Sunrun Prometheus issuer 2026-1 receives preliminary KBRA ratings for solar-backed notes

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Sunrun Prometheus 2026 solar ratings

Highlights

Sunrun Prometheus Issuer 2026-1 received preliminary KBRA ratings for three tranches of notes backed by $844.4 million in diversified residential solar contracts.
The underlying portfolio comprises 79.5% power purchase agreements and 20.7% leases, with a weighted average remaining tenor of 261 months and average FICO score of 744.
California, Puerto Rico, and Massachusetts represent 58.2% of the system count and 69.1% of the discounted solar asset balance, underscoring key regional exposure.

Transaction structure and portfolio composition

As reported by Kroll Bond Rating Agency, the preliminary ratings apply to three classes of notes issued by Sunrun Prometheus Issuer 2026-1, LLC. The collateral pool includes a diversified set of residential solar customer contracts, made up of leases and power purchase agreements linked to photovoltaic installations.

The total aggregate discounted solar asset balance, based on a 7.5% discount rate, stands at approximately $844.4 million. By asset balance, the portfolio consists of about 79.5% power purchase agreements, 20.7% lease agreements, and negative 0.3% fully prepaid agreements, all tied to contracts with monthly payments.

The weighted average original tenor of the PPAs and leases is 287 months, while the weighted average remaining tenor is 261 months. The weighted average FICO score of underlying customers is 744, indicating the credit profile of households supporting the note issuance.

Geographic exposure and sector implications

The largest geographic concentrations in the pool are California, Puerto Rico, and Massachusetts. Together, those markets account for about 58.2% of the number of systems and roughly 69.1% of the aggregate discounted solar asset balance.

The concentration highlights the continuing importance of established rooftop solar markets in supporting asset-backed issuance in the residential energy sector. For investors, the transaction reflects how long-duration consumer payment streams from solar leases and PPAs continue to be packaged into rated securities in the U.S. clean energy finance market.

In our earlier article on Clarus Capital’s 2026-1 equipment ABS transaction, we covered KBRA’s ratings on six note classes backed by a portfolio of equipment lease and loan contracts. We noted it was Clarus’ second securitization, highlighting how diversified obligors and contract performance underpin investor analysis as issuers expand their use of structured finance funding.

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