Project Update – All Points North (APN)
Series D
APN is in the process of completing a Series D (fourth round) of non EB-5 equity funding. The company aims to raise more than $100 million at an impressive enterprise valuation of $500 million. APN has already raised over $100 million non EB-5 equity funding, with the Series C valuation previously set at $225 million.
This is good news for our EB-5 investors. This development significantly lowers the financial risk for the company. With APN maintaining a conservative debt level of under $20 million, the infusion of additional equity ensures minimal leverage and enhances financial stability. These private equity investors are eyeing a potential future sale, and when that happens, EB-5 investors are in line to receive a substantial payout.
Expanded services
APN continues to make significant strides in promoting wellness and recovery. Recently, they expanded their services to include specialized programs tailored for professional athletes. As part of this initiative APN recently launched the “Circle of M”- a podcast hosted by former NFL player, and APN client, Marcus Smith. Click here to listen.
Funding EB-5 with a Self-Directed IRA (SDIRA)
Using a SDIRA to invest in an EB-5 visa project can be a strategic way to combine financial growth with immigration goals. A SDIRA allows investors to diversify their retirement portfolio beyond traditional assets like stocks and bonds by investing in alternative assets, like an EB-5 project. By leveraging a SDIRA for EB-5 investment, individuals can potentially grow their retirement savings tax-deferred or tax-free, depending on the type of IRA. We’ve teamed up with Alto to offer this option for APN.
Watch our video about All Points North now:
Regional Centers News
Regional Centers for sale
While we continue to maintain our national Regional Center (RC) coverage, we are able to offer two RC’s for sale due to overlapping coverage. Please reach out to us if this is of interest.
- Smith Southeast, encompassing all of Florida, Georgia, North Carolina, and South Carolina.
- Smith Texarkana, covering all of Oklahoma, Texas, Arkansas, and Louisiana.
New Census Data released
The Census Bureau released new data on December 14 which impacts what qualifies as a high unemployment targeted employment area (TEA). This has implications for projects looking to qualify for the lower investment threshold. Once the project has filed their application they are grandfathered for two years. You can check out what qualifies as a TEA using IIUSA’s updated mapping tool here.
EB-5 News
Visa bulletin warning
The big news this month is that the January 2025 Visa Bulletin has issued a warning about anticipated visa backlogs in EB-5 set-aside categories, particularly impacting investors from China and India. Historically, similar warnings have preceded backlogs by only a few months, as seen with China in 2015, Vietnam in 2018, and India in 2019. Current data shows that visa demand for high-unemployment and potentially rural set aside categories exceeds supply, signaling cut-off dates for high-demand countries. If you are not from a high-demand country like China or India, potential backlogs are unlikely to affect you.
The most important implication of a cut-off date in the Visa Bulletin is that it restricts new EB-5 investors in the U.S. from concurrently filing for adjustment of status, employment authorization documents (EAD), and advance parole (AP) travel documents. Prospective Indian and Chinese investors already in the U.S. are strongly encouraged to act before the cut-off date, in order to take advantage of these significant benefits.
Path of Funds litigation
Since 2019, the path of funds has been a common reason for I-526 denials, with many cases ending up in appeals to the AAO, which tends to side with USCIS’s strict interpretation. However, a recent federal court decision in Battineni v. Mayorkas introduces a more balanced view that could support future appeals. The court emphasized that while EB-5 petitioners must prove their funds came from a lawful source, they are not required to trace “every penny” beyond the initial acquisition. This decision brings much-needed clarity and is a notable win for the Klasko Immigration Litigation Team.
USCIS data reveals record processing and rising demand
USCIS’s FY2024 Q4 data reveals significant improvements in EB-5 case processing, more than doubling from the previous year, reducing the I-526 and I-829 backlog to its lowest since 2013. Notably, 1,119 post-RIA cases were processed, generating a substantial number of applicants for set-aside visas in 2025. However, the surge in I-526E receipts indicates that EB-5 demand has reached its highest level since before 2019, surpassing the annual visa limit of approximately 10,000. You can read an excellent analysis on Suzanne Lazicki’s blog here.
Team Travels
Next month, Steve, Carel, and Q are attending the UGlobal Immigration Expo in Newport Beach. We look forward to meeting with leading agents, attorneys, and developers at this premier industry gathering.
Happy holidays from us to you!