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EB-5 Programs & Projects
Latest news on featured EB-5 Programs and Projects.
Currently, there are over 400 RCs. That's way too many. If ever China stops supplying EB-5 cases, then the EB-5 market will be dead. Also, the slow adjudications of I-526s by USCIS is causing a serious problem in attracting EB-5 clients from countries other than China. Chinese investors are still forced to proceed with EB-5 cases mainly because all other immigration classifications are even slower than the EB-5 route.
We disagree with the conclusion stated in the above article that the approval of the Los Angeles Marriott Hotel project is an indication that USCIS has reached a positive conclusion on the tenant-occupancy issue. We take it as an indication that USCIS has carved out an exception to hotel developer/management related jobs from the tenant-occupancy issues which still have not been decided.
One thing curious to me is that most of the comments to the article is negative. But I wonder how can the commenters expect the foreign investors to invest in a U.S. business if the foreign investors do not receive something in return, i.e., green cards, when they certainly are not receiving all that much profit? Specifically, I am curious what these commenters think the foreign investors should receive as a benefit in return for investing $500,000 to $1 Million USD in a U.S. business?
During May 1st 2012 IIUSA EB-5 Conference held at Laguna Hills, CA, which we attended, there was one roundtable where IIUSA invited their four (4) "most successful" regional center general partners to be panelists and answer some questions from the audience. One question asked was how much EB-5 funds they raised up to now through their own EB-5 projects, and the answers went something like this:
$200 Million USD EB-5 funds
$400 Million USD EB-5 funds
$800 Million USD EB-5 funds
$1.3 Billion USD EB-5 funds
Whether the judge's ruling delays or causes a problem for the project really depends on the nature of the lawsuit and whether the lawsuit is asking for an order to stop any construction from taking place. What we are saying is that it really depends on whether the lawsuit has any merit.
Another Regional Center EB-5 Program in Missouri in trouble? See below newspaper article.
With the exponential increase in the number of regional centers, it's just a matter of time before more regional centers and/or their EB-5 projects encounter problems.
Read the above news regarding some problem developing at one of regional centers. Not good for the RC industry. Seems like EB-5 investors' moneys were used different without their consents. However, it should be noted that most of RCs abide by the rules. Keep in mind that this is an exception rather than a rule.
It appears that the trend is toward a lot stricter adjudication of regional center designation applications and petitions.
We always said that the EB-5 Program should be shut down if USCIS does not support the EB-5 Program through policies that reflect the real-world commercial needs and practical solutions. After all, it's hard to argue that EB-5 investors hurt the U.S. in any way. All they do is probably spend money in the US and very rarely commit any crimes in the US, while contributing their business savvy and knowledge. Heck, there will be many countries rolling out welcome mats to these investors if the U.S. doesn't want them.
Better follow the below rule, but for I-829s USCIS goes beyond what is required by their own I-9 rule below! Come on USCIS, let's be reasonable!
See below links:
We hope the Victorville Regional Center Program gets reinstated quickly, so that there will be no adverse impact on the EB-5 investors already signed up.
Many of the critics (we sometimes criticize some aspects also) of EB-5 Program really don't understand what the investors have to go through when they criticize the EB-5 Program as a simple transaction of getting green cards in exchange for putting up $500,000.
Here is a link to the EB-5 project involving NBA's Nets.
The author has some valid points but misses some points in that the huge "grey" area related to the job-creation methodology is due to the way EB-5 law is written and USCIS' failure to quickly clarify the job-related issues. USCIS has flip-flopped on construction jobs issues, overturning (maybe political pressure?) on the long-standing policy of not counting ANY construction jobs (direct or indirect).
Heck, we believe we know EB-5 law, but when it comes to figuring out USCIS' policies on some of the important job-related issues, there is no certainty at all.
USCIS issues Notice of Intent To Terminate the Victorville Regional Center Program, according to the below newspaper article.
If you are planning a strong project in L.A. County area which will create many jobs for American workers, read on . . .
www.eb-5center.com has recently started to provide legal and consulting services to qualified projects, by either for profit, non-profit or governmental entities, in the Los Angeles County area to attract EB-5 financing, using its extensive experience and in-depth knowledge of regional centers and EB-5 law.
We all know bad economy can adversely affect all kinds of industries. However, there are some industry areas that may be more severely affected by bad economy. Therefore, potential EB-5 investors would do well to avoid these types of industries.