Tax Incentive a Missed Opportunity, Thus Far

Opportunity Zones (OZs) seem like a win-win: boosting growth in low-income communities by offering tax breaks to investors who channel capital into them. But the tax program has yet to fully deliver on that promise, according to a new study coauthored by Dmitry Mitrofanov, assistant professor of business analytics at the Carroll School. The authors show that residential property values were no higher in designated OZs than in comparable areas—indicating that residents of OZs have yet to benefit—and suggest revisions to the policy. Propmodo, which covers commercial real estate trends, called the research “the most comprehensive analysis yet of opportunity zone property market dynamics.”