Opportunity Zone Funds Boosting Surge in U.S. Multifamily Construction

Out of the financial uncertainty of the last two years, Qualified Opportunity Zone (OZ) funds accelerated last year, with nearly $7 billion in new capital raised during the last half of 2021. Much of that money appears to be directed into multifamily housing projects erected from the ground up in high-growth markets in California, Arizona, and the Pacific Northwest, in addition to Georgia and other Sunbelt states.

“From the start four or five years ago other real estate firms saw opportunity zones as just another investment vehicle, another reason to raise capital”, says Jeff Feinstein, a Pinnacle managing partner. “We were different from the start. We saw these opportunity zones as compelling investments. We decided to work only with developers doing deals in these zones.”

Read more here about Pinnacle Partners’ participation in Opportunity Zones, the unexpected outcomes of OZ investing, and the future of the program.