At EB5 Capital, we are always looking for new investment opportunities and partnerships. Our past projects have been focused in the Washington metropolitan region and the San Francisco Bay Area, but we are now expanding our focus to pursue EB-5 projects in other major metropolitan areas throughout the country. Our project partners range from developers, to companies seeking expansion opportunities from retail to manufacturing.
To be eligible for the EB-5 program, a project must be located in a Targeted Employment Area (TEA), which is an area that has an unemployment rate that is greater than 150% of the national average. EB5 Capital can assist developers in determining if their project’s location qualifies for a TEA designation. Urban developments located in a TEA that generate a substantial number of living-wage, full-time jobs are our primary candidates. We are able to provide senior loans, mezzanine loans, preferred equity, or joint venture equity into projects with owners and/or institutional equity partners.
General Project Parameters
Every project is unique. Aside from being located in a TEA, there is no one set of rules that will apply to all projects. The following general parameters can help you determine whether EB-5 financing might suit your project. A certain project does not need to meet all of these conditions, but the more conditions that are met, the better.
- Developer equity contribution of at least 20% of total cost
- Complete projected capital stack at the start of fundraising
- Clear 5- to 6-year exit strategy for EB-5 investors
- Proven track record of similar successful developments
- Experienced project team – general contractor, architect, etc.
- Proven market demand with strong submarket fundamentals
- Zoning/entitlement approvals in place
- Groundbreaking projected within 8-12 months
- Strong government support and/or participation (can range from letters of support to actual financing, grants, or land contribution)