As his poll number continue to drop and reelection hopes dim, Donald Trump is again weaponizing US immigration policy to energize his most aggressive, anti-immigrant voter base. He is expected to sign an executive order on Monday that would suspend temporary visas for foreign workers until the end of 2020, infuriating US business and industry groups who rely on foreign talent. The freeze will apply to H-1B visas designed for high-skilled workers, particularly in the tech industry, and H-2B visas used by seasonal workers, such as in the construction and hospitality industries.
Last week, one of the EB-5 program’s biggest players announced that they were stopping payments due to EB-5 investors because of volatility caused by the pandemic. Citing “extremely challenging conditions” in the residential condo market, that was that, leaving its investors wondering about their investments, their EB-5 process, and a lot more. While we see no need to name this giant company, they are hardly alone: hundreds of US developers relying on EB-5 capital raised via fraudulent TEAs are lurching as the economy falters and the house of cards they have built with EB-5 investor funds comes tumbling down.
In response to the COVID-19 situation and the inability for Attorney Jose Latour to make his monthly trips to Vietnam, LatourLaw is launching a new, low-cost video consultation services for Vietnamese clients looking for answers to their global immigration and tax questions.
[NOTE FROM JOSE: Folks, we normally translate important news like today’s into Vietnamese but AVS Vietnam and I are too busy with final $500K case prep to do so.
Yesterday, Congress passed and the President signed a Continuing Resolution (a temporary extension of funding) extending the EB-5 Regional Center Program through November 21, the day when new EB-5 reforms kick in. On November 21, AVS EB-5 will be one among a handful of Regional Centers offering bona fide TEA/Rural area projects at the new $900,000 TEA level investment amount. The other 90+% of EB-5 projects on the market will now require a minimum investment of $1.8M.
With only 3 months to go before the price of EB-5 jumps from $500K TEA/$1M non-TEA to $900K TEA/$1.8M non-TEA, AVS EB5 is getting many inquiries from last-minute investors wanting to beat the clock. As I explain below, we DO have a few DIRECT EB-5 slots remaining at the $500K level, but we are deferring the launch of our next Regional Center project offering until AFTER the price change. Sounds crazy, right? It isn’t. Here’s the problem: Regional Center projects rely on complex econometric modeling to count jobs. Let’s say a Regional Center project is raising $20M in EB-5 capital and is halfway there by November. That means the first half of the investors in the EB-5 limited partnership will be $500K investors, but if the project is among the 95% of current projects on the market with false TEA status, that means the OTHER half of the investors will