Lease-Purchase Financing

Public agencies regularly procure equipment such as vehicles, buses, portable buildings, and energy efficiency related projects. Capitol PFG regularly represents public agencies with the acquisition of equipment and financing of small capital projects. Capitol PFG works with a wide network of brokers, leasing companies, and underwriters in obtaining low cost financing with terms that best meet the objectives of their public agency clients.

Lease-purchase financing is a financial mechanism that can be used without voter approval to fund construction and acquisition of land along with furniture, buses, computers, etc. Using this method, the public agency makes payments to a leasing company. The leasing company then funds the project and in the end the ownership of the project is transferred to the public agency.

Capitol PFG has assisted a number of agencies with structuring and bidding lease purchase agreements. Capitol PFG has bid everything from police vehicles for the Grant Joint Union School District in Sacramento County to energy efficiency projects for the Roseville Joint Union High School District in Placer County, California. In all cases, Capitol PFG works with the vendor to ensure the financing is structured in a manner to best represent the financial interests of its client, including satisfy the delivery or acquisition requirements of the public agency and lender. Public agencies who have Capitol PFG conduct its bidding process will find that fees paid to Capitol PFG will be recouped on financings of five years or longer and in excess of $100,000. Our success is based on the experience and market recognition of the individuals who conduct the bid process of obtaining lease purchase agreements.