Becoming a Successful Qualified Opportunity Zone Fund Sponsor
The emergence of the Opportunity Zone legislation earlier this year has sparked a mounting interest in the designated areas, which are designed to rejuvenate investment in economically distressed areas while providing significant tax incentives. Many real estate developers are weighing the benefits of becoming a Qualified Opportunity Zone Fund (QOF) Sponsor, establishing a partnership, limited liability company or corporation to invest in Opportunity Zone property. The steps to organizing such a fund appear simple, but upon closer examination are quite complex and depend upon the structure.
In a recent two-part series for The Daily Transcript, CGS3 partner Phil Jelsma examines the steps necessary to become a QOF sponsor and key considerations for real estate owners and investors looking to take advantage of this new economic tool.