If you sell an asset and place it in an opportunity fund you deffer your capital gains until 2026. If you hold it for 10 years then you don't pay any additional cap gains once you exit the opportunity fund (your basis is stepped up to the value at the time of exit).

Opportunity funds must meet certain holding requirements. They must invest in O-Zones and must substantially rehabilitate the real estate they purchase. The minimum rehab is the value of the improvements upon the land at the time of acquisition.

 
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