Sponsored Post: INTRODUCING – Regional Center Marketplace

Content Sponsored by Regional Center Marketplace

Are you a designated regional center that does not want to pay the fees and undertake the responsibilities and liabilities created by the EB-5 Reform and Integrity Act but want to protect your existing investors? Regional Center Marketplace can help you sell your regional center.

Do you have a designated regional center in a geographical area in which you are unlikely to sponsor any new projects? Regional Center Marketplace can help you sell your regional center.

Are you a designated EB-5 regional center seeking to sponsor a project outside of your approved geographical boundaries? Regional Center Marketplace can help you buy (or rent) a regional center.

Are you a developer seeking to raise EB-5 capital for a new project? Regional Center Marketplace can help you buy (or rent) a regional center.

In all of these examples, buying or selling a regional center may be the best option.

Regional Center Marketplace was created by Ron Klasko to help locate regional centers available for sale for prospective purchasers and regional centers available for purchase for prospective sellers.

 Background

The EB-5 Reform and Integrity Act resulted in an unprecedented number of regional centers that are available for purchase. In many cases, the reason is that the regional center does not wish to sponsor new projects or investors with the vastly increased expenses, responsibilities and liabilities under the RIA. However, the regional center does not want to abandon its existing investors. Such regional centers realize that, if they simply go out of business, they get nothing; and they jeopardize their investors. On the other hand, if they sell the regional center, they can monetize a valuable asset, while at the same time protecting their investors.

At the same time, the RIA resulted in an unprecedented demand by developers to purchase an existing regional center. The reason for this relates to the expected exceedingly lengthy processing times for the approval of a new regional center on Form I-956. With many hundreds of I-956 forms being filed during the same period of time, approval of a new regional center may well take 3-5 years or more. That is an unrealistic wait for an active project seeking EB-5 financing. The alternative of buying a regional center and being able to seek EB-5 financing immediately is far more attractive.

The same applies for existing regional centers that want to expand their geographic areas. They, too, have to file Form I-956 and wait many years for the approval before they can sponsor a project in the expanded geographical area.

Regional Center Marketplace was created to bring together regional centers and developers that want to purchase (or rent) regional centers with regional centers that are available for purchase (or rental).

Does Regional Center Marketplace negotiate the deal between the buyer and the seller?
No. Our company brings buyers and sellers together. Each party should have its own counsel in negotiating the purchase price and the terms of the purchase.

Does Regional Center Marketplace also assist developers with projects seeking to be sponsored by a regional center?
Yes.

Does Regional Center Marketplace provide buyers with due diligence criteria for evaluating a prospective regional center to purchase or to sponsor a project?
Yes.

Is Regional Center Marketplace affiliated with Klasko Immigration Law Partners, LLP?
No, and it does not provide any legal services or advice, nor is any attorney-client relationship formed in connection with Regional Center Marketplace’s services. Klasko Immigration Law Partners, LLP is available to provide EB-5 immigration law advice and representation if requested by a client of Regional Center Marketplace.

How does Regional Center Marketplace get compensated?
The company charges a fixed fee, the amount of which varies depending on the sale price of the regional center. The fee is normally paid out of the seller’s proceeds, but the parties can negotiate to have the buyer pay some or all of the fee.

Can a developer or a regional center retain Regional Center Marketplace to do a retained search for potential regional center acquisition candidates?
Yes.

Whom should we contact for more information?
Visit RegionalCenterMarketplace.com or email Ron Klasko at [email protected]