Special Supplement
The Railyards, next to downtown
Sacramento, is a designated “opportunity
zone,” meaning those who purchase real
estate there could have their capital gains
taxes deferred or eliminated.
Enticing
Investment
Opportunity zones are attracting investment
in lower-income areas of Sacramento to help
revitalize communities
by Jennifer von Geldern
A
relatively new tool is drawing investors to economically
distressed communities in Sacramento. “Opportunity
zones,” enacted as part of the federal Tax Cuts and Jobs
Act of 2017, gives investors incentives to bring business
and development projects to designated low-income areas by
eliminating or deferring capital gains taxes. It’s made to be a
win-win — for investors and for the communities by injecting
economic life into those neighborhoods.
In California, there are 879 opportunity zones, which are
rural or urban census tracts (neighborhoods) of low-income
or lack-of-business-activity areas. Sacramento County has 43
opportunity zones, and the city of Sacramento has 29 spread
throughout downtown, older commercial quarters, development
areas like The Railyards, and industrial areas like Power Inn.
May 2019 | comstocksmag.com
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