This post is the second in a series presenting my current thoughts on the viability and timeliness of EB-5 financing for new hospitality construction. Each installment is published as a standalone post, allowing readers to engage with individual topics as they are released.
- EB-5 and Hospitality Financing: A Structural Shift in Capital Markets
- EB-5 and Hospitality Financing: Rural TEAs—Still the Fast Lane (this post)
- EB-5 and Hospitality Financing: Urban EB-5 Is Still a Large-Scale Game
- EB-5 and Hospitality Financing: Leverage and Structure Matter More Than Price
- EB-5 and Hospitality Financing: Why EB-5 No Longer Slows Deals
- EB-5 and Hospitality Financing: How EB-5 Improves Equity Returns
- EB-5 and Hospitality Financing: Practical Steps for Developers
- EB-5 and Hospitality Financing: Why Now Is a Good Time
EB‑5 loans are especially synergistic with projects that are located in rural areas, as defined under the 2022 Reform and Integrity Act, and that synergy is intentional.
Importantly, “rural” does not necessarily mean isolated or hard to access. A rural Targeted Employment Area is defined as a location outside a metropolitan statistical area and with a population of 20,000 or less.
To read the full post, please visit our Hospitality Industry Insights blog.