As wait times for Chinese-born EB-5 investors surpass the average length of EB-5 development projects, the need to “redeploy” their capital into secondary projects (to maintain the required “at risk” status of the funds) has become a challenging industry reality. An estimated $17 billion in EB-5 capital will require redeployment over the next four years, according to our data, and NCE Managers and General Partners must be very careful to handle this money in a manner consistent with their fiduciary responsibilities to their investors.
In this week’s featured article, Catherine DeBono Holmes, Partner at Jeffer Mangels Butler & Mitchell LLP, presents seven questions that Managers and GPs need to ask themselves when formulating a redeployment plan.
Read the article here: “Fiduciary Duties of General Partners and Managers in Connection with Redeployment of EB-5 Capital”
NES Financial, in collaboration with more than 20 EB-5 industry experts, has released the latest edition of its EB-5 eBook series, EB-5 Insider: Medallion Partners Share Insights on Industry Trends.
For many more articles like this one, download the free eBook now.