On December 9, 2024, HA Sustainable Infrastructure Capital, Inc. a Delaware corporation (the “Company”) commenced, subject to market conditions, a private add-on offering (the “Offering”) of 6.375% green senior unsecured notes due 2034 (the “Notes”). At issuance, the Notes will be guaranteed by Hannon Armstrong Sustainable Infrastructure, L.P., Hannon Armstrong Capital, LLC, HAT Holdings I LLC, HAT Holdings II LLC, HAC Holdings I LLC and HAC Holdings II LLC. In connection with the Offering, the Company distributed a preliminary offering memorandum which included the following Company update:
Investments Ovreview
As of September 30, 2024, we had over $5.5 billion of transactions in our pipeline comprised of more than 150 opportunities with over 30 programmatic clients that could potentially close in the next 12 months, of which 46% are related to BTM assets, 30% are related to GC assets and 24% are related to FTN assets. We prefer investments in which the assets use proven technology and have a long-term, creditworthy off-taker or counterparties. For BTM assets, the off-taker or counterparty may be the building owner or occupant, and our investment may be secured by the installed improvements or other real estate rights. For GC assets, the off-takers or counterparties may be utility or electric users who have entered into contractual commitments, such as power purchase agreements, to purchase power produced by a renewable energy project at a specified price with potential price escalators for a portion of the project’s estimated life. There can, however, be no assurance with regard to any specific terms of such pipeline transactions or that any or all of the transactions in our pipeline will be completed.
The two highest volume asset classes within our completed transactions have changed every year since the year ending December 31, 2020. As of the years ending December 31, 2023, 2022, 2021and 2020, the two highest volume asset classes within our completed transactions have been FTN and Community Solar, Public Sector and Residential Solar, Public Sector and GC Solar, and Onshore Wind and GC Solar, respectively. The two highest volume asset classes within our completed transactions through November 7, 2024 have been GC Solar and Public Sector. We completed approximately $1.7 billion in transactions through November 7, 2024 and expect to add approximately 10 new clients in 2024.
As of September 30, 2024, pursuant to our strategy of holding transactions on our balance sheet, we held approximately $6.3 billion of transactions on our balance sheet, which we refer to as our “Portfolio,” an increase in growth year-over-year of 15%. As of September 30, 2024, our Portfolio consisted of approximately eight asset classes, with a portfolio yield of 8.1%. Our new asset yields, excluding follow-on investments of previous transactions, for the nine months ended September 30, 2024 yielded approximately 10.5% on average. We seek to manage the diversity of our Portfolio by, among other factors, project type, project operator, type of investment, type of technology, transaction size, geography, obligor and maturity. For those transactions that we choose not to hold on our balance sheet, we transfer all or a portion of the economics of the transaction, typically using securitization trusts, to institutional investors in exchange for cash and/or residual interests in the assets and in some cases, ongoing fees. As of September 30, 2024, we managed approximately $6.8 billion in assets in these securitization trusts or vehicles that are not consolidated on our balance sheet. When combined with our Portfolio, as of September 30, 2024, we manage approximately $13.1 billion of assets which we refer to as our “Managed Assets,” an increase in growth year-over-year of 14%.