FOSTERING COLLABORATION ; ADVANCING OPPORTUNITIES
49 this incentive is complex with varying levels of understanding across diverse interested parties . To help equip and support communities and local stakeholders with knowledge of this incentive , a variety of tools can be helpful such as :
• Establishing a resource network comprised of professional services providers knowledgeable of OZ regulations , compliance and deal structuring .
• Providing technical assistance to support early due diligence by small businesses and smaller-scale developers .
• Creating educational tools including collateral , webinars , and websites .
INVEST IN COLLABORATION AND OPPORTUNITIES
Sustaining a coordinated collaboration approach requires investment which in turn helps to support local OZ investments . Strategies may include :
• Involving foundations in the planning process to gather early support for a collaborative approach .
• Aligning with public and philanthropic investment efforts to integrate OZs into the toolbox .
• Mapping investor pathways , and facilitating access to OZ funds , using the knowledge and relationships built through the collaboration ; whether to pursue the creation of an OZ fund is an early organizing decision for discussing during the planning stages .
STRATEGIES AND TOOLS IMPLEMENTATION
Once a local group has coalesced around pursuing a coordinated collaboration approach with an action plan in hand and the operational framework in place , several strategies and tools can be deployed to support OZ activity .
Everyone involved in community development – investors , tax advisors , grassroots leaders , local economic development officials – recognizes that the Opportunity Zones tax incentive is but one tool in the toolbox . Strategic collaboration across stakeholders , however , can sharpen the tool ’ s impact and reach to deliver returns on investment and contribute to greater social impact in local communities .
BUILD AND CONNECT A PIPELINE
Building and maintaining a pipeline is crucial to tracking opportunities and connecting with prospective investors , and this can be accomplished in a few ways :
• Inventorying projects in approval pipelines of planning agencies and local partners such as community development financial institutions or community development corporations .
• Reviewing existing community plans .
• Understanding local economic development programs , priorities and incentives .
• Marketing opportunities including the use of online OZ platforms , and matchmaking via direct outreach to prospective investors .
CULTIVATE OPPORTUNITIES
While OZs offer potential access to new capital sources , understanding
Robin Schabes is the director of the Chicagoland Opportunity Zones Consortium . She is responsible for coordinating the consortium ’ s work , delivering on key responsibilities , and facilitating implementation of its action plan . Established in 2019 , and housed at the Chicago Community Loan Fund , the consortium is a collaborative of 30 organizations that facilitates connections between developers , business owners , small business capital resources , and OZ investors through matchmaking , education , and technical support . Following a ground-up planning process of multiple stakeholders , convened by a local CDFI , the consortium is Chicagoland ’ s centralized voice about OZs .
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