Regional Center Ownership vs. Leasing: Why Time-Sensitive Projects Should Opt for the Latter
A PROJECT ' S TIMELINE, RISK PROFILE, AVAILABLE CAPITAL, AND BROADER GOALS PLAY A ROLE IN DETERMINING THE RIGHT APPROACH.
By David Hirson, Claudia Rea Jimenez & Karla Samayoa
I
The EB-5 Immigrant Investor Program continues to be one of the most compelling immigration and economic development tools available in the United States. For high-net-worth individuals seeking U. S. permanent residence, it offers a pathway that also contributes significantly to the American economy. For developers, it provides an alternative source of capital, often at a cost less than traditional financing sources. For the U. S., it offers foreign direct capital investments that contribute to the expansion of the domestic economy and the creation of jobs at zero cost to the U. S. taxpayers. 1
Since the passage of the EB-5 Reform and Integrity Act of 2022( RIA), over $ 8 billion 2 in foreign capital has been pooled to support U. S. businesses and job creation. The benefits are manifold and reflect positively on the impact foreign capital has brought to the U. S.
Under current rules, investors are eligible for permanent residency by investing a minimum of $ 800,000 in a Targeted Employment Area( TEA) or $ 1,050,000 in a non-TEA 3. To qualify, the investment must create at least ten fulltime jobs for U. S. workers. While the premise is straightforward, the process of launching a compliant EB-5 raise is anything but.
THE CENTRAL ROLE OF REGIONAL CENTERS Since the inception of the Regional Center Program in the early 1990s, these USCISdesignated entities have served as a vital conduit for EB-5 capital. They allow for pooled investments, indirect job creation, and large-scale project financing. When Congress enacted the RIA, it further cemented the necessity of regional centers for projects involving multiple investors.
The new law drew a hard line: while individual investors can still pursue EB-5 through direct investment, raising capital from a group of investors now requires regional center sponsorship. This shift effectively removed the option for pooled direct investments, channeling all such raises through regional centers.
NOTABLE OBLIGATIONS FOR ALL EB-5 PROJECTS, LEASING OR OWNING Whether the Regional Center is owned or leased, certain obligations apply to every EB-5 project. These include engaging a qualified
→ 10
1 https:// iiusa. org / wp-content / uploads / 2025 / 06 / 2016-2019 _ EB-5-Impacts _-IIUSA _ final. pdf 2 https:// blog. lucidtext. com / 2025 / 07 / 09 / major-data-update-fy2024-visa-report-fy2025-q2-data-fy2025-i-485-and-visa-progress-visa-interview-timing /
3 INA § 203( b)( 5); 8 U. S. C. § 1153( b)( 5)