New offering is first fund to take advantage of new tax law
Partners (Virtua), a global private-equity real-estate investment
firm, today announced the launch of the first-ever Opportunity Zone
Fund. This groundbreaking fund is the first vehicle designed to invest
in the newly created Opportunity Zones -- one of the lesser known
provisions of the Tax Cuts and Jobs Act of 2017 (the Tax Reform Act).
Virtua Opportunity Zone Fund I, LLC aims to raise $200 million and is
designed to utilize the tax-savings opportunities created by the
Pursuant to the Tax Reform Act, governors of each state have designated Opportunity
Zones, which are specific geographic areas eligible for
tax-advantaged, long-term investment. . Investors in qualified
Opportunity Zone Funds receive a basket of tax benefits, including
deferral of current capital gains, a tax reduction of up to 15% on
current gains, and no capital gains taxes on appreciation if the
investment is held for 10 years.
“For investors, this is a unique opportunity to capture a generous break
on capital-gains taxes, while investing in real estate that stands to
benefit from a broader government mandate for growth,” explains Derek
Uldricks, president of Virtua Capital Management. “At the same time,
investors can also make an impact by supporting the improvement of local
communities and economies with their Opportunity Zone-directed
investments. We are thrilled to be the first to offer such a fund to
Under the Tax Reform Act, investors can defer and reduce capital-gains
taxes when they reinvest profits into Virtua Opportunity Zone Fund I
within 180 days following the sale of a prior investment. Unlike 1031
Exchange transactions, an investor does not have to invest the entire
previous investment. Investors can use capital-gains proceeds from any
asset class — not just real estate — to capture the benefits of the
Opportunity Zone Fund provisions.
“Investors should consider tax efficiency when making investment
decisions. Virtua Opportunity Zone Fund I is designed to improve
after-tax returns for long-term investors," said Uldricks. "We believe
that investing in Virtua Opportunity Zone Fund I can be a key wealth
building strategy for tax savvy investors."
Virtua Opportunity Zone Fund I will primarily invest in residential
rental property development (multifamily and SFR rentals), hospitality
and office. The geographical focus will be high growth sunbelt markets,
such as Austin, Phoenix, Atlanta, Dallas, San Antonio, and Orlando.
To learn more about Opportunity Zones, visit VirtuaPartners.com.
About Virtua Partners:
Virtua Partners is a global private-equity firm specializing in
commercial real estate. The firm and its affiliates sponsor a variety of
investment funds and commercial real estate projects across the United
States and currently have 16 million square feet of assets under
management or development.
Virtua Partners’ goal is to provide superior risk-adjusted returns for
high-net-worth individuals and family offices through comprehensive
strategies, rigorous underwriting, and careful execution.
This press release is not intended to be, nor should it be construed or
used as, investment, tax, or financial advice or an offer to sell or a
solicitation of an investment in any securities offered by or any
project managed or advised by Virtua Partners (US), LLC, or its
affiliates, including, but not limited to Virtua Opportunity Zone Fund
I, LLC (“Virtua”). Any offer or solicitation of an investment may be
made only by delivery of confidential offering documents (collectively,
the “Offering Documents”). Prospective investors should review carefully
and rely solely on Offering Documents in making any investment decision.
Gregory FCA for Virtua Partners
Alex Nye, 610-228-2287