Opportunity Zones
43 views | +0 today
Follow
 
Scooped by BrightImpact
onto Opportunity Zones
Scoop.it!

Miami Design District OZ plans a Nine-Story Retail Development

Miami Design District OZ plans a Nine-Story Retail Development | Opportunity Zones | Scoop.it
BH3 is planning a nine-story retail development in Miami Design District’s Opportunity Zone, The Real Deal has learned.
The $55 million, 86,000-square-foot project at 3801 North Miami Avenue will have retail and showroom space, with 25-foot high ceilings on the ground-floor and 14-foot high ceiling
BrightImpact's insight:

A nine-story retail development is being build in one of Miami's OZ districts. BH3 is designing it in the Miami Design District OZ regardless of the OZ tax incentives. They claim that this is merely just an extra bonus. The $55M retail will be 86,000 sqft. 

No comment yet.
Your new post is loading...
Your new post is loading...
Scooped by BrightImpact
Scoop.it!

Flo Rida comes to Florida to open a Distillery in Opportunity Zones

The rapper, singer and songwriter is partnering with Fort Lauderdale businessman Victor G. Harvey Sr. to create Victor George Vodka, a partnership that includes building a distillery in the Sistrunk neighborhood.

Flo Rida, whose rea

BrightImpact's insight:

Flo Rida is planning to open a distillery in Fort Lauderdale's #OpportunityZones. "Instead of popping bottles, Flo Rida will be filling them up." Flo Rida and businessman Victor G. Harvey Sr. are equity partners in VG Vodka. 

No comment yet.
Scooped by BrightImpact
Scoop.it!

Final set of OZ Regulations have been released 

The IRS and Treasury released the final set of regulations for Opportunity Zones

BrightImpact's insight:

The IRS and Treasury released the final set of OZ regulations. This provides investors and developers with a more direct set of rules for opportunity zone investing. Now, the hesitation can begin to resolve itself for those who were waiting on the final set of regulations, and investors or developers can begin to deploy capital into the program. 

 

No comment yet.
Scooped by BrightImpact
Scoop.it!

Council Post: There Is Still Opportunity In Opportunity Zones

Council Post: There Is Still Opportunity In Opportunity Zones | Opportunity Zones | Scoop.it
Although 2020 investments in QOFs only receive a 10% instead of a 15% reduction, there is still substantial incentive to invest.
BrightImpact's insight:

December 31st is not an expiration date! The opportunities in #opportuniyzones are still available. The Opportunity Zone initiative offers several structures for investors to invest their capital gains into a qualified opportunity fund. By investing your capital gains you can maximize new tax incentives while helping to revitalize communities that are distressed. 

No comment yet.
Scooped by BrightImpact
Scoop.it!

Seattle breaks ground on its first Opportunity Zone investment 

Seattle breaks ground on its first Opportunity Zone investment  | Opportunity Zones | Scoop.it
The Opportunity Zones program was marketed as a way to help poor communities by offering major capital-gains tax breaks for investors to park their cash in 8,000 designated low-income census tracts.
BrightImpact's insight:

Seattle’s first opportunity zone development broke ground last week. Opportunity Zones in Seattle are offering a variety of growth to their communities such as multi-use buildings, hotels, student housing, and more. Seattle is offering some of their new complex’s at lower-rates with hopes that those who work in the industries surrounding it will be able to afford these luxury-style apartments.

This program was created to help stimulate growth in the distressed communities known as opportunity zones. The program offers major capital-gains tax incentives to encourage investors to invest in the communities long-term. In turn, helping these communities grow, and providing jobs for the people within these communities.

No comment yet.
Scooped by BrightImpact
Scoop.it!

Downtown San Jose opportunity zone turning to a transit-oriented development

Downtown San Jose opportunity zone turning to a transit-oriented development | Opportunity Zones | Scoop.it
SAN JOSE, Calif., Aug. 7, 2019 /PRNewswire/ -- Urban Catalyst, a multi-asset opportunity zone fund based in San Jose, announced it has acquired it
BrightImpact's insight:

These mixed-used buildings will be focused on residents aiming to blend the Silicon Valley environment, while having easy access to public transportation systems. The Urban catalyst has already bought four properties to transform in downtown San Jose OZs. 

No comment yet.
Scooped by BrightImpact
Scoop.it!

