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www.EncoreEB5.com
The EB-‐5 Immigration Program-‐-‐-‐ Encore Global Investment Management, LLC
Thinking Globally, Investing Locally 5005 LBJ Freeway, Suite 1200 | Dallas, TX 75244 | (214) 259-‐7000
www.EncoreEB5.com
Table of Content
• About Encore Global
• EB-‐5 Basics:
• About EB-‐5 Programs
• About Regional Center
• Target Employment Area (TEA)
• EB-‐5 Investment Statistics
• Eb-‐5 Processing Timeline
• Total Cost for EB-‐5 Investment
• Contact Us
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Encore Global, LLC. Company Overview
Encore Global Investment Management, LLC (“Encore Global”), a subsidiary of Encore Enterprises, Inc.(“Encore”), provides qualified foreign nationals and their families with the opportunity to obtain permanentU.S. residency through investment in a variety of U.S. real estate projects that are sponsored by one of EncoreGlobal’s government designated EB-‐5 Regional Centers.
Encore Global EB-‐5 Regional Centers(as of May 2015)
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www.EncoreEB5.com
About Encore GlobalWhat makes Us Unique?
Retail Retail
Hospitality
Ø Encore Global owns and operates one of the largest Regional Center Platforms in the U.S.
Ø Encore developed the first EB-‐5 project in the State of Texas (also called “Encore Call Center”).
Ø Encore has the resources (in-‐house) to underwrite, develop, operate, and manage a wide variety of real estate projects.
Ø Encore has the geographic flexibility to develop and/or fund real estate projects in more than 60 major markets across the country.
Ø Since its inception in 1999, Encore has never lost a penny for any of its investors in any of its projects (even during the recession).*
Process Discipline Performance
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* Past performance does not predict future returns. This is neither an offer to sell nor a solicitation to buy securities. The information herein is believed to be reliable, however the accuracy andcompleteness of the information is not guaranteed. It is intended to provide general information only. It is not intended to provide personal investment advice and it does not take into account thespecific investment objectives, financial situationand the particular needs of any specific person.
www.EncoreEB5.com
Encore Global, LLC. Management Team
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Dr. Bharat Sangani | Founder and Chairman
Patrick J. Barber | President and CEO
Charles Omage | Executive Vice President and General Counsel
§ Twenty plus years of commercial real estate investment experience§ Closed over $1.3 billion in transactions§ A Fellow of the American College of Cardiology and the American College of Chest
Physicians
§ Thirty Five plus years and over $4.8 billion of real estate transaction experience§ Developed and redeveloped over 40 hotels, multi-‐family complexes and retail properties§ Experienced in market assessment, deal structures and analyzing financial options§ Holds degrees in architecture and business finance from Louisiana State University
§ Fourteen years of commercial real estate transaction experience§ Experience also includes representation of investments banks and institutional lenders§ Provides legal counsel to Encore Enterprises and its various subsidiaries§ Holds a J.D. from Hofstra University School of Law, and a B.S. in Finance from Boston
College
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Encore Global, LLC. Management Team
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§ More than ten years of experience in the real estate private equity industry§ 15 years of experience as attorney with role as corporate counsel in Encore’s family of companies
since 2009§ Member of Texas and Louisiana Bar Associations
§ More than 10 years of securities, financial advising and private equity experience§ Raised over $30MM in private funds from high net-‐worth clients at Encore§ Master’s degree in Management Information Systems, University of Texas at Arlington§ Member of CFA Institute
Daisy Chen, CFA | Senior Managing Director
Julianne Maerschel | Administrative Director
§ Responsible for the overall support to the Encore Global and its research team, including due § Assists in EB-‐5 platform development and branding it in various events and also help with fund
raising for existing projects for Encore Global and its Regional Center Network.§ Bachelor’s Degree in Finance, University of Nottingham§ Master’s degree in Finance, University of Texas at Dallas
Mina Zhu | Financial Analyst
www.EncoreEB5.com
What is EB-‐5?
Multi-‐Family
Retail Retail
A Triple-‐Win Program…
In 1990, Congress created the employment-‐based fifth preference (EB-‐5) immigrant visa category for qualified foreign investors who want to invest in a new commercial enterprise that will …
(1) Benefit the U.S. economy, and
(2) Create (or save) at least 10 full-‐time jobs for qualifying U.S. workers within two years of I-‐526 approval (or reasonable time thereafter) in exchange for permanent residency status in the United States.
Job Creation, Capital Infusion, andImmigration through Investment.
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EB-‐5 Administration
Retail
Hospitality
Hospitality
Employment-‐Based Immigration Program
The U.S. Citizenship and Immigration Services (USCIS) administers the Immigrant Investor Program, also known as “EB-‐5,” created by Congress to stimulate the U.S. economy through job creation and capital investment by foreign investors.
Under a “pilot immigration program” first enacted in 1992 and regularly reauthorized since, 10,000 visas are set aside each year for investors (and eligible family members) in Regional Centers designated by the USCIS.
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www.EncoreEB5.com
Retail
Hospitality
Hospitality
Investment Categories
EB-‐5 InvestmentsAre Divided into Two Categories
Direct Investment
A direct investment into a business – count only “Direct Jobs” that are created by the business.
