is that most transaction proceeds are being allocated to green building construction and refurbishment projects, which support the displacement of carbon-intensive fossil fuel energy and thereby facilitate economy-wide decarbonization," said S&P Global Ratings primary analyst Ashley Yen.

The issuer will use the proceeds from the notes to finance energy efficiency, solar renewable energy generation, water conservation, seismic retrofit, and other commercial improvement projects as part of the commercial property assessed clean energy (C-PACE) program in 15 states plus the District of Columbia.

We consider Nuveen Green Capital's governance and reporting to be satisfactory. This reflects the strict cash management covenants associated with the transaction, the clear eligibility criteria for project selection, and the issuer's commitment to use the net proceeds from the notes exclusively to fund eligible green projects.

The transaction is aligned with the Green Bond Principles (GBP).

S&P Global Ratings' Green Transaction Evaluations are not credit ratings. A Green Transaction Evaluation is an asset-level environmental credential that builds upon current frameworks of governance and reporting (e.g., Green Bond Principles) and considers approaches for climate resilience and environmental impact. These analyses aim to provide investors with a comprehensive picture of the green impact and climate risk attributes of their portfolios and can be applied to any type of financing, in part or in full.

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