Miami Design District OZ plans a Nine-Story Retail Development

Miami Design District OZ plans a Nine-Story Retail Development | Opportunity Zones | Scoop.it
BH3 is planning a nine-story retail development in Miami Design District’s Opportunity Zone, The Real Deal has learned.
The $55 million, 86,000-square-foot project at 3801 North Miami Avenue will have retail and showroom space, with 25-foot high ceilings on the ground-floor and 14-foot high ceiling
BrightImpact's insight:

A nine-story retail development is being build in one of Miami's OZ districts. BH3 is designing it in the Miami Design District OZ regardless of the OZ tax incentives. They claim that this is merely just an extra bonus. The $55M retail will be 86,000 sqft. 

No comment yet.
Scooped by BrightImpact
Scoop.it!

OZ Funds help expand Santa Fe College in Gainesville, FL

OZ Funds help expand Santa Fe College in Gainesville, FL | Opportunity Zones | Scoop.it
The Economic Development Administration (EDA) has awarded a $4.8-million grant to Santa Fe College in Gainesville, Florida, to help construct and expand the college’s Center for Innovation and Economic Development (CIED) at the Blount Center. The project is located in an Opportunity Zone and will be matched with more than $1 million in local funds.
BrightImpact's insight:

OZ funds  and  a $4.8 - million grant help fund and expand  and build Florida's Santa Fe College. They intend to expand the growth the Blount Center which is the college's Center of Innovation and Economic Development. More than $1 million in local funds will be provided for this project that is located in a Florida Opportunity Zone. 

No comment yet.
Scooped by BrightImpact
Scoop.it!

INSIGHT: Opportunity Zone Investing—How Is Debt Handled in Determining the Basis Step-up After 10 Years?

INSIGHT: Opportunity Zone Investing—How Is Debt Handled in Determining the Basis Step-up After 10 Years? | Opportunity Zones | Scoop.it
Investors in qualified opportunity zone partnerships are concerned about how their investment will be valued after 10 years when they can sell the asset or elect a basis step-up to “fair market value.” Forrest Milder of Nixon Peabody walks through the computation when the investment is partially...
No comment yet.
Scooped by BrightImpact
Scoop.it!

New Executive Order: Trump to Steer More Money to ‘Opportunity Zones’

New Executive Order: Trump to Steer More Money to ‘Opportunity Zones’ | Opportunity Zones | Scoop.it
Mr. Trump’s order seeks to encourage development in the zones and reassure investors that they are viable places for investment. It will create a White House Opportunity and Revitalization Council, covering 13 federal agencies and led by Ben Carson, the Housing and Urban Development secretary. The council will work to prioritize opportunity zones in a variety of federal efforts, including grant funding, loan guarantees, infrastructure spending and crime prevention.
BrightImpact's insight:

A new executive order from President Trump was executed on 12/12/18.

Mr. Trump’s order seeks to encourage development in the zones and reassure investors that they are viable places for investment. It will create a White House Opportunity and Revitalization Council, covering 13 federal agencies and led by Ben Carson, the Housing and Urban Development secretary. The council will work to prioritize opportunity zones in a variety of federal efforts, including grant funding, loan guarantees, infrastructure spending and crime prevention.


No comment yet.
Scooped by BrightImpact
Scoop.it!

IRS Proposed Regulations for Qualified Opportunity Zone Funds

IRS Proposed Regulations for Qualified Opportunity Zone Funds | Opportunity Zones | Scoop.it
Treasury issued Proposed Regulations and a Revenue Ruling on issues with investing in and forming Qualified Opportunity Zone Funds and the OZ Fund’s investments in Opportunity Zone Businesses.
BrightImpact's insight:

The Opportunity Zones Community has been long awaiting regulations. On Friday 10/19/18 the IRS released 74 pages of regulations that included clarification as well as a draft certification form. 

I reviewed all 74 pages and have found this overview from NatLawReview.com to be very solid.


No comment yet.
Scooped by BrightImpact
Scoop.it!

Arizona Opportunity Zones & Detailed Opportunity Zone Program Overview

Arizona Opportunity Zones & Detailed Opportunity Zone Program Overview | Opportunity Zones | Scoop.it
In this guest post reprinted from TRENDReport, Learn about Arizona's Opportunity Zones and Opportunity Funds, a collaborative effort of the Arizona Commerce Authority and communities around the state enabled by the Tax Cuts and Jobs Act.
BrightImpact's insight:

This guest post article is reprinted from TrendReport and was published on Picor/Cushman Wakefield's blog. 

