Opportunity Zones


  • Business Attraction
    The City of Yuma is considered by the development community to be one of the most business-friendly cities in Arizona.
 

Newly enacted federal legislation created a program to attract new investment in disadvantaged areas of communities. The legislation has designated these areas as Opportunity Zones.  After a state-established process, the City of Yuma received three designated Zones that are highlighted below. The numbers on the aerial are rooted in census tracts enumerations.  It should be noted, however, that only a small portion of Zone 10913 is actually located inside City limits. The balance of the Zone is county proper. The attraction of Opportunity Zones to investors revolves around capital gains and the ability of Investors holding capital gains to re-invest them in a tax advantages manner. The mechanism for that benefit is the Opportunity Zone legislation. 

Opportunity Zones_updated 8-2019

The legislation highlights three primary investor benefits:

·         Deferral of tax on capital gains

·         Reduction of tax on capital gains

·         No tax on sale of an Opportunity Zone interest

In addition to the above identified benefits, the City of Yuma has made significant capital investment in the Zones in the form of street repair and paving, intersection upgrades, water and sewer infrastructure improvements, and park and recreational facility construction. Combined with over $25 million in private sector investments in the Zones over the past four years including hotels and multi-family housing complexes, Yuma’s Opportunity Zones are fertile for additional private and public investment. Some of the candidate opportunities for investment in the City’s Opportunity Zones include retail centers, multi-family housing, hotels, back-office facilities, and entertainment enterprises. Other City performance-based incentives may also be applicable to a new investment in one of the Opportunity Zones.

To bring additional focus and information on the City Opportunity Zones, an Investment Prospectus has been prepared.

Please contact the City’s Office of Economic Development with any questions you may have on Yuma’s Opportunity Zones.