City of Dallas, TX – Opportunity Zone Prospectus

Challenge

As the economic engine of the country’s fourth-largest metropolitan area, Dallas is a city of opportunity. Billions of dollars in investments have poured into the city in recent years as companies of all sizes have chosen to make major commitments to Dallas. However, the city’s prosperity has not been equally distributed.

Response

The Tax Cuts and Jobs Act of 2017 established Opportunity Zones, a federal tax incentive designed to spur investment in under-served communities. Under the Act, investors in these zones can receive significant tax benefits, including a deferral of capital gains taxes. For residents, Opportunity Zone investments have the potential to provide pathways to economic success for residents in and around the zones. Fifteen census tracts in the city were designated as Opportunity Zones by the federal government, encompassing 76,000 residents across nine neighborhood clusters. To help maximize the potential of the Opportunity Zone program, the City engaged TIP Strategies to create a prospectus to position the zones with investors. TIP created a regional economic overview, along with individual analyses for the zones contained in each of the nine neighborhood clusters.