The Opportunity Zone program — a federal strategy that provides preferential tax treatment to investors, allowing them to sell a good that has increased in value, such as stock or real estate, but delay paying taxes on capital gains if they immediately reinvest in a building or business that is located in a recognized site — has selected the Rockwood neighborhood as a new opportunity zone in Oregon.
Rockwood, between the borders of Portland and Gresham, has historically been a disinvested neighborhood in the Portland area. Zoning the region as an opportunity zone will make it a tempting investment opportunity for private investors and real estate developers.
The Oregonian reports on the selection of Rockwood as an opportunity zone:
Rockwood, just inside Gresham’s borders, stretches from roughly 162nd to 202nd avenues, along East Burnside Street and the MAX Blue Line. A high percentage of residents live below the poverty line, and many are members of racial or ethnic minorities. It’s long suffered under a reputation for high crime, though its crime rate is similar to other neighborhoods considering its population.
“There are a lot of complex reasons why a neighborhood like Rockwood gets overlooked, but the systems have really failed our neighbors, and getting unstuck has been a really complicated problem,” said Brad Ketch, founder of the nonprofit Rockwood Community Development Corp.
Read the full story here.