Regional Center InvestmentAn investment through an approved Regional Center – can count …
ü Direct Jobsü Indirect Jobsü Induced Jobs
A Regional Center is a more advantageous and effective tool for an EB-‐5 investor to prove-‐up jobs.
Today, approximately 95% of all EB-‐5 investments are through USCIS approved Regional Centers.
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What is a Regional Center?
Multi-‐Family
Retail Retail
Hospitality
• An EB-‐5 Regional Center is an entity designated by the USCIS that is eligible tosolicit, receive, disburse and manage immigrant investors’ capital.
• A Regional Center is a defined geographical area where a sponsor seeks to createjobs and promote economic growth through the investment of EB-‐5 funds.
• A Regional Center obtains its designation by submitting a detailed application (formI-‐924) to theUSCIS.
• It takesabout８ – 1０months to obtainRegional Center approved.
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Targeted Employment Area(Project Location)
Retail RetailA “Targeted Employment Area” (“TEA”) is an area that, at the time of investment, is either:
(2) a rural area is any area outside ametropolitan statistical area andoutside the boundary of any townhaving a population of 20,000 or moreaccording to the census bureau.
FOCUS
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(1) an area experiencing highunemployment rates of at least 150percent of the national average rate;or
FOCUS
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Multi-‐Family
Retail Retail
Hospitality
EB-‐5 Investment Statistics
In fiscal year (FY) 2013, the EB-‐5 Regional Center Program contributed $2.0 billion in foreign direct investment (FDI) to various projects throughout the U.S. that promote regional economic development. In addition, the Program contributed $3.58 billion to U.S. GDP and supported over 41,000 jobs at no cost to the public purse.
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Multi-‐Family
Retail Retail
Hospitality
EB-‐5 Investment Statistics
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Multi-‐Family
Retail Retail
Hospitality
I-‐526 Statistics
Source: Department of Homeland Security, U.S. Citizenship and Immigration Services, Performance Analysis System (PAS) , September 2015
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Multi-‐Family
Retail Retail
Hospitality
I-‐829 Statistics
Source: Department of Homeland Security, U.S. Citizenship and Immigration Services, Performance Analysis System (PAS) , September 2015
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Multi-‐Family
RetailRetail
Hospitality
EB-‐5 Visa Usage
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China-‐ Mainland Born90%
1%
1% 1% 1% 6%
Annual Report of Immigrant Visa Applicants as of November 1, 2015
China-‐ Mainland Born
Hong Kong S.A.R
Vietnam
China-‐ Taiwan born
Korea, South
All Others
Country
15,830
254
245
158
148
1,027
Employment -Based Fifth Preference
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Multi-‐Family
Retail Retail
Hospitality
Application Final Action Date
On the chart below:
Visa Bulletin Feb, 2016
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Employment- Based All Charge- ability Areas Except Those Listed
CHINA-Mainland Born
India Mexico Philippines
1st C C C C C
2nd C 01MAR12 01AUG08 C C
3rd 01OCT15 01OCT12 15JUN04 01OCT15 08JAN08
Other Workers 01OCT15 22DEC06 15JUN15 01OCT15 08JAN08
4th C C C C C
Certain Religious Workers C C C C C
5th Non- Regional Center (C5 and T5)
C 15JAN14 C C C
5th Regional Center (I5 and R5)
C 15JAN14 C C C
Chinese Visa Retrogression
Numbers are authorized for issuance only for applicants whose priority date is earlier than the cut-‐off date listed below.
Date = Oversubscribed"C” = Current"U” = Unauthorized
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Multi-‐Family
Retail Retail
Hospitality
USCIS Processing Time
Below is a chart from USCIS Processing Time Information for the Immigrant Investor Program Office that shows the a timeframe in months representing the average processing time for the following forms that are processed by the Immigrant Investor Program Office (IPO).
Please note some cases may take longer to process.
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Average Processing Times for Immigrant Investor Program Office as of November 30, 2015
Form Title Classification or Basis for Filing:ProcessingTimeframe:
I-‐526 Immigrant Petition By Alien Entrepreneur For use by entrepreneur who wishes to immigrate to the UnitedStates
15.5 Month(s)
I-‐829 Petition by Entrepreneur to Remove Conditions Removal of lawful permanent resident conditions (immigrant investors)
15.7 Month(s)
I-‐924 Application For Regional Center Under the Immigrant Investor Pilot Program
I924 – Application For Regional Center Under the Immigrant Investor Pilot Program
7.9 Month(s)
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Retail Retail
EB-‐5 Timeline (China- Mainland born Investors)
Chinese Visa Retrogression and the increased backlog of I-‐526 petitions
*As of 1/12/16, the average I-‐526 petition processing time is 15.5 months**As of 1/12/16, the average I-‐829 petition processing time is 15.7 months***Based on the bulletin board provided by USCIS in Feb.2016, the retrogression period for China-‐Mainland Born investors is around 2 years
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File I-‐526 Petition
I-‐526 Petition Approval*
Start Adjustment of Status or Consulate Interview Process***
Receive Conditional Green Card
File I-‐829 Petition
I-‐829 Petition Approval/Receive Permanent Green Card**
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Retail
EB-‐5 Timeline (All Other Investors)
*As of 1/12/16, the average I-‐526 petition processing time is 15.5 months**As of 1/12/16, the average I-‐829 petition processing time is 15.7 months
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File I-‐526 Petition
I-‐829 Petition Approval/Receive Permanent Green Card**
File I-‐829 Petition
Receive Conditional Green Card
I-‐526 Petition Approval, Adjustment of Status orConsulate Interview Process*
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Retail Hospitality
Investor Objectives
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EB-5 Capital
New Employment CreationAt Least 10 Full-‐Time Jobs Per Investor
(Plus a Buffer)
• Clear business plan with exit strategies• Well capitalized strong sponsor• Experienced regional center
(2) Financial -‐ Modest Returns with good risk management
EB-‐5Investors EB-‐5
Projects
OtherSources
ofCapital
(1) Immigration -‐ Receive permanent residency in U.S.
