The ROI of Solar for Commercial Properties: What You Need to Know

By: Michael Markowitz

In early 2025, Debonné Vineyards, a family-run winery in Ohio’s Grand River Valley, became the first in the region to switch to solar power. The installation cost over $400,000, but is already delivering major returns: cutting electricity costs nearly in half while reducing carbon emissions by an estimated 144 tons each year. With projected savings, the system should pay for itself within a decade. For Debonné, solar isn’t just about sustainability—it’s a smart financial decision that strengthens the bottom line.

As commercial property owners face rising energy costs and sustainability pressures, examples like this show that commercial solar energy is both responsible and profitable.

Debunking myths about solar ROI

Many businesses hesitate to go solar because it can seem expensive, complicated, or unreliable. But these misconceptions may be holding owners back from real financial and operational benefits. Here’s a closer look at the facts behind common myths:

• Myth: Solar is too expensive or too complex

• Fact: Solar installation has become more affordable than ever, and government incentives can further reduce upfront costs.

• Myth: Only large corporations or buildings with massive rooftops benefit

• Fact: Solar systems can be tailored to fit properties of all sizes, from small office complexes to multi-story towers.

• Myth: Solar savings are unpredictable

• Fact: Modern monitoring systems and historical data make forecasting energy savings much more reliable, and pairing solar with batteries provides a consistent power supply even when the sun isn’t shining.
  
  

• Myth: Solar requires high maintenance

• Fact: Solar panels typically need minimal upkeep, and most come with long-term warranties covering decades of operation.

Cost breakdown: upfront vs. long-term savings 

Sure, going green seems to cost a lot of green. 

Adding solar panels to a commercial property does involve upfront costs—equipment, design, and installation. For example, a 100,000-square-foot office building might spend $400,000–$600,000 on a rooftop system.

But in the long run, eco-friendly choices can add up to real savings. Annual electricity bills can drop 30%–50%, often translating to tens of thousands of dollars cut from annual operating costs. Over 15–20 years, total benefits can easily exceed the initial investment several times over.

Solar can also increase a building’s value, making it more attractive to tenants and investors. It supports environmental, social, and governance (ESG) goals, strengthening a company’s sustainability profile and appeal to stakeholders.

For businesses concerned about upfront costs, financing options like solar leases or power purchase agreements (PPAs) provide another path. These arrangements allow solar systems to be installed with minimal initial investment while still capturing the long-term energy savings.

Impact of tax incentives and rebates on ROI 

Federal, state, and local incentives can dramatically boost the ROI of a solar project. The federal Investment Tax Credit (ITC) allows building owners to deduct 30% of system costs from taxes, while many states and municipalities offer additional rebates or performance-based incentives.

For example, a property in California might combine the ITC with a $50,000 state rebate, cutting upfront costs nearly in half. In New York, the NY-Sun program can provide tens of thousands in rebates, accelerating savings even further.

With programs like these, a project that would normally take a decade to recoup its costs could start paying for itself in just 5–6 years. Planning for incentives early maximizes financial benefits and turns solar into a smarter, faster investment.

Commercial solar isn’t just an eco-friendly choice—it’s a smart financial move. By understanding costs, long-term savings, and available incentives, businesses can confidently recognize the value of solar panels for commercial buildings. Whether panels are installed on a small office facility or across a corporate campus, they help cut energy costs, strengthen sustainability efforts, and keep tenants satisfied.

Curious about how much your property could save? Download GreenScale Energy’s free ROI calculator to estimate your potential solar savings and start planning a greener, more profitable future today.

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