EB5 Capital’s CEO Comments on Recently Enacted Department of Homeland Security EB-5 Regulations

The following is a statement from EB5 Capital CEO, Angelique Brunner.

Washington, DC – “EB5 Capital remains optimistic about EB-5 development opportunities for 2020.  After closing all of our recent offerings, we are now preparing to launch exciting new EB-5 deals in the coming months – all compliant with the amended EB-5 regulations that became effective as of November 21, 2019.  We are working to provide the best opportunities available to our investors and to ensure that the program continues to thrive. We’re focused on three fronts.

“First, we are seeking to structure sound EB-5 investment opportunities that qualify at the $900,000 minimum investment amount and that are located in Targeted Employment Areas (TEA) as determined by the Department of Homeland Security (DHS). In our 27-project portfolio, we’ve focused on delivering EB-5 investments that pass stringent underwriting standards to protect our investors and their pathway to the United States. Our upcoming projects will adhere to the same due diligence process that has earned our firm 10 project repayments and five successful redeployment transactions.

“Second, we remain heavily involved with industry and government leaders in the pursuit of new EB-5 legislation that will provide certainty for the program and its use as an economic development tool. Our goal is to drive consensus on legislative reform, featuring strong integrity measures, and a revised minimum investment amount that will best serve the economic goals of the program.

“Third, EB5 Capital is closely following progress on the lawsuit filed against DHS in the United States District Court for the District of Columbia that could pause the new regulations, while industry stakeholders negotiate new legislation. We will continue to work with partners and share updates as this process unfolds.

“The EB-5 industry needs comprehensive reform to continue to deliver jobs to economically distressed areas, fulfill its mandate as a self-funded, job-creating program, and provide a pathway to the American dream for families willing to pursue it. I enthusiastically look forward to the next era of the EB-5 program.”

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About EB5 Capital

EB5 Capital is a leader in the EB-5 immigrant investor industry, raising over $750 million in foreign capital from investors in more than 65 countries for investment in job-creating real estate projects across the United States. EB5 Capital owns and operates six USCIS-authorized Regional Centers that serve 15 states and the District of Columbia. With a portfolio of 27 projects, EB5 Capital maintains a 100% project approval rate from the USCIS. For more information, visit http://www.eb5capital.com.

EB5 Capital Announces Fifth Redeployment of EB-5 Funds

Washington, DC – EB5 Capital announced today the redeployment of its fifth repaid partnership, totaling $46 million in redeployed EB-5 capital to date. The United States Citizenship and Immigration Services’ (USCIS) requires that EB-5 funds be held “at-risk” throughout each investor’s respective sustainment period. Redeployment enables EB-5 investors to continue their immigration process in the event that their partnership’s initial investment is repaid earlier than the time an investor is eligible to receive a return of their funds under the EB-5 Program requirements.

“We are abundantly confident that our redeployment strategy is a conservative and effective approach to maintaining USCIS-required ‘at-risk’ status, while maximizing investment exit opportunities for those who become eligible for repayment,” said Angelique Brunner, EB5 Capital’s CEO.

EB5 Capital currently redeploys EB-5 funds to fill specific financing needs of commercial real estate projects. Developments selected to receive redeployed funds undergo a stringent due diligence process matching the company’s previous 27 EB-5 projects, which include 10 fully repaid projects. Carrying the investment from one commercial real estate project to another is a conservative interpretation of USCIS’ requirement that funds be redeployed into investments “within the scope of” the original investment.

“We’ve taken a considerable amount of time thinking through how to mitigate as much risk as possible to our investors’ immigration process,” said Brian Ostar, EB5 Capital’s Senior Vice President of Global Operations. “Protecting their permanent Green Card petition is our number one priority. To date, 41 investors have seen their initial investment repaid by project sponsors, subsequently redeployed into another project, and then repaid to them in full once they have completed their sustainment period.”

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About EB5 Capital

EB5 Capital is a leader in the EB-5 immigrant investor industry, raising over $750 million in foreign capital from investors in more than 65 countries for investment in job-creating real estate projects across the United States. EB5 Capital owns and operates six USCIS-authorized Regional Centers that serve 15 states and the District of Columbia. With a portfolio of 27 projects, EB5 Capital maintains a 100% project approval rate from the USCIS. For more information, visit http://www.eb5capital.com.