The cornerstone of the EB-5 program is the capital investment. Understanding the exact amounts, the rules governing them, and the additional costs involved is the first step in assessing your financial readiness. This article breaks down the numbers you need to know.
The Two Investment Levels
The EB-5 Reform and Integrity Act of 2022 established two clear investment tiers:
1. Targeted Employment Area (TEA) Investment: $800,000
This is the lower investment amount, designed to encourage development in areas of greatest economic need. A project qualifies as being in a TEA if it is located in:
- A Rural Area: An area outside of a metropolitan statistical area (MSA) or on the outer boundary of a city with a population of 20,000 or more.
- A High-Unemployment Area: An area that has experienced an unemployment rate that is at least 150% of the national average.
Under the RIA, only USCIS can designate an area as a TEA, providing certainty to investors. The vast majority of EB-5 projects are structured to qualify for this lower investment amount.
2. Standard (Non-TEA) Investment: $1,050,000
For projects located outside of a designated TEA, the minimum investment requirement is $1,050,000. While less common, these projects may be located in prime urban areas and appeal to investors with different risk profiles.
Expert Tip
Always verify a project's TEA designation directly in its official offering documents. The Regional Center must have an approved I-956F form from USCIS that confirms the project's location in a TEA.
Budgeting Beyond the Investment
The $800,000 or $1,050,000 is only the capital that must be invested and placed "at-risk." You must also budget for several other significant costs:
- Administrative Fee: Charged by the Regional Center to cover their costs of managing the project and the EB-5 process. This typically ranges from $60,000 to $80,000.
- Immigration Attorney Fees: Legal fees for preparing and filing your I-526E and subsequent petitions. This can vary widely based on the complexity of your case.
- USCIS Filing Fees: The U.S. government charges fees for processing your applications. These are subject to change, so consult the official USCIS website for the latest figures.
A prudent investor should budget for a total outlay of approximately $900,000 or more for a TEA-based investment to cover all associated costs.