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How is debt financing done in Opportunity Zones?

Debt financing - Is debt financing typically done at the QOF or QOZB level?


Answers
  • David LeGrand
    October 25, 2021

    No differently than for any other company developing a project.

  • Matthew Rappaport
    October 25, 2021

    The Qualified Opportunity Zone Business receives the debt financing. It is not conventional to have the Qualified Opportunity Fund receive it, and lenders likely won't want to do it that way either.

  • Marko Belej
    October 25, 2021

    In my experience, debt financing is typically received at the Qualified Opportunity Zone Business level (and not the Qualified Opportunity Fund level).

  • Maria De Los Angeles Rivera
    October 28, 2021

    I am not aware of differences specific to Opportunity Zone financing. I have seen it done at the Qualified Opportunity Zone Business-level mostly.

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