Investors Choice OZ Fund, a qualified opportunity zone fund sponsored by USG/OZI, plans to develop a Class A, six-story, 76-unit multifamily development in Milwaukee, Wisconsin dubbed “Elevation 1659.” The ground-up project, located at 1659 N. Jackson Street near downtown Milwaukee, is slated for completion in July 2023.
Ogden & Company, a full-service real estate company based in Wisconsin, is the development partner for the project.
“We focus on working with local developers who have the best relationships with their local economic development organizations and local governments, and who also historically produce the highest returns for their development projects,” said Greg Genovese, chief executive officer of USG/OZI, and founder of USG Realty Capital. “Ogden & Company checks all of those boxes, and then some. We are absolutely delighted to have them as our development partner, and to offer Elevation 1659 in our portfolio of qualified opportunity zone projects for investors to choose from.”
Elevation 1659 is reportedly being built to meet the local demand for market-rate apartments in the area. USG/OZI noted that all of the units will extend from a central core, resulting in “natural light exposure from two or three sides in most units.” Most apartment units offer light exposure from only one side unless residents are willing to pay a premium for a building-corner unit, the company said.
“The combined parcels are triangular, which allowed us to think creatively about how to maximize the look of Elevation 1659,” said Jason Pietsch, managing member with Ogden & Company. “This is a unique design. No one else in this marketplace offers it.”
USG/OZI said that the Investors Choice OZ Fund seeks to raise $50 million in new investment equity and can expand the offering to $100 million, if needed. The fund reportedly allows investors to choose between a number of project-specific opportunity zone developments within the fund.
Since its launch in June 2021, the fund has added additional projects to its portfolio and continues to seek qualified ground-up multifamily, senior living, storage, and manufactured housing projects to add to its platform. On average, it focuses on projects with investment equity targets ranging from $10 million to $15 million each.
USG/OZI said that it is tracking the social and economic impact of its developments “to honor the spirit and intent” of the federal qualified opportunity zone initiative. This is being done by issuing third-party social impact reports for the life of each project, estimated for at least 10 years.
“With this, and other projects, we’re tracking the input of new capital raised from investors, and the economic impact of those investments,” said Kyle Wiese, president and co-manager of USG/OZI, and founder and managing member of OZI Group. “This displays the positive social impact each of our projects have on the local community. New construction on these projects means new jobs, new tax revenues and other items that are important when it comes to social impact reporting.”
USG/OZI is headquartered in Silverdale, Washington, with divisional headquarters for development and financial analysis in Olympia, Washington and asset management and capital markets in Santa Barbara, California. The USG/OZI Opportunity Zone Investment Platform was created by USG Realty Capital, an alternative investment company launched by industry veteran Greg Genovese, and OZI Group, a company that has launched three opportunity zone investment funds.