Fourth-Quarter Trends, Immigration Law Foretell Increase in Foreign Investment in Florida Commercial Real Estate Projects

MAITLAND, Fla. --- Positive fourth-quarter economic trends will likely lead to increased foreign investment in Central Florida commercial real estate development, particularly benefiting assisted living facilities, according to longtime regional real estate investment expert George Livingston. Livingston, chairman of NAI Realvest in Maitland, said a law President Obama signed three months ago to extend the nation’s EB-5 immigration policy came at just the right time. “Sales of industrial properties are up, office prices have improved, sales of large regional retail malls have been strong, and the financing environment is improved with low interest rates that are falling still,” Livingston said. “Overall, real estate prices are generally stable with hotel prices lower, however, apartment prices continue to show strength,” he said. But the real gem is found in senior housing, Livingston said. “Senior housing occupancies have improved and rents are trending higher,” he said. Assisted living facilities are among the best positioned for the international EB-5 investors due to the high new job count and positive outlook for this section. Under EB-5 rules, foreigners can obtain a two-year resident card for their entire family if they invest a minimum of $500,000 in a “Targeted Employment Area”--- a high unemployment or rural area --- that creates or preserves at least 10 jobs for U.S. workers, not including the investor’s family. The bill President Obama signed extended a provision creating Regional Centers to facilitate foreign EB-5 investment. Florida has 22 Regional Centers, second only to California. “The market now favors acquisition of U.S. real estate, particularly apartment and senior living properties in select markets,” Livingston said. There currently is a shortage of capital for new development in the U.S., so now is the appropriate time for foreign investors who want a U.S. Visa to join with an experienced developer in a Regional Center to construct a high job-producing commercial property such as a hotel or assisted living facility,” he said.