The document discusses EB-5 funding, which provides foreign investors who invest $1 million or more in U.S. projects that create 10 jobs with a path to U.S. residency. A study found that in 2012 alone, EB-5 investments contributed over $3.39 billion to GDP and supported over 42,000 jobs. Speakers at an upcoming forum in Rochester will provide information on EB-5 requirements and deals. Local leaders hope EB-5 funding can help revive areas still struggling after the recession and bring jobs to Rochester through new project announcements. EB-5 capital has also helped fund projects in Buffalo like a vascular institute and transportation hub.

1. Reprinted with permission of the Rochester Business Journal.
VOLUME 30, NUMBER 33 WWW.RBJDAILY.COM NOVEMBER 14, 2014
EB-5 funding catalyst for economic development
By STEPHEN YALE-LOEHR AND WILLIAM GRESSER
As Rochester’s economy continues to grow, government leaders and business developers are learning more about EB-5 capital, which is becoming one of the most sought-after sources of financing for economic development projects across the nation.
The Federal Reserve of New York and NAIOP Upstate New York chapter will present an EB-5 Forum Nov. 18 at Oak Hill Country Club. Speakers will share their knowledge of EB-5 requirements, deal structure, future availability and more.
Congress created the EB-5 program, also known as the Immigrant Investor Program, in 1990 to benefit the U.S. economy by attracting investments in job-creating proj-
ects from qualified foreign investors. Under the program, each investor must create or save at least 10 new U.S. jobs as a result of the EB-5 investment, which must be a minimum of $1 million—or $500,000 if the funds are invested in certain high- unemployment or rural areas.
Organizations called EB-5 regional centers pool capital from multiple foreign investors for investment in economic development projects within a defined geographic region.
The Association to Invest in the USA, the national trade association representing more than 200 EB-5 regional centers, published a comprehensive, peer-reviewed economic impact study of the program. It found that in 2012, investments made through the EB- 5 program contributed over $3.39 billion to U.S. gross domestic product, supported over 42,000 American jobs, and generated over $712 million in federal/state/local tax revenue, all at no cost to the U.S. taxpayer. Initial data for 2013 promises even stronger numbers.
Federal Reserve vice president Rae Rosen said EB-5 capital can be a catalyst to help revive areas of the U.S. still struggling in the wake of the recession.
“We hope the Rochester forum sparks some projects,” she said.
“In the coming months, we expect a number of EB-5 project announcements that will have a significant impact on the local economy,” said Del Smith, commissioner of neighborhood and business development for Rochester. “We’re glad to facilitate opportunities that leverage this innovative program. We welcome the investments in our community and the local jobs they bring.”
Indeed, EB-5 capital is being used effectively in other parts of the state. In Buffalo, Kaleida Health turned to EB-5 New York State Regional Center to supply $10 million in capital to help launch its Gates Vascular Institute, which is now in operation. EB-5 New York State also raised capital from foreign investors for the development of MiGo, a multimodal transportation structure that is serving Buffalo’s burgeoning medical campus, and for the Health Science Charter School’s renovation of its historic downtown Buffalo building.
These projects demonstrate exactly what Congress intended the EB-5 program to do: create new U.S. jobs and spur economic development. The contributions of foreign investors in job- creating projects on the Buffalo Niagara Medical Campus were augmented and compounded by subsequent sources of capital from other public and private partners.
Projects like these will create jobs and bring needed industry to Rochester, so we need to keep the momentum going. The best way to do this is by encouraging members of Congress to support the permanent authorization of the EB-5 Program. And with continued support from local stakeholders, we can make sure that EB-5 capital will play a vital role in the development of Rochester long into the future.
To learn more about EB-5, visit www.eb5nys.com or http:// millermayer.com/eb-5. To register for the EB-5 Forum on Nov. 18, visit www.naiopupstateny.com.
Stephen Yale-Loehr is an adjunct professor of law at Cornell University and one of the nation’s preeminent authorities on U.S. immigration law. He also practices immigration law at Miller Mayer LLP in Ithaca. William Gresser is president and CEO of EB-5 New York State LLC, a regional center covering all of New York.