Venture capital-backed tech startups bring skilled jobs (and lunch crowds) to low income neighborhoods

NEW YORK - Rezul -- Maximum Opportunity Zone Tax Discount Expires on December 31, 2019

The purpose of the Opportunity Zone ("OZ") legislation was to create jobs and prosperity in neighborhoods that had not experienced the same growth as more affluent areas. The program allows for investment in opportunity zone funds to defer and reduce existing capital gains tax as well as realize future capital gains without any tax liability, with the maximum discounts expiring on December 31, 2019.¹

However, nearly all the capital has flowed into OZ funds focused on real estate. Only a mere 2.6% of the $3.2 billion that has been raised for opportunity zone funds is intended to invest in operating businesses. These businesses, which hire new employees and support local businesses, stand a far better chance of achieving the designed benefits of the program than real estate development.

More on Rezul News

• Costa Oil - 10 Minute Oil Change Surpasses 70 Locations with Construction of San Antonio, TX Stores — Eyes Growth Via Acquisition or Being Acquired
• LaTerra and Respark Under Contract with AIMCO to Acquire a $455M, 7-Property Chicago Multifamily Portfolio
• PulteGroup opens new model, now selling at Murray Farms
• Amazing Hotels Inc Announces A Luxury Hotel & Entertainment Complex On 500+/- Lakefront Acres
• Capital Has Gone Global. Real Estate Hasn't. Why 2026 Marks a Turning Point

One such company, Compound Asset Management, Inc. is a venture-backed fintech company and QOZ business that has established its headquarters in a storefront on the Lower East Side, in one of the five designated opportunity zones south of 125th Street. There are only a few opportunity zones in Manhattan, and they are predominantly concentrated in Upper Manhattan.

"Not only will these businesses create jobs and prosperity outside the major business districts of Manhattan, but current and future investors will participate in the unique capital gains tax benefits that come with opportunity zone businesses," said Janine Yorio, CEO of Compound Asset Management. "It's an unparalleled opportunity for holders of capital gains to save taxes and to participate in a venture-style business investment with the potential for a 10x--or even 100x return."

More on Rezul News

• Record Revenue, Tax Tailwinds, and AI-Driven Scale: Why Off The Hook YS Inc. Is Emerging as a Standout in the $57 Billion U.S. Marine Market
• VSee Health (N A S D A Q: VSEE) Secures $6.0M At-Market Investment, Accelerates Expansion as Revenues Surge
• Children Rising Appoints Marshelle A. Wilburn as New Executive Director
• New Homes for sale in Smithville Texas
• Fairmint CEO Joris Delanoue Elected General Director of the Canton Foundation

About Compound Asset Management, Inc.

Compound (www.getcompound.com) is a fintech company based in New York City that is reimagining how the world invests in real estate, empowering investors from diverse backgrounds and geographies to own a piece of the cities they love. Compound is led by an executive team with deep real estate, brand, design, and finance experience. Compound's platform enables millions of investors—-who have historically not had access to the largest global asset class—-to buy and sell shares of beautiful apartments in beautiful cities.

1. https://www.novoco.com/sites/default/files/1024...