If you’re a savvy investor sitting on capital gains, you’ve likely heard about Opportunity Zones (OZs). But you might be asking yourself, “With new legislation on the horizon, should I invest now or wait?”

In a recent webinar “OZ 1.0 Vs 2.0: How to Profit Now AND Position for the Future”, OZ experts were asked this very question. The consensus from OZ Development Group founder Graham Allison and legal experts Rogelio Carrasquillo and Jessica Perrone was unanimous: the time to act is now. Investing in the current program (OZ 1.0) before the new rules fully kick in around 2027 offers a unique combination of certainty and benefits that may soon disappear.

Here’s why waiting is a gamble you don’t want to take.

The 180-Day Countdown You Can’t Ignore ⏳

First things first, let’s talk about the timeline. The Opportunity Zone program isn’t a “wait and see” game; it’s built for action. As Graham Allison puts it, the entire program is designed to get money moving.

“Opportunity Zones are designed to make capital kinetic.”

— Graham Allison, Founder, OZDG

This isn’t just a catchy phrase—it’s baked into the law. Investors have a statutory 180-day window from the day they realize a capital gain to reinvest it into a Qualified Opportunity Fund. This deadline is non-negotiable. If you realized gains recently, waiting until 2027 isn’t just a bad strategy; it’s simply not an option.

The Incredible Shrinking Map: Secure Your Spot Now 🗺️

One of the biggest changes coming with OZ 2.0 is a redrawing of the eligible maps. The income requirement for a census tract to qualify is getting stricter, shifting from 80% of the Area Median Income (AMI) to just 70%.

What does this mean for you? Many currently eligible zones, especially those in more developed areas, will simply vanish from the map. The new rules will also add a focus on rural areas, fundamentally changing the risk and return profile of future projects.

Rogelio Carrasquillo gave a stunning example of the impact:

“Over 98% of Puerto Rico qualifies today. Under OZ 2.0, that won’t be the case.”

— Rogelio Carrasquillo, Managing Shareholder, Carrasquillo Law Group

If you’re looking at projects in specific regions, the zone you’re targeting today might not exist tomorrow. Acting now locks in your access.

The Power of the Stack: Vanishing Tax Credits 💰

The benefits of Opportunity Zones are powerful on their own, but they become exceptional when “stacked” with other incentives. Unfortunately, some of the most valuable credits are on a countdown timer.

• Ohio’s 10% State Tax Credit: This generous state-level credit for OZ investments is set to expire in mid-2027.
• Energy Project ITCs: Key Investment Tax Credits (ITCs) for energy projects, a legacy of the Biden administration, also have looming deadlines. To qualify, projects must start under the current rules and be finished by the end of 2028.

As Carrasquillo explained, combining these incentives is often what brings a project to life. He noted that by using OZ funding as one part of the “capital stack” and tapping into other tax credits, a project “that may not be viable alone… really becomes a reality.” These stacking opportunities are most potent right now.

Lock It In: The Grandfathering Advantage 🛡️

Perhaps the most compelling reason to invest now is certainty. When you invest in a Qualified Opportunity Fund under the current rules, your project’s OZ status is locked in for the life of the investment.

“Acting sooner locks in access to areas that may not be available in the future.”

— Rogelio Carrasquillo

Even if the OZ maps change in 2027 and the census tract your project is in no longer qualifies, your investment is “grandfathered” in. You retain all the powerful, long-term tax benefits. By investing today, you’re starting your 10-year journey toward tax-free growth under rules you know and can count on, not rules that are still subject to change.

Conclusion: The Answer is Clear

Graham Allison’s simple question says it all: “Why wait?”

The window to take advantage of the broad, favorable landscape of OZ 1.0 is closing. By investing now, you make your capital work for you today, secure access to valuable locations before they disappear, and lock in a powerful combination of benefits for the next decade. Don’t let this opportunity pass you by.

Your Action Plan: Key Takeaways

• The Clock is Ticking: Your 180-day reinvestment window on current capital gains forces you to act now, not in 2027.
• Maps are Changing: Stricter requirements mean many zones (like most of Puerto Rico) won’t qualify under OZ 2.0. Invest now to secure your location.
• Incentives are Expiring: Lucrative add-ons like Ohio’s state tax credit and federal energy ITCs are sunsetting soon.
• Certainty is King: Investing now “grandfathers” your project’s OZ status, protecting your benefits even if the maps change later.

Ready to explore potential opportunities and leverage OZDG’s expertise? Contact us today or schedule your free consultation.