In 2019, AltCap launched Equity2 LLC, a new Opportunity Zone investment affiliate, which will provide equity capital to accelerate the development of small businesses positioned for second stage growth as well as invest in catalytic, community-focused real estate development projects in designated Opportunity Zones.
Equity2 will leverage AltCap’s experience creating high-performing tax credit investment and loan portfolios to offer opportunities to investors seeking double bottom line returns. With ten years of successful investment experience, including a $200+ million portfolio of New Markets Tax Credit investments and the creation of a unique debt financing platform used to provide small business and micro loans, AltCap will support Equity2 in identifying high-impact investment opportunities in underserved communities throughout the Kansas City metropolitan area.
Opportunity Zones were established by Congress in the Tax Cuts and Jobs Act of 2017 to spur economic development and job creation in distressed communities. Designed to encourage long-term private investments in low-income geographies, Opportunity Zones provide a tax incentive for investors who reinvest capital gains into Qualified Opportunity Funds. The investment capital raised via Qualified Opportunity Funds are used to invest in a Qualified Opportunity Zone Business or Property. By providing private investors with a federal tax deferral on their reinvested capital gains, Opportunity Zones and associated Opportunity Funds invite investments in job creating businesses and catalytic real estate and economic development projects located in the most economically distressed communities throughout the country.
At Equity2 we seek to deploy equity capital to increase economic equity and community benefits in designated Opportunity Zones. As a mission-driven impact investment firm founded to provide patient capital for new and growing businesses and community-enhancing projects, we believe successful investments provide attractive risk-adjusted returns while creating shared value for both investors and communities.
Learn more about Equity2 LLC, by visiting www.e2investing.com.