Introduction
In March 2022, the US Congress passed the EB-5 Reform and Integrity Act (RIA), a significant development in US immigration policy. The RIA introduced measures to make regional centers and industry participants more accountable to USCIS. Affecting everyone in the EB-5 market, from fund managers to overseas migration agents, the RIA mandates increased transparency, stricter oversight, and severe penalties for non-compliance.
Set Aside Visas
The Act has introduced 3 main categories for set-aside visas, namely rural projects, high unemployment and infrastructure projects. Usually, the EB-5 visa investment requirement is USD $1,050,000. However, if you invest in the set-aside visa category, the investment amount is reduced to USD $800,000. The reason for introducing this category is to generate employment in these areas, which helps in the overall development of the region. Under the EB-5 Reform and Integrity Act of 2022, specific set-aside visas are available for investments in targeted areas. Here’s a breakdown:
- High-Unemployment TEA: 10% of the annual EB-5 visa allocation is reserved for investments in high-unemployment Targeted Employment Areas (TEAs).
- Infrastructure projects receive a set-aside of 2% of the total EB-5 visas and are subject to the same investment requirements as TEA projects.
- Rural projects TEA: 20% of the annual EB-5 visa allocation is set aside for investments in rural TEAs. These set-asides can make visas available more quickly upon approval of the I-526E petition, even for investors from countries with long visa backlogs.
Priority processing for rural Investment TEA
Rural EB-5 petitioners benefit from priority processing. According to the EB-5 Reform and Integrity Act of 2022, 20% of the annual EB-5 visa allocation is reserved for investments in rural Targeted Employment Areas (TEAs). This set-aside category can potentially allow for an immediately available visa upon I-526E approval, even for investors from countries with significant visa backlogs. Additionally, rural EB-5 petitions are anticipated to receive priority processing, with an expected timeline of approximately six months to one year. A Rural TEA (Targeted Employment Area) in the EB-5 program is defined by the U.S. Citizenship and Immigration Services (USCIS) as an area located outside metropolitan statistical areas and beyond the outer boundary of cities or towns with populations of 20,000 or more. The aim of designating Rural TEAs is to promote EB-5 investment in rural regions that need economic development and job creation. Investments in a Rural TEA qualify for a reduced investment amount of $800,000, compared to the standard $1,050,000 required for non-TEA areas.
How does EB5 Rural project investment benefit Indians?
The American Immigrant Investor Alliance reports that around 16% of all Form I-526Es were submitted by Indian nationals, with 36% of these applications pertaining to rural projects. Indian investors are increasingly drawn to rural projects due to the opportunity to apply for a set-aside visa. Currently, there is no visa backlog for rural investments in the EB-5 category. Because not many people have applied for the rural EB5 projects last year, the remaining visas have been carried forward into this year and hence, the visas are available. This means that Indian individuals currently in the U.S. on nonimmigrant visas such as F1 and H1B can file for both their I-526E and green card applications almost at the same time.
Lately, we have seen that EB5 adjudicators have been very active in processing Rural investment TEA applications much quicker. You can now get an approval, usually in 6 to 12 months. In some cases, we have seen the approvals of EB5 petitions coming within 2 to 3 months with the help of priority processing in projects that are already I956F approved.
How can Acquest Advisors help you?
As you can see, set-aside visas are the quickest way to get permanent residency in the US. EB-5 rural projects offer a unique and advantageous pathway to obtaining a U.S. green card with the help of EB5 priority processing. We have multiple rural projects for you to choose from for investment and apply for your EB5 visa.
We at Acquest Advisors specialize in the EB5 Visa program for Indians based in India and overseas. Our CEO, Paresh Karia, is a well-known media personality and thought leader in the areas of investment and immigration. His background as a chartered accountant and an ex-banker, along with his network of professionals, makes him adept at guiding sources of funds planning and documentation, project selection, and overseas funds remittance. Schedule a call with him and take that first decisive step to secure your familyโs Future in the US.