While the initial portion focuses on Arizona Opportunity Zones specifically, a great overview is provided of the Opportunity Fund requirements for investing in real estate businesses and business property. Well worth reading!

No comment yet.
Scooped by BrightImpact
Scoop.it!

An Increasing Number of New Real Estate Funds Target Opportunity Zones

An Increasing Number of New Real Estate Funds Target Opportunity Zones | Opportunity Zones | Scoop.it
The more than 8,700 certified Opportunity Zones are leashing considerable number of new CRE investment funds.
BrightImpact's insight:

National RE Investors Online notes the increase of Opportunity Zone Real Estate Funds around the country. They noted Virtua Partners and Fundrise. In addition, local Opportunity Funds such as Orlando Opportunity Fund have sprouted with the goal of creating local impact in their respective community. 

No comment yet.
Scooped by BrightImpact
Scoop.it!

Opportunity Zones: The Tax Efficient Investment Of The Future

Opportunity Zones: The Tax Efficient Investment Of The Future | Opportunity Zones | Scoop.it
The Investing In Opportunity Act has created Opportunize Zones across America for Opportunity Funds and entrepreneurs to invest in for great tax benefits.
BrightImpact's insight:

Great overview of the Opportunity Zones program by Financial Samurai. Well worth reading, but there are far many more opportunity zones outside of the one at Fundrise that they referenced. For instance, the Orlando Opportunity Fund focuses on making investments in Central Florida Opportunity Zones in both real estate and startups.

No comment yet.
Scooped by BrightImpact
Scoop.it!

INSIGHT: Opportunity Zones—Final Regulations and Outlook for 2020

INSIGHT: Opportunity Zones—Final Regulations and Outlook for 2020 | Opportunity Zones | Scoop.it
The opportunity zone program—enacted in the Tax Cuts and Jobs Act at the end of 2017—has led to tens of billions of dollars of investment and development in low-income communities over the past two years. Libin Zhang of Fried Frank walks through some practical considerations and the 2020 outlook for opportunity funds and their investors, in light of the final regulations that were released on Dec. 19, 2019.
BrightImpact's insight:

The Opportunity Zone program has encouraged billions of dollars of investment into low-income communities over the past few years. Now, with the  544 pages of final #OZ regulations being released, more investors will be investing their capital gains into QOFs. These QOF investments are providing investors with an opportunity to reduce their capital gains tax while revitalizing these OZ communities. 

No comment yet.
Scooped by BrightImpact
Scoop.it!

Opportunity Zones Create Investment Opportunities for Overlooked Entrepreneurs

Opportunity Zones Create Investment Opportunities for Overlooked Entrepreneurs | Opportunity Zones | Scoop.it
The capital available through Opportunity Zones offers a needed boost to help revive main streets in struggling communities and jump start new businesses.
BrightImpact's insight:

Lots of entrepreneurs struggle to find funding to help their companies be successful. Well, with the Opportunity Zone Legislation, these funding opportunities are now looking at some overlooked entrepreneurs who are located within these zones. Not all the investors are focusing on Silicon Valley anymore, but instead they are seeing the worth of these investable startups that are focused in these other regions. 

No comment yet.
Scooped by BrightImpact
Scoop.it!

Opportunity Zone Deadlines are Approaching Quickly

Opportunity Zone Deadlines are Approaching Quickly | Opportunity Zones | Scoop.it
Investors should not be rushing into Opportunity Zone commitments, but here are some crucial dates to be aware of.
BrightImpact's insight:

There is a major deadline approaching quickly. December 31 is right around the corner, and it is a crucial date to be aware of if you are invest in an OZ Fund. We don't recommend anyone to rush into a commitment without doing the proper research, however we do encourage investors to start moving quickly if they want to leverage the maximum tax incentives being offered by this program. 

No comment yet.
Scooped by BrightImpact
Scoop.it!

