Healthcare provider DaVita has signed virtual power purchase agreements for a portion of the output of two renewable energy projects under development in Texas.
The projects, one wind and one solar, are being developed by Longroad Energy. DaVita says they will cover the electricity needs of its entire North American operations. Schneider Electric Energy & Sustainability Services advised the healthcare company on the contracts and Wilson Sonsini was the offtaker's legal counsel.
Charles Spiliotis, chief investment officer at Longroad in San Francisco, and spokespeople for DaVita in Denver declined to comment on the identities of the projects. A Schneider Electric representative in Minneapolis did not respond to inquiry.
Longroad is working on five renewables projects in Texas, two of which have already been financed.
CIT led on the financing for the developer's 250 MW Phoebe solar facility, which is due to be online this summer and will sell 89% of its output to Shell Energy North America under a 12-year deal. Innergex acquired the project at financial close (PFR, 7/3/18).
Keybanc Capital Markets, meanwhile, arranged the financing for the 238 MW Rio Bravo wind farm in Starr County, which Longroad is also due to bring online this summer. Rio Bravo has a 15-year hedge with Citi. Sammons Renewable Energy has acquired the project (PFR, 12/12/18).
The developer is again working with CIT Bank to finance its 300 MW Prospero solar project in Andrews County (PFR, 2/14).
The two other Texas projects in its development pipeline are the 220 MW Vera wind project in Knox County and the 150 MW Bestla solar project in Winkler County.