While a variety of projects could qualify under the EB5 program – including hospitality, tourism, technology, and property – the majority of EB5 projects launched since the program’s start in 1990 have been real estate development projects.

While there have been (and presently are) some exceptions to this, the majority of qualifying EB5 property projects tend to pay a yield of around only 1%, with an emphasis on capital preservation. (Even though the principal has to be “at risk” in order to meet the program’s requirements.

Moreover, the qualifying investment had to be maintained for a minimum of 5 years, which was a suitable timeframe for real estate projects like branded hotel developments, as a single example.

But then, in 2022, the Reform and Integrity Act reduced the minimum hold period for EB5 investments to just two years.

This was exceptional news for EB5 investors, as it significantly reduced the hefty opportunity costs associated with investing at least $800,000, for 5-7 years, for a pre-tax yield of around just 1% p.a.

However, large-scale property developments cannot feasibly be completed within two years – so for EB5 real estate developers, this change wasn’t particularly useful.

What did emerge, in 2023, was a new breed of EB5 project… with projected returns of up to 50%+… and a minimum hold period of just 2.5 years… In the Oil and Gas sector.

Find out more about this rural EB5 energy project, or contact us now below for more information.