A unique and superior investment vehicle for all investors who are looking to benefit from the tax-advantaged high-return investment opportunities available in Arizona.
The Fund is available to Accredited and Non-Accredited Investors with qualified capital gains, non-qualified capital gains, and investment capital. The minimum investment for Qualified Investors is $100,000, and for Non-qualified investors it is $10.000.
Tax Avoidance
Individuals and business owners often have more than one way to complete a taxable transaction.
Tax avoidance lowers your tax bill by structuring your transactions so that you reap the largest tax benefits.
Tax avoidance is completely legal-and extremely wise. The Fund is similar to a Roth IRA in its ability to avoid tax on future gains and gives you a bonus on the initial investment if it is from capital gains. Additionally, the funds that are invested in real estate will reap real estate depreciation tax benefits each year that the funds are invested with us. All was made possible by the 2017 TCJA passed in the Trump Administration period. Your IRA is a great investment for our Arizona Opportunity Zone.
Your investment with us is designed to help both Accredited and Non-Acridities investors. You the Investor reduce your tax burden by investing capital gains funds for a minimum period of 5 years (10%) or any investment of funds for a minimum period of 10 years. This TCJA authorized tax avoidance program ends in 2047 so there are many years left in this tax avoidance program
Opportunity Zone Investing
Opportunity Zones are an economic development tool that allows people to invest in distressed areas in the United States.
Their purpose is to spur economic growth and job creation in low-income communities while providing tax benefits to investors.
This investment is designed to help Investors reduce their tax burden by their investing capital gains funds for a minimum period of 5 years or any investment of funds for a minimum period of 10 years. This TCJA authorized tax avoidance program ends in 2047.
Financial Planning
We offer a one to one financial discussion of your tax situation and what your goals and needs may be. We will help you determine if our Opportunity Zone Fund investment option works for your specific financial situation with our long term Arizona Opportunity Zone Fund investment.
This investment is designed for both Accredited and non-Accredited Investors.
Currently this is a private fund with a limited number of investors.
What Is A Qualified Opportunity Fund?
A Qualified Opportunity Fund is a new investment vehicle created as part of the Tax Cuts and Jobs Act (TCJA) of 2017 to incentivize investment in targeted communities called Qualified Opportunity Zones (QOZs) to spur economic development and job creation in these distressed urban and rural communities.
What Is A Qualified Opportunity Zone?
Opportunity Zones are low income census tracts nominated by governors and certified by the U.S. Department of the Treasury into which investors can now put capital to work financing new projects and enterprises in exchange for certain federal capital gains tax advantages.
The country now has over 8,700 Opportunity Zones in every state and territory.
Financial Planning With Arizona Opportunity Zone Fund..
Investing in the Arizona Opportunity Fund LLC can be done by completing our application and review. You are welcome to have a one on one conversation to determine if we are a fit for your financial and tax goals. We have plans for different investment opportunities and will discuss our plans with you to help you determine if our tax advantaged investments work for you. Each person’s tax situation is unique and these long term investments may or may not be a fit for you.
To take advantage of the tax savings of an opportunity zone investment there are two different levels to invest at. The first is with capital gains you have earned from other investments such as stock or real estate and you want to avoid federal tax by investing those earned gains in an opportunity zone. Those funds need to remain in the fund for a period of at least five years as specified by the IRS.
The second method is to make an investment of non-capital gains funds in the opportunity fund and allow them to stay in the fund for a period of ten years.
The fund will remain an opportunity zone until December 31, 2047, based on the TCJA of 2017. We believe that with the change in the federal administration from the 2020 election that the law will remain in place.
Why invest in Arizona Opportunity Zone Fund?
INVESTORS CAN RECEIVE THE FOLLOWING FOUR MAJOR BENEFITS BY ROLLING THEIR CAPITAL GAINS INTO qof WITHIN 180 DAYS
Defer Capital Gains
Investors can defer recognition of the capital gain invested until up to December 31, 2026 and postpone paying the federal tax obligation until the tax return due date in 2027.
Reduce Capital Gains
Investors receive a 10% step-up in basis of any capital gains invested in QOFs, if the QOF is held for 5 years prior to December 31, 2026.
After 10 Years No Additional Capital Gains Tax
If the investor holds the QOF investment for 10 years, any additional gain (in excess of the deferred gain recognized in 2026) on the sale of such QOF investment is not subject to federal income tax if sold prior to 2048.
Receive POSSIBLE ANNUAL Dividends & POSSIBLE ANNUAL TAX DEDUCTION FROM REAL ESTATE Depreciation
Investors might receive yearly income distributions & depreciation from the QOF’s real estate.
The fund’s investments in real estate and other depreciable assets will have depreciation that can and will be distributed to the funds investors based on their percentage of investment in the fund’s investment that they chose to be in.
Our CURRENT Projects
CORNERSTONE MASONRY SYSTEMS LLC
Recently Jim Longworth, its Owner/Manager, joined with two PhD graduates from Arizona State University that have developed three new exciting products for the construction industry. Two of the products have great insulating capabilities and one is an ultra strong concrete. The ultra strong concrete ranges from 10 to 20 times stronger than the current strongest concrete. The second is a stucco that has insulation capabilities with an R factor of 12. Normal stucco has an R factor of about 2 at best. The third is roof paint with great insulation properties.
The two PhDs are joining with and licensing Cornerstone for production and use of the ultra strong concrete, the manufacture of the R12 stucco. The insulating paint may be produced by Cornerstone in the future. The ultra strong concrete when bagged for sale, the bagged stucco and the roof paint, all will require a factory in the long term.
Cornerstone’s initial plan is to have the paint and stucco made by someone for a time while the factory is built and setup for production. One site in Casa Grande AZ has been located next to the Union Pacific main line rail tracks with the option to add a siding next to the property for easy receiving and shipping of large quantities throughout the US by rail. Casa Grande also adjoins Interstate – 10 and Interstate – 8 for faster truck shipping and receiving. The plant would be built to accommodate both truck and rail shipping and receiving.
One AZ-OZ plan is to purchase the land using a loan, build, the plant needed by CSC, own it, and lease it to CSC. The other plan is to buy the 19 acres parcel that will have a rail road spur. The third is to buy a 36 acre parcel, divide it into four 9+ acre lots, put a spur down the center for all to use, and build to suit on the three of the lots, lease them for a reasonable price to cover costs. Alternatively, sell them if need be afterward to generate cash flow to cover loan payments.
Cornerstone (the LLC) has a forth product which is a light weight concrete that has been licensed from its developer in Germany. It has many unique uses, but doesn’t have the strength of normal concrete. Cornerstone is also a licensed masonry contractor building wall systems. They are currently doing contracting work building block walls and other masonry block work. The ultra strong concrete will be used in projects as soon as it is practical to do so.
In the long term a separate location (or a section of one of the larger lots if purchased in Coolidge AZ) is needed to form and dry ultra strong concrete wall sections and for the light weight concrete wall sections. The AZ-OZ plans to purchase the land. Cornerstone would buy the needed equipment for that operation. The AZ-OZ would lease the facility to Cornerstone if a separate location is used. In the short term a leased location likely will be found.
“Being rich is having money, being wealthy is having time.”
— Margaret Bonnano
