Item 8.01 Other Events.

Hannon Armstrong Sustainable Infrastructure Capital, Inc. ("the Company"),
through its subsidiary, entered into certain agreements relating to the
acquisition, ownership and management of approximately $663 million in preferred
cash equity investments in three partnerships (the "Partnerships") that expect
to own cash equity interests in an approximately 1.6 gigawatt portfolio of
onshore wind, utility-scale solar and solar-plus-storage projects (the
"Renewables Portfolio") developed and managed by one or more subsidiaries of
Clearway Energy Group LLC ("CEG"), one of the largest developers and operators
of clean energy in the United States. The Company has made initial investments
in the preferred cash equity interests of the Partnerships of approximately $200
million in 2020 and additional investments are expected to be made in 2021 and
2022 as the projects become commercially operational. The remaining ownership of
the cash equity interest in the Partnerships is expected to be held by CEG
and/or one or more subsidiaries of Clearway Energy, Inc. ("CWEN") (NYSE: CWEN,
CWEN.A), a leading publicly traded energy infrastructure investor focused on
modern, sustainable, and long-term contracted assets across North America. CEG
will continue to manage the Renewables Portfolio and provide operations and
maintenance.
Subject to the satisfaction of certain conditions, through a series of preferred
cash equity investments, each of which is independent of the other, in the three
Partnerships, the Company expects to invest approximately $663 million in the
Partnerships with such investments occurring on or around the date each related
project is completed. Through December 21, 2020, the Company has invested an
aggregate amount of approximately $200 million in two Partnerships relating to
preferred cash equity interests in an operating utility-scale solar project
located in Kern County, California and an operating wind project located in
Fisher and Nolan County, Texas. On December 21, 2020, the Company agreed,
subject to the satisfaction of certain conditions, to make additional
investments associated with one of the two existing Partnerships related to two
wind projects anticipated to be commercially operational on or prior to December
31, 2021, located in Callahan County, Texas and Mineral and Grant County, West
Virginia. On the same date, the Company also agreed, subject to the satisfaction
of certain conditions, to make an investment in a third Partnership relating to
a utility-scale solar and storage project located in San Bernardino County,
California and an investment in one of the existing Partnerships relating to two
utility-scale solar projects plus co-located storage located in Oahu, Hawaii, in
both cases anticipated to be commercially operational on or prior to December
31, 2022.
If the Company invests in each of the series of opportunities, which is the
Company's expectation, the Renewables Portfolio will consist of three onshore
wind projects, one utility-scale solar project, and three utility-scale
solar-plus-storage projects including:
•Daggett Solar: a 482 megawatts (MW) utility-scale solar project with 320 MW of
co-located storage located in San Bernardino County, California.
•Mesquite Star: a 419 MW wind project located in Fisher and Nolan County, Texas.
•Mesquite Sky: a 345 MW wind project located in Callahan County, Texas.
•Rosamond Central: a 192 MW utility-scale solar project located in Kern County,
California.
•Black Rock: a 110 MW wind project in Mineral and Grant County, West Virginia.
•Waiawa and Mililani: a 36 MW utility-scale solar project and a 39 MW
utility-scale solar project with 75 MW of co-located storage located in Oahu,
Hawaii
The Renewables Portfolio currently has contracted cash flows with a combined
weighted average contract life of greater than 14 years with a diversified group
of predominately investment grade corporate, utility, university, and municipal
offtakers, including AEP, Brown University, Cisco, Ecolab, Intuit, Lowe's and
Toyota.
Each Partnership is expected to be governed by a limited liability company
agreement by and among one of the Company's subsidiaries and one or more
subsidiaries of CEG and/or CWEN, that will contain customary terms and
conditions. Most major decisions that may impact each of the Partnerships, its
subsidiaries or its assets, require a unanimous vote of the representatives
present at a meeting of a review committee in which a quorum is present. The
review committee is a four person committee, which includes two Company
representatives and two CEG or CWEN representatives. Through each Partnership,
commencing on a certain date following the effective date of the applicable
limited liability company agreement, the Company will be entitled to preferred
distributions until certain return targets are achieved. Subject to customary
exceptions, no member of a Partnership can transfer any of its equity ownership
in any Partnership to a third party without approval of the review committee of
that Partnership. The Company expects to use the equity method of accounting to
account for its preferred equity interest in each Partnership.
If the Company invests in each of the series of opportunities, this portfolio is
expected to significantly increase and diversify the Company's renewables
portfolio of wind and solar energy projects and support continued growth in
recurring net investment income. The Renewables Portfolio is expected to have an
estimated CarbonCount® of 1.06 metric tons of carbon dioxide equivalent (CO2e)
reduced annually per $1,000 invested, and it is expected that the Company's
investment will avoid an estimated 703,000 metric tons of CO2e annually,
equivalent to the CO2e emissions from the annual electricity consumption of
approximately 119,000 U.S. homes.

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