Bridge Raises $1.3 Billion for Opportunity Zone Strategy
Bridge Investment Group, a private real estate investment management firm with $20 billion in assets under management, has raised $1.3 billion in its opportunity zone strategy.
Bridge Investment Group, a private real estate investment management firm with $20 billion in assets under management, has raised $1.3 billion in its opportunity zone strategy, with the majority of that capital already deployed.
Bridge focuses on opportunity zones that are located inside of or within close proximity to high-growth markets in the United States and has targeted development and re-development projects with its development partners.
“Our team has deployed capital in 26 assets in 17 markets across the US,” said David Coelho, chief investment officer for the Bridge opportunity zones strategy. “Bridge is focused on primarily multifamily, transit-oriented developments as an avenue to revitalize underserved communities by investing in building sustainable neighborhoods.”
The qualified opportunity zone program was created under a provision of the Tax Cuts and Jobs Act of 2017 to encourage private capital investments in underfunded communities throughout the U.S.
There is an estimated $6.1 trillion of potential unrealized capital gains eligible to invest in opportunity zones, according to the Economic Innovation Group, and more than 8,700 designated opportunity zones.
Investors are eligible to receive a deferral and partial reduction in the capital gains taxes due on reinvested gains and may benefit from an elimination of taxes on the appreciation of their opportunity zone investments if the investments are held for 10 years.
Over the last decade, Bridge has invested more than $20 billion of capital across its multifamily, office, seniors living and fixed income verticals.
“We strongly believe that our operational capabilities closely align with not only the letter of the opportunity zone mandate, but also the spirit of it…,” said Bob Morse, chairman of Bridge Investment Group. “Bridge continues to see tremendous opportunity in these development projects which are expected to provide meaningful impact on the areas in which capital is invested.”
Bridge Investment Group manages private equity funds, separately managed account vehicles, co-investments, and joint ventures, and focuses on multifamily, office, seniors housing and medical properties, affordable housing, and real estate debt strategies.
