EB-5 Regional Center Approval
ARUNDEL CAPITAL PARTNERS
Arundel & Co, EB-5 Public Affairs
FOR IMMEDIATE RELEASE
Structure for high job creation commercial real estate developments approved for Boston
New York, New York – [March 8, 2013] On March 5, New York City-based private equity investment firm Arundel Capital Partners received United States Citizenship and Immigration Services (“USCIS”) approval to operate a private sector EB-5 regional investment center, geographically focused on Boston, Massachusetts. The initial $125 million in “shovel-ready” commercial real estate development projects sponsored by Silvermine Development Partners, and submitted to the USCIS, include investments which Arundel's econometric models forecast will create 623 jobs in Boston. Arundel is financing these projects from private funding sources, a portion of which comes from EB-5 visa economic immigrants.
EB-5 investments have contributed to many high profile commercial real estate development projects, including Times Square in New York, the LA Live entertainment complex in Los Angeles, and most recently the Jay Peak Ski Resort in Vermont. According to a New York Times article, Jay Peak Ski Resort is the largest economic development project in Vermont's history, with a project size of $865 million, “creating 10,000 direct and indirect jobs over several years. 550 foreign investors from 60 countries put up $275 million for the first phase. The second and third phases, now under way, require 1,000 additional foreign investors to put up $500 million to overhaul Newport and to develop the nearby Burke Mountain Ski Area”.
Investment projects, and the regional investment centers which sponsor them, go through an exhaustive and lengthy evaluation process conducted by the USCIS, who give final approval for the regional center to operate, and the investments to qualify for the EB-5 visa program. In the case of Arundel, the process took over one year, and was strongly supported by federal, state, and city politicians, union leaders, and the local business community.
“It was a team effort” stated Jack Worthington, Managing Partner of Arundel. “Congressman (Stephen, [MA-8]) Lynch and his team in Boston and DC were supportive in helping us navigate the process and getting this project off the ground. Bob Rizzi's (President of Norfolk CLC, AFL-CIO) leadership to get the word out to the union people on the street, and their strong support were key. The EB-5 program has played an important role in very high impact commercial real estate projects, and now all Massachusetts developers have access to this competitive advantage through Arundel investments. I'm honored to be able to bring this regional center to Massachusetts and do my part to help create an ongoing number of good jobs for the people of Boston”.
Alyson Toombs Worthington, Managing Partner of Silvermine Development Partners and Trustee of the Urban Land Institute states, “Silvermine has a great team up in Boston. Our development pipeline far exceeds the $125 million currently approved, and that's where this really gets exciting. Just look at the impact of Jay Peak, Times Square, and LA Live on those communities. Silvermine’s objective is to create high quality, smart developments which enhance their neighbourhoods, and are a blue chip investment product for all of our investors and stakeholders. Access to the EB-5 program is a competitive advantage and Silvermine is looking forward to developing important projects for Boston.”
Arundel Capital Partners: www.arundel-group.com
Silvermine Development Partners: www.silverminedp.com