More than half of Fredericksburg, Va., is eligible for the federal government’s new Opportunity Zone investment program, and now there’s an easy way to find information on qualifying properties.
The Federal Tax Cuts and Jobs Act of 2017 included provisions for a new revitalization tool, the Opportunity Zone and Opportunity Fund. The program will allow investors to receive tax benefits on unrealized capital gains by investing those gains in qualified census tracts designated as “Opportunity Zones.”
Two of Fredericksburg’s Census tracts are among the 212 Virginia Census tracts that will be part of the program. Those two tracts comprise all the land west of U.S. 1 in the City of Fredericksburg, in addition to a small section east of U.S. 1 in the northern part of the City between the canal and river. Among the areas of the City located in the two tracts are the Hylton property, Celebrate Virginia South, Central Park, Eagle Village, the Route 3 and 1 corridors, Mary Washington Hospital campus, Idlewild and the Mill District/Princess Anne Street corridor.
The U.S. Department of Treasury is expected to finalize the program’s rules by the end of 2018.
A layer was recently added to Fredericksburg’s Geographic Information System (GIS) that allows potential investors and property owners to see which exact properties are part of the Opportunity Zone program, and to also learn key details about those properties (ownership history, assessed value, zoning, acreage, square footage, topography, etc.). To start using the tool, select “VA Federal Opportunity Zone” under “Tourism and Economic Development” on the left side of the screen. That will shade the Opportunity Zone area in light blue, and individual properties can be selected for more information.
Inclusion in the Opportunity Zone program is expected to positively impact private investment activity in the City of Fredericksburg.