The advent of opportunity zones, stemming from the Tax Cuts and Jobs Act of 2017, offers players in the finance and real estate communities a new way to leverage tax incentives while helping economically distressed areas. McGuireWoods’ multidisciplinary team has significant experience across the spectrum of areas associated with opportunity zones, including tax law, fund formation, land use and economic development, public-private partnerships, and government and public relations.
Our national opportunity zone development team understands the newly available avenues for investment and tax deferrals for institutional investors and private equity funds. We also help sponsors and project developers navigate federal regulations and best practices for matching opportunity zone projects with private equity capital. Team members have the business acumen necessary to foster a collaborative approach to opportunity zone projects of varying complexity and size.
Our distinctive strengths include:
- Leveraging opportunity zone tax benefits to enhance returns
- Navigating opportunity zone program requirements
- Identifying public-private partnership opportunities to use in conjunction with the opportunity zone program
- Assisting with proposal drafting and stakeholder outreach
- Assisting with site selection and incentive negotiations, including finalizing performance incentive agreements and contracts
- Navigating government regulations and approval processes
- Collaborating with key decision-makers to garner community support through education and awareness
- Securing legislative or regulatory changes favorable to P3 infrastructure
McGuireWoods has the experience necessary to assist with tax management after selling capital gains assets and navigate the best options given the new avenues for tax deferrals that come from opportunity zone investments. Our well-established skills in real estate, tax and fund formation helps investors seek out specific projects, develop an exit strategy when investing in multiple projects and assess the risks associated with opportunity zones.
We also help coordinate timing tensions and multiple investor situations for a successful outcome.