Opportunity Zones. What is the Deal?
The most frequent type of Opportunity Zone site (“OZ Sites”) projects currently underway in California involve the re-development of infill Opportunity Zone sites into Multi-Residential (Apartments), Senior Housing/Assisted Living Facilities, Affordable Housing, New Hotel Developments and the expansion and/or remodeling of existing Retail & Industrial properties or the ground up development of the same.
Another significant challenge to many OZ Sites relates to recent requirements enacted by numerous cities and counties requiring that the redevelopment of infill sites contain a mix of ground level commercial under multi-residential dwelling units. These “mixed-use” requirements often make the economics of redeveloping or further developing OZ sites very challenging, even with the Opportunity Zones Incentives.