Cyberspace is officially an investment marketplace to find the latest Qualified Opportunity Zone (QOZ) funds, thanks to RealCrowd.
RealCrowd, based in Portland-Ore., is one of the nation’s leading direct investment online real estate platforms. As one of the first real estate equity crowdfunding companies, the firm has hosted more than $4.5 billion in real estate offerings through its platform, spanning 170 investments across 38 states.
Backed by venture capital seed accelerator Y Combinator in 2013, the company has now expanded its leadership role by opening the first QOZ Fund one-stop shopping Internet marketplace at https://realcrowd.com/offerings#opportunityzones.
The new QOZ marketplace will focus solely on investments offered by third party real estate sponsors, according to Adam Hooper, co-founder and CEO of RealCrowd.
“Opportunity Zone projects are still in their infancy, and regulations related to these investments continue to be defined and clarified by the U.S. Treasury,” Hooper said. “Without this new marketplace, many investors would miss the opportunity to take part in what is likely to become a key investment strategy over the next decade.”
Established by Congress in the Tax Cuts and Jobs Act of 2017, the Opportunity Zone legislation is a new community development program designed to encourage long-term investments in low-income urban and rural communities nationwide. The program provides investors with the opportunity to defer and even eliminate capital gains tax in exchange for investment in areas designated as Qualified Opportunity Zones.
RealCrowd seeks to provide all accredited investors with an equal opportunity to shop a growing marketplace of QOZ funds.
“Many large institutional funds, fund managers, and commercial investors are exploring the tax benefits of Opportunity Zones,” Hooper said. “And most intend to make this part of their commercial real estate investment strategy moving forward. Our role is to extend these benefits to all accredited investors.”
In an exclusive interview with Financial Advisor, Hooper discussed the latest release of Treasury Department regulations in October, which clarify legislation that created the QOZ program.
FA: What are the key takeaways from the recent regulations released by the U.S. Treasury Department?