You may be tempted to immediately look to well-known funds as a surefire way to ensure a good investment, but you could be missing the mark. They may be good funds, but are they investing in projects just because they’re in Opportunity Zones or because they are good projects?
The key to a successful OZ investment is finding a fund that has great projects that just happen to be in opportunity zones. These projects should stand on their own merits. Basically, if the project is one you would invest in without the benefits of it being in an Opportunity Zone, then it may be worth looking into as an Opportunity Zone Fund. The fact that you may get potential tax benefit by investing in an Opportunity Zone Fund is noteworthy. But the fact is, a lot of funds don’t have good projects, just projects in Opportunity Zones and it’s a distinction you can’t afford to miss.
Quality projects are key to a fund’s potential success and meeting its objectives. With an eye on downtown San Jose, Urban Catalyst started our fund early so that we could swoop on the best properties right out of the gate. Having already closed on our first project in San Jose’s downtown OZ and with six more projects in our acquisition pipeline, we are prepared to utilize a network of local professionals to navigate available properties and make strategic decisions that will most benefit our investors.
If you’re looking to invest in an OZ fund, just remember, a fund’s projects should speak for themselves.
Want to learn more about investing in Silicon Valley Opportunity Zones? Contact Us today.
