Eversource Energy has closed the sale of an uncommitted lease area of approximately 175,000 developable acres located 25 miles off the south coast of Massachusetts to Danish offshore wind farm Ørsted for $625 million.
The transaction also includes a Tax Equity Capital Contribution Agreement for South Fork Wind, with Eversource providing an anticipated tax equity investment of approximately $545 million. Eversource expects to recover this investment primarily in the form of investment tax credits as turbines are placed in service for South Fork Wind, which is expected to commence commercial operation in late 2023.
“Eversource is fully committed to being a catalyst to the region’s clean energy transition, with our regulated companies procuring power from offshore wind as well as building many of the facilities that will enable more than 9,000 megawatts of offshore wind generation to reach the homes and businesses of Southern New England,” said Joe Nolan, Eversource’s president, chief executive officer, and chairman.
Emily Fu is Content Director of Connect Commercial Real Estate, where she covers the east coast markets, including New York, Boston & New England, and DC & Mid-Atlantic markets. She produces daily news stories as well as longer-form content, ranging from Q&As to thought-leadership pieces. She also writes feature stories for Connect Money.
With previous stints at Reuters, Seeking Alpha, and Commercial Observer, Emily has covered the finance side of the commercial real estate industry, technology, media, telecom (TMT), and fashion. She attended the Columbia Graduate School of Journalism and currently resides in Manhattan.