Special Supplement
checked all the boxes for the buyers,
and the tax incentives were an important
variable,” Marchand says. “Of the offers
received, half mentioned the opportunity
zone as significant to their interest in the
property.”
“I’m told there are millions of dollars
on the sidelines waiting to be invested,
which must be done through opportuni-
ty funds, the specific investment vehicle
for these projects,” says Sacramento
City Councilman Allen Warren, who
represents District 2, which includes
several opportunity zones, including
the Noralto, Old North Sacramento and
South Hagginwood neighborhoods.
Councilman Jeff Harris’ District 3
encompasses The Railyards and the
River District along Richards Boulevard,
and though the district doesn’t have any
opportunity zone projects yet, Harris
says, “I’m hearing tremendous interest
from investors. There are some projects
ready to go that can probably attract in-
vestment because they’re in opportuni-
ty zones. It should be a good tool to get
social equity projects built and use cap-
ital that’s currently parked in tax-shield-
ed programs, not doing anything for the
greater community.”
“I think they’ll move some projects
off the bubble and attract interest in
projects that may not have been on the
radar before,” says Fritzsche. “I antici-
pate a wide variety of usage across the
city in terms of real-estate investing as
well as investing in businesses.”
Sacramento’s Northgate and South
Natomas areas have swaths of oppor-
tunity zone designation, and the River
District and Railyards in their entirety
are designated as such.
“Looking at infill opportunities,” says
Harris, “there aren’t many big tracts of land,
but 80 acres at Northgate Boulevard and
[Interstate 80] is in an opportunity zone, and
the landowner is now very eager to develop.”
Harris also sees this as beneficial to
the River District. “It’s an older indus-
trial and commercial area, and the op-
portunity zone should be golden there,”
he says. “There’s a lot of interest from
developers in acquiring River District
property, partially because it’s adjacent
to The Railyards, but also because of its
opportunity zone designation.”
A Point of Caution
Though opportunity zones may be used for
affordable housing developments, the main
focus is economic and business development.
But community-based organizations
are keen on making sure the program’s
BUILDING THE FUTURE
OF CONSTRUCTION
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