Assets Eligible for Investment
Real estate and businesses (i.e., LLCs, corporations, partnerships, etc.) located in Opportunity Zones are generally eligible for investment. Federal Treasury Regulations provide additional detail about qualifying investments, however, generally:
- Opportunity Funds may generally hold an interest in real estate located in Opportunity Zones (either directly or through business entities) and develop real estate properties.
- Opportunity Funds may generally invest in for-profit entities located in Opportunity Zones (for example, start-up technology companies in business accelerators or incubators).
- Investments must meet certain "substantial improvement" requirements the details of which are set forth in the Federal Treasury Regulations.
Types of Zones