Summary 

If you’re interested in diversifying your real estate portfolio, eliminating the usual taxes you are required to pay on your real estate investments, and contributing to the regeneration of lower income areas at the same time, you have come to the right place. Joining us on the show today is Jeff Feinstein, previously a technology executive who is now a managing partner at Pinnacle Partners. He is here to share the numerous compelling reasons why real estate investors should be looking at opportunity zones. Jeff explains what an opportunity zone is, why he decided to become involved in projects of this type, and the requirements for investing in them. He and his team have seen a great deal of success by focusing on affordable housing developments in opportunity zones, utilizing a single entity deal model, and Jeff believes that the future of these zones is looking bright (even with the recent change in oval office). 

Key Points From This Episode:

• Jeff’s reasoning for getting into real estate while he was working as a technology executive.
• The real estate fund that Jeff and his partner started in 2007, and how it kickstarted his career in real estate. 
• A piece of reform legislation that was introduced in 2017 which Jeff became particularly interested in.
• What Jeff’s company, Pinnacle Partners, does, and where it operates. 
• An explanation of what an opportunity zone is, and why it is so beneficial to invest in real estate within them.
• Positive social impacts that are intended to be realized through the creation of opportunity zones.
• Three requirements that need to be adhered to if you purchase real estate in an opportunity zone. 
• The types of developments that Pinnacle Partners has chosen to invest in within opportunity zones.
• Single entity deals; what these are and why Jeff and his team choose to do them.
• Tax benefits of opportunity zones should only be considered after the deal has been properly evaluated.
• Why Pinnacle Partners does not deal with brokers.
• Investor types that are generally interested in opportunity zones.
• Slight changes that have occurred in the opportunity zone program since Biden came into power. 
• Jeff’s thoughts about potential inflationary spikes.
• Typical loan to value ratios of the projects Jeff and his team work on.