Gemstone Renewable Energy Efficiency Fund

United States of America

Last updated 13 May 2020, by Impactyield.

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Gemstone Renewable Energy Efficiency Fund, LP (GREF) is newly formed investment partnership to make specialty project finance investments in both renewable energy and energy efficiency middle market commercial and residential transactions. The managers are transforming their transaction oriented intermediary business into a full service specialty project finance fund. The Fund will be a capital resource to the renewable energy middle market commercial and residential sectors which are significantly underserved by traditional capital sources. GREF will invest in a portfolio of renewable energy and energy efficiency related assets through a series of senior and subordinated securities both secured and unsecured. In all cases GREF will employ conservative project finance investing principles and risk management (as described further below) to provide both principal protection and enhanced returns.

Gemstone is forming GREF and it will be managed by a Gemstone affiliate Tier 1 Generation, LLC. Gemstone has successfully raised and deployed capital for two active funding programs, Keystone HELP and CT Solar Leasing. Additional details on these programs are available.

GREF is seeking accredited high net worth, family office, and institutional investors (Investors) to execute its strategy. Investing with GREF’s expertise in renewable project finance provides a path for Investors to achieve a steady, risk adjusted current cash return.

Fund style

Not listed

Financial description

As an income fund, the capital raised would be invested in debt type investments in the US and return P&I quarterly throughout the fund life. We will enhance the debt with reserves or guarantees like a project financing.
GREF intends to provide investors a greater than 7% return after fees and expenses. Investors will fund an initial investment with the subscription and have follow on calls during the investment period. Thereafter, investors will receive principle and interest back on a quarterly basis.
GREF has a 1.5% closing fee and annual expense payment of .15% which is paid by the LP. GREF charges a performance based management fee up to 50 bps on each transaction. Additional revenue opportunities structured into any given transaction is shared 50/50% between the Manager and the LPs.

11 years

of track record


the year funded

150,000,000 USD


Asset manager

SDG goals

SDG targets

Equal rights to ownership basic services technology and economic resources

Double the improvement in energy efficiency

Expand and upgrade energy services for developing countries

Develop sustainable, resilient and inclusive infrastructures

Key performance indicators

Fund overview

Asset manager: The Gemstone Group

Product track record: Fund has 11 years of track record

Target IRR: 7%

Committed Capital: 0 USD (US Dollar)

Target return category: Risk-adjusted market-rate of return

Fund domicile:

Product status:


Inception year: 2012

Vintage year: n.a.

Target region: , , ,

Target close date: 01/06/2013

Product term: 12 years, quarterly returns

Assets under management: 150,000,000 USD (US Dollar)

Investment size: Min: 5,000,000; Max: 30,000,000; Avg: 12,500,000

Co-investment policy:

Currency of investments:

Currency for fund / product figures:

Fund investments to date: 0

Fund investments to date exited or repaid: 0

Management fee: n.a.

Carried interest: n.a.

Hurdle rate: n.a.

GIIN Investors' Council Investment: No

Limited Partners / Investors: n.a.

Limited Partner / Investor Type: Development Finance Institution (DFI), Endowments/Foundations, Family Office, Pension Funds, Other Institutional Investors




Phone number: +1 (610) 825-1578

If you wish to have your details removed from this database please email

Adam Stern


Gary Kleiman


Impact Performance


Impact thesis

Consumers and businesses want to make prudent technological and behavioral changes which directly advance methods of dealing with climate change. However, the appropriate investment capital for our focused markets (consumers to middle market businesses) is missing or, at best, in very limited supply.
By creating this focused fund, energy users can displace traditional utility supplied power with a renewable green source of power at lower prices over the project period. GREF will provide needed specialized financing to proven operating structures set up to monetize the tax incentives (as applicable), renewable energy credits, and financing payments that make these projects attractive.
Traditional sources of capital are not serving the smaller market segment and, together, we want to be financial leaders to stimulate family economic development, job growth, energy savings, and cleaner energy without sacrificing investor return. With coordination among states and nonprofits, this fund will also serve moderate income, low income, and community revitalization borrowers, again without sacrificing investor return. This initiative is an extension of our earlier successful smaller funding programs in energy efficiency ( and solar (

Impact Management


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Term Description:


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