PACE Loan Group closes New Jersey’s first C-PACE loan

$45.5M loan recapitalizes Island Waterpark at Showboat in Atlantic City

Minneapolis, MN/ Atlantic City, NJ — Island Waterpark at Showboat, a 120,000 s/f water park and entertainment center in Atlantic City, NJ, secured a $45.5 million C-PACE loan, the first C-PACE loan to close in New Jersey’s new C-PACE program on Dec. 31, 2025.

The loan will recapitalize the construction loan used to build the park, which includes 10 waterslides, a multi-level children’s play structure, a lazy river, four restaurants, and three bars. The waterpark, which opened in June 2023, is adjacent to the Showboat resort. Both are owned by Bart Blatstein, a Philadelphia investor, developer, and owner of Tower Investments Inc.

“This loan closed in less than two months, helping us meet our business goals going into 2026. Beyond that extraordinary timeline and given that this was the first C-PACE loan in NJ, the PACE Loan Group team’s diligence with NJ’s C-PACE program led to an exceptionally smooth closing,” said Blatstein.” He has owned the Showboat Resort since 2016 and received approval in 2020 to convert an adjacent surface parking lot into the Island Indoor Waterpark. Construction of the waterpark began in 2022 after the site was converted from a casino, which operated until 2014.

“Being able to retroactively pay down the construction debt with C-PACE provides efficient long-term, permanent financing,” said Jerry Ellis, managing director/head of loan structuring – PACE Loan Group. “With the flexibility of C-PACE, we expect to see significant interest from New Jersey developers.”

The C-PACE proceeds were used to finance energy conservation and renewable energy measures retroactively. Qualifying projects included the building envelope, LED interior lighting, high-efficiency natural gas pool heaters, and the HVAC system.

The C-PACE program was approved in New Jersey in October 2024 and started taking applications on July 30, 2025. It is administered by the Garden State C-PACE Program, a program of the New Jersey Economic Development Authority. In addition, Atlantic City Mayor Marty Small and Council president Sporty Randolph were instrumental in passing C-PACE legislation in the city.