Texas-based Activate Renewables, which acquires real estate and royalty interests in wind, solar and energy storage, said it closed on the purchase of a renewable energy real estate portfolio owned by Alchemy Renewable Energy.

The portfolio consists of the real estate related to five solar projects located in North Carolina and Texas. Terms were not disclosed.

Activate said it works with developers to buy land, leases or purchase options associated with renewable energy projects. Activate is funded by D.E. Shaw Renewable Investments (DESRI), with permanent capital that it said is lower in cost than equity and without debt restrictions.

The company said that by separating the land cost, it can improve both project returns and tax efficiency. 

Activate said that to date, it and its affiliates have acquired or signed agreements to fund acquisitions totaling more than 8,800 solar acres and 62 wind turbines directly supporting more than 2.8 GW of existing or planned renewable power generation across 20 states.

In August, Activate said it had bought a portfolio of renewable ground leases from a fund managed by the Infrastructure Opportunities strategy of Ares Management. That portfolio included wind and solar property leases that together supported more than 115 MW of capacity. The portfolio’s assets were located across three states with long-term power purchase agreements in place.