This week, I had the opportunity to present to the Missoula Organization of Realtors (MOR) about the benefits of developing land in Opportunity Zones. I’m particularly excited about this new community development program because of our company’s personal connection: DJ&A’s new headquarters will be the first Opportunity Zone project in Missoula.
What are Opportunity Zones?
The 2017 Tax Cuts and Job Act created the Opportunity Zone program to spur economic growth in distressed communities. Rather than relying on taxpayer dollars to fund the program, the program invites private investors to fund long-term improvement projects in low-income communities.
As part of the legislation, state governors were to identify up to 25 Low-Income Community Census tracts to serve as Opportunity Zones. In Montana, where DJ&A’s headquarters are located, Governor Steve Bullock identified zones in both urban and rural communities, including one located in Missoula.
What benefit can they provide?
Opportunity Zones provide a significant federal tax incentive for taxpayers who reinvest unrealized capital gains into “Opportunity Funds,” which in turn support the long-term improvement of infrastructure and development in the designated zones. Improvements can include the development of affordable housing, infrastructure improvements, new construction, and workforce development.
DJ&A’s New Office
I’m hopeful that this program will spur healthy growth and economic development in areas of our country that sorely need it. We are proud to be pioneers in this effort by developing our new headquarters in the Missoula Opportunity Zone and hope that many others will follow suit.
If you wish to learn more about the benefits of developing your project in an Opportunity Zone, please feel free to reach out to us.