Qualified opportunity zones

What is a Qualified Opportunity Zone
A Qualified Opportunity Zone is a geographically certified area designated by the Secretary of the U.S. Treasury and authorized by the Internal Revenue Service. These are areas that meet the Emerging Market criteria for the Hancock Growth & Income Fund, LLC.

Have Opportunity Zones been around a long time
No, they are new. The first set of Opportunity Zones, covering parts of 18 states, were designated on April 9, 2018. Opportunity Zones have now been designated covering parts of all 50 states, the District of Columbia and five U.S. territories.

What is a Qualified Opportunity Fund?
A Qualified Opportunity Fund is an investment vehicle that is set up to invest in eligible property that is located in an Emerging Market and designated Qualified Opportunity Zone. Hancock Growth & Income Fund, LLC has strategically positioned itself to assist investors in the deployment of such a fund.

Can a limited liability company (LLC) be an Opportunity Fund?
Yes. An LLC that chooses to be treated either as a partnership or corporation for federal tax purposes can organize as a Qualified Opportunity Fund.

What is uniquely different with an Opportunity Fund vs. doing a 1031 Exchange to defer taxes?
There are a number of differences and best to consult your CPA for best optimal solution for your specific situation, but one major difference is the geographic location when purchasing an asset with the capital gains from a qualified sale. Meaning, with an Opportunity Zone Fund, you will need to acquire real estate within the specific designated Zone delineated and authorized by the Internal Revenue Service. The 1031 Exchange does not have a geographic requirement but does have strict timing guidelines that need to be adhered to.

I’m selling my commercial property soon, can Hancock Investment Group, LLC assist with setting up Fund?
Absolutely. Our team will also assist you in identifying the appropriate Emerging Market that meets your criteria and assets that would be a good fit within those markets identified.