Life Science Corridor and Opportunity Zones expand Downtown Office Space

Life Science Corridor and Opportunity Zones expand Downtown Office Space | Opportunity Zones | Scoop.it
Salt Lake City’s Department of Economic Development recently completed a prospectus for a Life Sciences Corridor that may boost demand for office space Downtown. Downtown offerings have always enjoyed an urban advantage, providing amenities, culture, [...]
BrightImpact's insight:

The prospect for a Life Sciences Corridor may boost demand for downtown office space in Salt Lake City. The Capital City’s economic department created a new proposal to incorporate Opportunity Zones, which may accelerate the growth of the Downtown office demand.

 

            With this in action, the construction for the new mid-size office may surge for conversion to the class B and class A. The city is inspired to develop its strength as a center for bio-medical manufacturing and research. At the University of Utah in the Research Park, the industrial area is a book end working alongside the west of Glendale area.

 

            There are seven Opportunity Zones in the Salt Lake City area that overlap with the proposed Life Sciences Corridor. The Governor of Utah, Gary Herbert approved 46 zones, with 15 zones in Salt Lake City County. There are 28 located along the Wasatch Front.

 

            “Salt Lake City has drawn the borders for the corridor to have maximum possible inclusion in PDA project areas,” according to Building Salt Lake City Magazine. These include low-cost loans and tax-increment reimbursement.

           

Due to the current housing shortage, many QOFs are drawn toward multi-housing units.

 

Another common theme is that old office space isn’t attractive to new creative companies because they don’t have the look necessary, and the company doesn’t have the finances to renovate them.

 

Opportunity Zones were established by the Opportunity Act of the 2017 Tax Cut and Jobs Act. There are 8,700 zones nationwide. Opportunity Zones (OZ) encourage investors to invest their capital gain into these distressed areas to help revitalized the struggling economy within the zones. The incentive behind it is the major tax break the investors will receive after they abide by the compliance standards the Opportunity Zone initiative requires.

           

            As of now, there are approximately 108 approved Qualified Opportunity Funds (QOF) in the United States and its territories. A QOF is an investment vehicle to help engage investors in the OZ initiative. Only four of these QOFs are listed in Utah.

No comment yet.
Scooped by BrightImpact
Scoop.it!

Second round of Opportunity Zone regulations receives clarity from the IRS

Second round of Opportunity Zone regulations receives clarity from the IRS | Opportunity Zones | Scoop.it
Several tax benefits can accrue to taxpayers that make investments in certain low-income communities through qualified opportunity funds. A second round of proposed regulations addresses many outstanding questions about this new vehicle for taxpayer-friendly investing in distressed communities.
BrightImpact's insight:

The IRS has been amending the proposed regulations that posed any issues concerning investments in qualified opportunity zones (QOZ). These zones were established by the Tax Cut and Jobs Act of 2017. Due to the high demand in questions regarding the regulations, the IRS has provided some clarifications on the second round of OZ regulations. 

No comment yet.
Scooped by BrightImpact
Scoop.it!

Cresset-Diversified Fund Plans to Boost the Economy in Denver's RiNo Neighborhood

Cresset-Diversified Fund Plans to Boost the Economy in Denver's RiNo Neighborhood | Opportunity Zones | Scoop.it
Starting in early 2020, the partners will build North Wynkoop, a 10-story, 392-unit luxury community in Denver’s RiNo neighborhood.
BrightImpact's insight:

Cresset-Diversified QOZ and Hines are working together to build a luxury hotel in the RiNo area of Denver. The $500 million fund intends to redevelop a hotel, office buildings, retail and a 4,000-seat AEG Live event center. The intention is to boost one of Denver's upcoming nightlife developments. 

No comment yet.
Scooped by BrightImpact
Scoop.it!

Puerto Rico Gov't Moves Funds into Opportunity Zones

Puerto Rico Gov't Moves Funds into Opportunity Zones | Opportunity Zones | Scoop.it
Nationwide, most of the areas face elevated poverty or limited household income.
BrightImpact's insight:

Puerto Rico (P.R.) is seeking approval from the U.S. to put about $400 million of federal aid toward opportunity zone projects. These projects allow investors an ample tax incentive, while creating the opportunity for robust growth in stressed economies.

P.R. Gov., Ricardo Rossello, speaking at an opportunity zone summit in San Juan on Tuesday, said the commonwealth’s government was working with the Department of Housing and Urban Development. They intend to create a fund that will invest community development block grant funds in these projects around P.R. There is nearly $9.7 billion in disaster relief money that is currently held in reserve for P.R. that will come from the HUD program, states the commonwealth. Details on the investment were not provided.

