One of the pioneers in the Opportunity Zones Program and one of the first Qualified Opportunity Fund (QOF) that focuses on strategic impact investments in Opportunity Zones (OZ) that create inclusive growth for both communities and our investors. The Fund’s paramount focus is to reshape and rewrite overlooked American cities by make socially conscious investments that will create new housing, create more jobs and help distressed communities become an ideal place for new business opportunities and long term growth sustainability. At Bluestone Capital, our mission to connect these designated areas with the capital marketplace to help bridge the gap between the cities that have fallen behind. Our niche focus has been and will continue to be real estate acquisitions of new development opportunities with very specialized zoning for Affordable Housing Incentivized programs that maximize all Fund investments in under capitalized areas that will undoubtedly benefit as appreciating areas.
The Opportunity Zone program is a very unique place-based policy aimed at getting private capital off the sidelines and working into communities that haven’t kept pace with the same growth rate of most of the country. They were designed as a fundamental departure from the traditional ways that the Federal Government has incentivized capital to move into communities in the past. Their purpose was to decentralize the process by removing the central intermediary doling out tax credits, grants or being a gatekeeper and giving communities this tool to attract capital from the marketplace in a permission-less way. This process has given low-income distressed communities a very powerful tool to attract capital like this country has never seen before. There are a total of 8764 designated census tracts in the United States that were nominated and certified by the U.S. Department of Treasury into which investors can now put capital to work financing new projects and enterprises in exchange for certain federal capital gains tax advantages. The first set of OZ were established on April 9, 2018 and now they have been designated covering parts of all 50 states, the District of Columbia and five U.S. territories, including Puerto Rico.
WHAT IS A QOF?
A Qualified Opportunity Fund “QOF” is an investment vehicle set up as a partnership or corporation for investing into eligible property or business located in an Opportunity Zone and utilizes the investor’s capital gains from a prior investment for funding the QOF.
WHAT ARE OPPORTUNITY ZONES?
They are designated census tracts across the United States located in economically-distressed areas targeted to receive private capital to spur new development, business opportunities and revitalize their future economic sustainability.