Opportunity Zone Funds - non Accredited Investor

[Andrew Irwin]

Hi BP community,

I'm looking into Qualified Opportunity Zone funds as an option to reduce some gains I'm going to realize this year. I've looked around at some of the lists of OZ funds but many of them require that I be an Accredited Investor. Has anyone come across open OZ funds that accept non Accredited Investors?

[Jack Martin]

@Andrew Irwin by nature, OZ funds are primarily designed to work with accredited investors for a variety of reasons. They are fairly sophisticated investment vehicles and are not really appropriate for most non-accreds, they focus on capital gains, which is more likely to be an issue for accredited individuals, which ultimately leads to an easier path to raising capital in larger chunks.  

If you are seeking other solutions to solve capital gains, consider it may make sense to participate in a direct syndication or fund that has a high degree of asset depreciation, which will allow you to offset all, or a portion of your capital gains and stop kicking that can down the road.