A draft bill may soon be introduced in the U.S. Congress that proposes a reauthorization of the currently inactive regional center program and investment amount increase for EB-5.
If passed, the minimum EB-5 investment amount would increase to $700,000 from the current $500,000 for Targeted Employment Areas and Rural Areas and $850,000 from the current $1,000,000 for Non-Targeted Employment Areas for both regional center and direct EB-5 investments.
These higher amounts could take immediate effect on February 18, 2022, if the bill is passed.
On June 22, 2021, The US District Court in Northern California, in Behring Regional Center LLC v. Wolf, 20-cv-09263-JSC, vacated the EB-5 Immigrant Investor Program Final Rule. This rolled back investment amounts to the previous EB-5 regulations in effect, including a standard minimum investment amount of $1 million and the minimum investment amount for investment in a Targeted Employment Area (TEA) of $500,000. The EB-5 Program was created in 1990 to stimulate the U.S. economy with capital investment by foreign investors and job creation.
Additionally, the EB-5 Regional Center Program expired on June 30, 2021, putting a halt on new applications for regional center designation and any pending petitions dependent on the lapsed process. Also known as the Immigrant Investor Program, it was created in 1992 to provide EB-5 visas for investors who put money into approved commercial projects for promoting economic growth.
