Could this be the next hot spot for securing EB-5 investment?

Why Brazil has been earmarked by the industry as the next booming market

TRD New York TRD WEEKEND EDITION /
Jun.June 09, 2018 03:40 PM

(Credit: Max Pixel, Pixabay)

Brazil could be the new China for EB-5 investment apparently.

Industry sources cited in a recent Daily Business Review op-ed by EB lawyer Julián Montero claim the Brazilian market is untapped with a large pool of wealthy individuals with the means and motivation to invest in the EB-5 investor visa program.

“The 282 immigrant visas granted to Brazilian nationals last year are not even a drop in the bucket compared to the potential the market holds,” wrote Montero. The Miami-based lawyer is a partner at Saul Ewing Arnstein & Lehr partner.

Currently, the country most active in using the EB-5 program is still China, with a landslide 7,567 visas filed last year, while Vietnam and Brazil came in at a seemingly distant second and third with 471 and 282 visas respectively. But, a 10-year backlog in visa processing, in combination with political uncertainty, has slowed the pace of EB-5 fundraising in China to the point where developers are considering where else they could set up shop.

According to Montero, Brazil is the best bet due to the high concentration of billionaires in the country — the number of the high-worth individuals outstrip those in Vietnam by about a factor of 10, he argues.

Montero also believes Brazilian investors’ interest will be concentrated in Florida as opposed to New York, the usual favorite, due to the country’s ties with the Sunshine State; in 2017, Brazil was Florida’s top trading partner by a large margin.

The EB-5 program, which continues to be temporary despite being in effect for about 25 years, is set to expire again on September 30. Yesterday, Sen. Chuck Grassley claimed in a letter to President Donald Trump that industry groups were telling foreign investors they had “bought off the White House.” [DBR]Erin Hudson


Related Articles

arrow_forward_ios
With a cooling trade war, stocks perform well, including real estate. (Credit: iStock)

Real estate stocks push up this week as U.S.-China trade tensions ease

Real estate stocks push up this week as U.S.-China trade tensions ease
416 West 25th Street and Maverick Real Estate Partners principal David Aviram (Credit: Google Maps and LinkedIn)

Chelsea landlord claims “predatory” lender is charging a crippling interest rate as punishment after losing foreclosure case

Chelsea landlord claims “predatory” lender is charging a crippling interest rate as punishment after losing foreclosure case
Mayor Bill de Blasio and Dr. Oxiris Barbot (Getty, iStock)

Day care — and its landlords — get a lifeline

Day care — and its landlords — get a lifeline
From left: Gaw Capital Partners’ Goodwin Gaw, Howard Lorber of New Valley Group, Oyo CEO Ritesh Agarwal, Soho House's Ron Burkle, and Steven Witkoff of Witkoff Group (Getty)

TRD Insights: These hotel businesses got big PPP funding

TRD Insights: These hotel businesses got big PPP funding
The threat of eviction hangs heavily above immigrant families who have lost work as a result of the coronavirus pandemic. (Getty)

Eviction bans don’t always protect the most vulnerable

Eviction bans don’t always protect the most vulnerable
Related chairman Stephen Ross and Related Companies Portfolio CEO Richard O’Toole withBronx Terminal Market and Time Warner Center (Getty, Google Maps, Wikipedia)

Related lays out $200M debt settlement plan for Tel Aviv bondholders

Related lays out $200M debt settlement plan for Tel Aviv bondholders
City Council members Debi (Deborah) Rose (right) and Brad Lander (Getty, iStock)

Council bill to reopen day care centers would be boost for landlords

Council bill to reopen day care centers would be boost for landlords
City Council member Vanessa Gibson, Speaker Corey Johnson and City Council member Brad Lander (Getty)

Why the City Council abandoned affordable housing

Why the City Council abandoned affordable housing
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...