What Makes OZ Funds TickBecause real estate investments have fixed upsides with developed values that generate "ordinary income," real estate is not optimally tax-advantaged under the OZ law. Since the OZ law is, foundationally speaking, a "place-based" program, real estate will be a part of any optimized OZ Fund. InvestReal is a data-driven real estate marketplace that connects investors with developers looking to raise capital for OZ projects. These funds’ incredible tax benefits have incentivized a flurry of new real estate investors. Keep in mind, however, that the majority of them don’t have pre-existing relationships with developers; and the ones that do have relationships might not find OZ projects within their network.

Source: Forbes April 20, 2019 10:52 UTC