Investing in Opportunity Zones to Better The Community

Opportunity zones are a community development program that encourages long term investments in low income and urban communities nationwide.

FARGO, N.D.– People in the area are learning how to invest in opportunity zones.

“This is a federal tool that we are obviously going to add to our arsenal. We need to create an environment where people can be successful,” says Derrick LaPointe, President & CEO of  Downtown Moorhead Inc.

Opportunity zones are a community development program that encourages long term investments in low income and urban communities nationwide.

The forum gives people the tools and assets to better understand the opportunity zone investment program.

“Opportunity zones provide people the easy way to invest into their local community,” says Mike Allmendinger, President of  Kilbourne Group.

“We’re adding people, we’re adding business, we’re adding commerce; we’re really adding those amenities to be strong as a community,” added LaPointe.

There are 8,300 opportunity zones across the country, and there are five in the Fargo– Moorhead area.

Two big reasons people invest in opportunity zones are capital gains and tax incentives.

“We are trying to capitalize that and provide every opportunity from an economic policy and incentive standpoint to really get projects that help our community and help our downtown move forward,” added LaPointe.

Opportunity zone investments require a 10 year investment into any project.

“Any investment in real estate includes a lot of risk related to construction, lease sub periods. Investments in these opportunity zones bring on the same risk as any other real estate investment. Kilbourne group has an opportunity zone fund that we are raising money for right now that provides investments into real estate projects into downtown Fargo,” added Allmendinger.

“Investors are going to want to go where they can still make a gain, so creating that environment where people can invest, they can make a return and as a whole they can make our community a better place,” added LaPointe.

Opportunity zones were established by Congress back in 2017 to promote investments into local communities.