New EB-5 Regulations

It’s finally here!

The long awaited new EB-5 regulations were published in the Federal Register on July 24th, 2019. (EB-5 Immigrant Investor Program Modernization).

The key changes that will emerge from the new regulations include: (i) an increase in the minimum investment amounts from $500,000 to $900,000 for projects located in a TEA and from $1.0 million to $1.8 million for non-TEA projects; and (ii) provisions that substantially restrict areas that qualify as a Targeted Employment Area (“TEA”). The new regulations will become effective on November 21st, 2019.

EB-5 Investors and I-526 Petitions

All EB-5 investors who invest and file their I-526 petition prior to the November 21st, 2019 effective date will be grandfathered under the $500,000 minimum investment threshold.

Although InvestAmerica urges prospective investors to act quickly and file, caution must be taken when choosing the right project and team. We encourage, and there is still adequate time for, interested investors to:

  • Select a group of experienced EB-5 professionals to work with;
  • Conduct proper project due diligence;
  • Prepare detailed and complete source of funds analysis; and
  • Focus on Regional Center projects with strong investor protections, and which will be fully funded without EB-5, should the EB-5 portion of their capital stack not be fully funded prior to November 21, 2019.

Assistance with EB-5 Investments

InvestAmerica is available to assist you in accomplishing each of these key considerations to minimize the chance of an I-526 denial and visa wait problems, not to mention potential investment problems. We are here to guide, protect and support you along this journey.

Contact us immediately if you are interested in EB-5 and would prefer to invest at the minimum $500,000 threshold:

Mike Xenick