Brookfield Plans to Launch an Opportunity Zone Fund
Brookfield Property Partners CEO Brian Kingston said the company would be launching the fund within the next month or two.
(Bloomberg) Brookfield Asset Management/s New York-based real estate unit plans to start an Opportunity Zone fund, joining the roster of financial firms in taking advantage of new US tax breaks for investing in low-income communities.
“We are launching a fund in the next month or two,” Brookfield Property Partners CEO Brian Kingston said Monday at the Milken Institute Global Conference in Beverly Hills, CA.
Goldman Sachs Group, hedge fund EJF Capital and New York-focused RXR Realty, are among firms that have begun making investments in opportunity zones or are raising money to do so. The government incentives are meant to encourage development in areas “that are otherwise crippled,” Kingston said.
Real estate is attracting more interest from institutions including sovereign and pension funds seeking to hedge against long-term liabilities, Kingston said. Brookfield is invested in 30 countries including Brazil, Colombia and Chile, and probably won’t ever be in more than 35, in part because of a focus on strong rule of law and respect of private capital, he said.
Copyright 2019 Bloomberg. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.