In brief: GTIS’ Sunbelt opportunity zone

The GTIS Qualified Opportunity Zone Fund I is developing residential and commercial buildings in underinvested US communities.

GTIS Partners has closed on $630 million to invest in social impact real estate. The private markets firm announced it has committed $400 million so far from its GTIS Qualified Opportunity Zone Fund I, which offers investors tax incentives for capital committed to government-designated “opportunity zones”. Such areas have become popular strategies for GPs pursuing strategies that provide investors both profit and social improvement.

New York-headquartered GTIS, which managed $4.3 billion in assets as of last year, has invested in seven projects from its inaugural opportunity zone fund. The firm has focused on markets in Phoenix, Arizona; Las Vegas, Nevada; and Charlotte, North Carolina; developing 5,300 residential units and 1.6 million square feet of commercial office and industrial distribution space, according to a statement.

The fund is structured as a private real estate investment trust and collected commitments from more than 1,600 individual investors and family offices due to its 506(c) registration, which makes the vehicle open to accredited investors with a $100,000 minimum commitment.