Hurricane Maria caused devastation across the vast parts of the island. P.R. has been struggling, looking for financial relief to help redevelop socially and economically. Over 98% of P.R. qualified as an opportunity zone.

Investing in opportunity zones allows investors the incentive of saving on capital gains tax, while providing the opportunity for development in areas suffering from poverty and unemployment.

No comment yet.
Scooped by BrightImpact
Scoop.it!

Second Round Of Opportunity Zone Regulations Released by IRS

Second Round Of Opportunity Zone Regulations Released by IRS | Opportunity Zones | Scoop.it

The U.S. Department of the Treasury announced the issuance of the second set of regulations Wednesday afternoon, concurrent with a press conference held at the White House with addresses by Secretary of Housing and Urban Development Ben Carson and Treasury Secretary Steven Mnuchin.

 

The announcement addressed what topics within the opportunity zone law were areas of focus in this round, but didn't give many specifics. The full guidance document is expected to be available soon on the IRS website.

 

"We hope we’ve provided enough guidance so that investors can begin to deploy capital into these opportunity zones," Mnuchin said. "In terms of prioritizing things, we wanted to get out the issues that affect investment right away."

 

The first wave of regulations gave investors the confidence to proceed with simple transactions involving starting Qualified Opportunity Funds that covered only one asset, either a new development or a significant redevelopment within an opportunity zone. Many big names from private equity, hedge funds and institutional capital have been raising gigantic opportunity funds in anticipation of further guidance. "The guidance makes it easier for funds to ensure compliance with the requirement that a fund has 90 percent of its assets invested in Opportunity Zones and expands the working capital safe harbors," Treasury's announcement read. "

 

The proposed regulations also provide clarity on treatment of gains on long-term investments, ownership and operation of the business, and what constitutes Qualified Opportunity Zone Business Property."

BrightImpact's insight:

Finally, there is word that the Opportunity Zone regulations have been released by the IRS. They will soon be published on the IRS website.

No comment yet.
Scooped by BrightImpact
Scoop.it!

The new hotness for tech billionaires? Do-gooder investments they can write off on their taxes.

The new hotness for tech billionaires? Do-gooder investments they can write off on their taxes. | Opportunity Zones | Scoop.it
Sean Parker crafted a little-known part of the tax code called Opportunity Zones. Now every one-percenter in Silicon Valley wants in.
No comment yet.
Scooped by BrightImpact
Scoop.it!

Benefits of Real Estate Investing in Opportunity Zones

Benefits of Real Estate Investing in Opportunity Zones | Opportunity Zones | Scoop.it
An Opportunity Zone aims to motivate economic development by providing tax benefits and incentives to real estate investors. What are those tax benefits?
BrightImpact's insight:

Mashvisor shares an overview of the Opportunity Zones program and the benefits of real estate investing in Opportunity Zones.

Want to learn where Opportunity zones are? View our Opportunity Zones Map.

No comment yet.
Scooped by BrightImpact
Scoop.it!

A Window Of Opportunity: The Forbes overview of the Opportunity Zones Program

A Window Of Opportunity: The Forbes overview of the Opportunity Zones Program | Opportunity Zones | Scoop.it
For the first time in history, a vacant parcel of land on the Lower East Side of Manhattan has a common economic thread with low-income areas in Idaho.
BrightImpact's insight:

In this article Forbes shares their take on the Opportunity Zones Program including program overview, tax benefits, community impact and more. To learn more about Opportunity Zone Tax Benefits visit our overview.

No comment yet.
Scooped by BrightImpact
Scoop.it!

Opportunity Zone Funds to Deliver Tax Breaks & Community Impact

Opportunity Zone Funds to Deliver Tax Breaks & Community Impact | Opportunity Zones | Scoop.it
The new tax act allows investors to funnel capital gains into economically distressed areas, but investors want proof of impact...
BrightImpact's insight:

This article from Barrons shares an overview of the Opportunity Zones program, but also brings up the point of creating community impact as compared to merely delivering investor returns and tax incentives.

 

Transparency is also critical for foundations and high-net-worth individuals who want assurance their dollars are creating impact in a community, Seegull says. States and municipalities will want it so they can assess whether the programs are effective and worth continuing.

“I feel like it's important to the intent of the legislation versus it just being a tax break,”Seegull says.

No comment yet.