Opportunity Zone Funds Offer Terrific Tax Liability Offset

The new year got off with bond yields spiking to three-month highs as investors appear to be buying into the hawkish narrative being put forth by the Fed. Oil prices and other commodity prices also appear to be moving higher under persistent demand pressure outstripping supply issues. There is a rotation of sectors occurring in the stock market with cyclical and real estate sectors getting lots of love at the expense of the growth stocks that had enjoyed low interest rates and QE for years.

Fighting the Fed is never an easy task for investors and therefore it may be an opportunity to get on the side of benefiting from inflationary tailwinds and consider positioning capital in assets that may be more sensitive to inflation and rising rates. And for some, that can be commercial real estate that owns multi-family residential properties.

With a sharp focus on acquiring and building Class A full-featured apartment complexes in hot job markets in the midst of Belpointe PREP, LLC’s (NYSE American: OZ) ongoing capital raise, Belpointe PREP is at an “all systems go” phase for 2022. Our target markets in early goings are Sarasota and Tampa/St. Pete, FL, Nashville, TN, Austin, TX, Boise, ID, and the Research Triangle (Durham, Chapel Hill and Raleigh, NC).

Belpointe PREP has an active blueprint for deploying its acquisition and construction team to exploit these markets a.s.a.p. and will strive to begin the process of establishing a distribution schedule in the future. In addition to developing properties, Belpointe PREP will also focus on acquiring existing opportunity zone funds, with existing cash flow, whose management may be looking to exit their investments. This course of action removes new construction risks and affords the possibility of immediate income for Belpointe PREP investors.

But first things first. Today, I want to encourage all those readers of this column that may be sitting on 2021 capital gains to learn more about how they may still be able to defer or possibly still eliminate those capital gains before paying their tax bill.

April 15 will be here in no time and with it the need to offset tax bills at prevailing tax rates, which rates could be adjusted higher over the course of 2022, depending on efforts by Congress to repackage the Build Back Better Plan and whether those efforts result in higher tax rates on the well-to-do. If that were to happen, I would except that demand for a tax shelter like OZ would be very high, especially if the Build Back Better Plan or its replacement were to be retroactive to January 1 of this year.

Belpointe PREP, LLC (NYSE American: OZ) is designed for investors who may be sitting on capital gains from the sale of stocks, bonds, real estate, a business, collectibles, cryptocurrencies, trademarks, patents, precious metals, planes, boats, livestock, or any other intangible or tangible assets. This is one of the real beauties of owning Belpointe PREP – it can be used as a tax planning tool that investors can add to or trim according to need.

Have questions about how Belpointe OZ can provide opportunities for investment appreciation, income and help you or your clients to Defer or Eliminate Capital Gains Obligations?

Call or email us and we’ll take the time to answer all of your questions about Belpointe OZ and how reinvesting capital gains in a Qualified Opportunity Zone fund can be utilized to offset an investor’s tax obligation.

You can contact us at 203-883-1944 or IR@belpointeoz.com

Cody Laidlaw
Editor-in-Chief
Belpointe OZ
255 Glenville Road
Greenwich, CT 06831
T: (203) 883-1944
E: IR@belpointeoz.com

Disclosure: Cody H. Laidlaw is the Chief Investor Relations Officer of Belpointe PREP, LLC. Cody is also an investment advisor representative with Seaside Advisory Services, Inc. (d/b/a Seaside Financial & Insurance Services), a SEC registered investment adviser offering advisory accounts and services, and holds a long position in Belpointe PREP, LLC’s Class A units.

Important Information and Qualifications

Belpointe PREP, LLC (“Belpointe PREP”) has filed a registration statement (including a prospectus) with the U.S. Securities and Exchange Commission (SEC) for the offer and sale of up to $750,000,000 of Class A units representing limited liability interests in Belpointe PREP. You should read Belpointe PREP’s most recent prospectus and the other documents that it has filed with the SEC for more complete information about Belpointe PREP and the offering

Investing in Belpointe PREP’s Class A units involves a high degree of risk, including a complete loss of investment. Prior to making an investment decision, you should carefully consider Belpointe PREP’s investment objectives and strategy, risk factors, fees and expenses and any tax consequences that may results from an investment in Belpointe PREP’s Class A units. To view Belpointe PREP’s most recent prospectus containing this and other important information visit sec.gov or belpointeoz.com. Alternatively, you may request Belpointe PREP send you the prospectus by calling (203) 883-1944 or emailing claidlaw@belpointe.com. Read the prospectus in its entirety before making an investment decision.

This communication, including any links embedded herein, may not be distributed in any jurisdiction where it is unlawful to do so. Nothing in this communication is or should be construed as an offer to sell or solicitation of an offer to buy Belpointe PREP’s Class A units in any jurisdiction where it is unlawful to do so.

Neither Belpointe PREP nor any of its affiliates provide investment or tax advice and do not represent in any manner that the outcomes described herein will result in any particular tax consequence. Prospective investors should consult their own investment and tax advisers concerning the U.S. federal, state and local income tax consequences, as well as any tax consequences under the laws of any other taxing jurisdiction, in relation to their personal tax circumstances, which may vary for prospective investors in different tax situations.

This communication may contain estimates, projections and other forward-looking statements, typically identified by words and phrases such as “anticipate,” “estimate,” “believe,” “continue,” “could,” “intend,” “may,” “plan,” “potential,” “predict,” “seek,” “should,” “will,” “would,” “expect,” “objective,” “projection,” “forecast,” “goal,” “guidance,” “outlook,” “effort,” “target” or the negative of such words and other comparable terminology. However, the absence of these words does not mean that a statement is not forward-looking. Any forward-looking statements expressing an expectation or belief as to future events is expressed in good faith and believed to be reasonable at the time such forward-looking statement is made. However, these statements are not guarantees of future events and involve risks, uncertainties and other factors beyond Belpointe PREP’s control. Therefore, we caution you against relying on any of these forward-looking statements. Actual outcomes and results may differ materially from what is expressed in any forward-looking statement. Except as required by applicable law, including federal securities laws, Belpointe PREP does not intend to update any of the forward-looking statements to conform them to actual results or revised expectations.

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