Aypa Power secures $535m for hybrid solar and energy storage project in California

Aypa Power, a company within the Blackstone portfolio, has secured $535m in debt financing for a 320MW solar-plus-storage project in San Bernardino County, California, US.

The project, known as Vidal, will combine 160MW of solar generation with a 160MW/640 megawatt-hour (MWh) battery energy storage system (BESS), aiming to enhance grid reliability and support California’s carbon-free electricity goals.

Santander Corporate & Investment Banking played a pivotal role as coordinating lead arranger, mandated lead arranger, green loan coordinator, lender and LC (letter of credit) issuer.

US Bank National Association, through its US Bancorp Impact Finance subsidiary, and Zions Bancorporation, N.A. were also involved as mandated lead arrangers and lenders.

Siemens Financial Services and Associated Bank, N.A. contributed as managing agents and lenders.

Expected to become operational in 2026, the Vidal project will deliver electricity, resource adequacy and renewable energy certificates to San Diego Community Power through a long-term power purchase agreement.

The initiative is projected to generate more than $13.5m in local economic benefits and create up to 260 construction jobs in San Bernardino County.

Aypa Power chief financial officer Marc Atlas said: “Closing this large financing for the Vidal project reflects the strong confidence top-tier lenders have in Aypa Power’s ability to deliver grid-scale assets that generate compelling, long-term returns.

“We appreciate the trust of our lender group as we scale investments to meet California’s growing grid reliability needs.”

In January, the company also secured $190m for its Bypass BESS project in Fort Bend County, Texas.

The 200MW/400MWh facility is designed to meet the storage capacity needs of the region. The financing package for the Texas project included a $68m construction-to-term loan and a $91m tax equity bridge loan, totalling $159m for construction.