Crux arranges financing for UC San Diego battery project

Crux and EnerSmart announced financing for an 8 MW/40 MWh battery storage project at UC San Diego that is backed by a 10-year resource adequacy contract. The deal is designed to strengthen campus resilience and cut peak-demand costs, while also showing how fast-moving capital can support clean energy infrastructure.

Why it matters: - The project adds battery storage directly to UC San Diego’s microgrid, which can improve campus energy resilience. - The 8 MW / 40 MWh system is also designed to help reduce peak-demand costs for the university. - The financing shows how flexible capital can help move clean-energy infrastructure projects to completion even when costs and equity needs change.

What happened: - Crux and EnerSmart announced a senior secured construction-to-term loan facility for EnerSmart’s battery energy storage system project at UC San Diego. - The project is backed by a 10-year resource adequacy contract. - The announcement was made Oct. 29, 2026, in New York. - The battery system is sized at 8 MW / 40 MWh. - Crux arranged the debt financing through a targeted capital raising process.

The details: - Crux secured competitive debt and preferred equity proposals within three weeks. - The deal closed six weeks after the term sheet was signed. - Crux worked with EnerSmart, the lender and legal counsel throughout the process. - The facility was upsized to bridge an equity grant and absorb tariff-driven equipment cost increases. - The project will interconnect directly with UC San Diego’s advanced microgrid. - Crux said it supports developers and investors across the capital stack, including tax and preferred equity and transferable tax credits. - Crux also said it combines access to qualified lenders with data intelligence on pricing and market fluctuations. - Crux has executed billions of dollars in capital transactions for clients since 2023.

Between the lines: - The speed of the process suggests lenders are still willing to move quickly on projects with strong contracts and defined value to the grid. - The upsized facility shows how financing structures are being adjusted to cover grant timing gaps and higher equipment costs. - EnerSmart’s comments point to a project that depended on public- and private-sector coordination, not just one source of capital. - The deal also reinforces Crux’s position as a specialist in clean-energy capital formation rather than a generalist lender.

What's next: - The battery project will move toward construction and eventual operation under the financing structure announced by Crux and EnerSmart. - Crux is expected to continue structuring similar debt, tax equity and preferred equity transactions for clean energy developers. - The companies provided more information at Crux and EnerSmart.

The bottom line: - The UC San Diego deal pairs a resilience-focused battery project with a fast-arranged financing package that helps offset cost pressure and keep the project moving.