(Source: The Real Deal) After months of close to no action, senators are finally updating
their proposed reforms to the controversial EB-5 investor visa program
and circulating draft legislation ahead of an April 28 expiration date.
On Tuesday, the offices of Sen. Patrick Leahy (D-VT) and Sen. Chuck
Grassley (R-IA), two of the EB-5 investor visas’ loudest voices for
reform, began shopping a tweaked draft of a bill they introduced in the
previous Congress. Though still far away from where much of the real estate industry
stands on EB-5, it does include some provisions that reflect changes
that real estate lobbyists have said they could live with. Although the
Department of Homeland Security under President Obama set forth a
proposal to raise the minimum invest for a visa from $500,000 up to
$1.35 million, Grassley and Leahy’s current legislative proposal would
would usher in an $800,000 minimum.
That’s likely an acceptable figure for many EB-5 stakeholders: In a March 8 hearing in the House Judiciary Committee, Angelique Brunner, the president of EB5 Capital and EB-5 Investment Coalition’s spokesperson, said she was hoping to see legislation that would result in a minimum much lower than $1.35 million and more in the neighborhood of $1 million. She previously said that the Obama-recommended minimum of $1.35 million would “kill the program.” The bill also includes integrity measures that appear universally well received, such as requiring routine audits of regional investment centers to check for compliance with SEC regulations. See full report here.
That’s likely an acceptable figure for many EB-5 stakeholders: In a March 8 hearing in the House Judiciary Committee, Angelique Brunner, the president of EB5 Capital and EB-5 Investment Coalition’s spokesperson, said she was hoping to see legislation that would result in a minimum much lower than $1.35 million and more in the neighborhood of $1 million. She previously said that the Obama-recommended minimum of $1.35 million would “kill the program.” The bill also includes integrity measures that appear universally well received, such as requiring routine audits of regional investment centers to check for compliance with SEC regulations. See full report here.
