Created by Congress’s recent tax reform bill, opportunity zones are designated low-income areas where investors can realize attractive tax advantages. Using a Qualified Opportunity Fund (O-Fund), investors can acquire a stake in new or existing buildings, property and businesses within these zones.
The O-Zone incentive allows investors to defer payment of capital gains tax on a currently held asset, which needn’t be real estate, earn additional tax forgiveness during the term of the opportunity zone investment, and potentially eliminate tax on disposition, which may include the value created above the initial investment. Projects financed by O-Funds are also eligible for various types of tax-credit financing.
Nixon Peabody has a dynamic, cross-practice opportunity zone working group with more than 40 attorneys. We anticipate opportunity zones opening the door for high-impact investment in a variety of sectors. Our attorneys are coveted writers and speakers as investors look for insights on the future of this new tool.
Insights | March 26, 2019
New York City Corporate partner Dan McAvoy wrote this contributed article for Insights, Wolters Kluwer’s corporate and securities-focused monthly journal, exploring securities law issues related to the creation of opportunity funds.
Commercial Observer | January 22, 2019
New York City Affordable Housing & Real Estate partner Aaron Yowell is quoted extensively in this story on how potential investors in opportunity zones are navigating this complex new development vehicle.
Opportunity Zones Alert | 05.22.19
Opportunity Zones Alert | 04.26.19
Securities Law Alert | 03.04.19
03.13.19 | Los Angeles, CA
01.29.19 | New York, NY
10.02.18 | New Orleans, LA
05.31.18 | Webinar
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