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Can non-profit hospitals be funded through the EB-5 program?

I was told that hospitals are attractive investments for regional centers, because of the stability and numbers of jobs created. We are planning a new Children''s hospital and wanted to know if we could use this program to raise capital.

Answers

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    David Hirson

    Immigration Attorney
    Answered on

    The EB-5 program requires a qualifying investment in a new commercial enterprise. A new commercial enterprise is any for profit entity formed for the ongoing conduct of lawful business. A non-profit Children''s hospital would not qualify for direct EB-5 investment capital. However, a regional center engaged in the business of loaning capital to non-profit entities would qualify as a new commercial business under the program. You should be able to fund the Children''s hospital through the EB-5 program; it will be a matter of structuring the new commercial enterprise under a regional center according to USCIS regulations.

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    Reza Rahbaran

    Immigration Attorney
    Answered on

    Yes, as long as the correct structure is in place. A regional center must be for profit, the project under the regional center may be a not for profit entity. For further information please contact Rahbaran & Associates.

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    Julia Roussinova

    Immigration Attorney
    Answered on

    Yes, as long as the transactions are properly structured between a project within a Regional Center and a nonprofit hospital receiving EB-5 investment funds. Regional Center handling its specific projects must be for profit.

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    Ed Beshara

    Immigration Attorney
    Answered on

    The EB-5 investment must be made in a new commercial enterprise for profit. Hence an investment in a non- profit hospital will not be EB-5 compliant.

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    Igor Serbinin

    Immigration Attorney
    Answered on

    Yes, they can.

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    Philip H Teplen

    Immigration Attorney
    Answered on

    A not for profit hospital can be used for EB-5 purposes; although, I question the number of jobs being created. i would like to see the business plan.

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    Mona Shah

    Immigration Attorney
    Answered on

    Yes, a non for profit entity can be the basis of a project. The RC must always be for profit.

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    Daniel A Zeft

    Immigration Attorney
    Answered on

    No, EB-5 investments are only for for-profit enterprises. Daniel A. Zeft Attorney at Law Practice Limited to Immigration and Nationality Law Law Offices of Daniel A. Zeft 53 W. Jackson Blvd., Suite 1332 Chicago, Illinois 60604 Tel. 312-360-0959 Fax 312-360-0961 dzeft@zeftlaw.com www.zeftlaw.com

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    Shahzad Q Qadri

    RC Creator
    Answered on

    While non-profits cannot be directly funded, there are ways to use the EB-5 program to fund such institutions. We would be happy to answer any additional questions that you may have.

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    Mahsa Aliaskari

    Immigration Attorney
    Answered on

    Pursuant to the regulations, EB-5 investments can only be made in a for-profit enterprise.

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    Ying Lu

    Immigration Attorney
    Answered on

    Yes, if the hospital project will be operated under the regional center program. You can set up a for profit limited partnership and loan money to the non-profit hospital. This is a very complicated process. Please consult an experienced EB-5 attorney.

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    Lei Jiang

    Immigration Attorney
    Answered on

    Yes.

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    Daniel B Lundy

    Immigration Attorney
    Answered on

    Yes, a non-profit hospital could receive funding from EB-5. The investors would have to invest in a newly formed entity, which could then make a loan or equity investment into the hospital. As long as the entity in which the investors have invested in is a for-profit business, this would not present a problem.

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    Boyd Campbell

    Immigration Attorney
    Answered on

    Yes, as long as the hospital uses a regional center.

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    Clem Turner

    Securities Attorney
    Answered on

    Hospitals and medical facilities are popular investments in EB-5, however they have to be structured properly. Furthermore, as large institutions subject to public scrutiny, they need to make sure they abide by the Federal Securities laws. You should speak with a corporate and securities lawyer knowledgeable about EB-5.

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    Susan Pilcher

    Immigration Attorney
    Answered on

    Yes, but the project must be structured correctly, because the law requires that the investment vehicle be a commercial, for-profit entity. You will need to work with experienced EB-5 counsel.

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