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Investment Amount(Per Investor)
Multi-‐Family
Retail Retail
Hospitality
With One Exception …
One Million Dollars($1,000,000)
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Retail Retail
Investment Amount(Per Investor)
ExceptionIf the project is within a Targeted Employment Area (“TEA”), the investment amount per investor is …
THE PREFERRED CHOICE
Five Hundred Thousand Dollars($500,000)
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www.EncoreEB5.com
Retail
Total Cost for EB-5 Investor
Fee Items AmountInvestment Principals1 $500,000
Administration Fee $50,000
Attorney Fees2 $20,000
Filing Fees3 $6,575
Total Fees $576,5751Assuming the project is located in the TEA.
2Attorney fees vary by attorneys, average is about $20,000 for both I-‐526 and I-‐829 stages, not including the translation fee.
3USCIS stated filing fees including follows: • I-‐526 filing fee of $1,500, I-‐485 filing fee of $985 + $85 biometrics fee for each family member, • I-‐829 filing fee of $3,750 + biometrics fee of $85 for each family member. • These fees are subject to change as published by USCIS at the time of filing. This filing fee calculation above is an
example of a foreign investor with a spouse and no children, and they file I-‐485 after their I-‐526 approval. Fees will vary modestly depending on an investor’s marital status, number of dependents (if any), and U.S. residency status (if any).
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Retail Retail
Job Creation Requirements
• For each investor, a project must create or preserve 10 full-‐time jobs at a minimum of 35 hours per week for qualifying employees.
• Qualifying employees include: a US Citizen, permanent resident or other immigrant authorized to work in the United States (does not include investor, investor’s spouse, or investor’s children).
• These 10 new jobs must be consistent with the jobs identified in the investor’s I-‐526 petition.
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10 Full-time Jobs
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Multi-‐Family
Retail Retail
Hospitality
Types of Jobs
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• Direct Jobs are identifiable and actual positions for qualified U.S. workers and employees. These jobsare formed in the business in which the foreign entrepreneur invested EB-‐5 capital per the program'srequirements. Each position must be fulltime.
• Indirect Jobs are actualized in businesses and commercial enterprises that are associated or affiliatedwith an EB-‐5 Regional Center. These jobs are still shown to have been created due to the capitalinvested by the immigrant investor. USCIS will only allow indirect jobs to be counted in cases of EB-‐5investment through USCIS-‐ designated regional centers.
• Induced Jobs are those that are created in the community in which the regional center is located. Theincrease in spending by workers involved in EB-‐5 projects in the community is attributed with thecreation of induced jobs.
One of the benefits of investing through an EB-‐5 Regional Center is the ability to countindirect and induced jobs, as well as direct jobs, towards the job creation requirements foran EB-‐5 investment:
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Encore Global Services
Multi-‐Family
Retail Retail
Hospitality
Services Description
Project Review / Underwriting Encore’s dedicated employees and consulting partners provide thorough duediligence to determine if a project is viable, will create the required number of jobs, and has an exit strategy.
Project Preparation for USCIS Encore will complete a USCIS compliant Business Plan and accompanying Private Placement Memorandum and Securities Offering documents (SEC / FINRA Compliant).
Marketing& Fundraising Services
Encore has its own staff in China and also partners with third-‐party migration agents to fulfill its fundraising needs for sponsored projects.
Investor Relations Encore has partnered with a leading financial services company for administration of investor escrow accounts that provides the highest level of transparency, security and compliance.
Immigrant Assistance Encore can provide immigrant investors with an introduction to experienced immigration attorneys and relocation / educational services.
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Contact Us
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Mina Zhu
Financial Analyst & Investor RelationsEncore Global Investment Management, LLC
[email protected]‐259-‐7000 Office214-‐259-‐2450 Direct214-‐259-‐7001 Faxwww.encore.bz
Daisy Chen, CFA
Senior Managing DirectorEncore Global Investment Management, LLC
[email protected]‐259-‐7000 Office214-‐259-‐7019 Direct214-‐259-‐7001 Faxwww.encore.bz
www.EncoreEB5.comwww.EncoreEB5.com
Achieving excellence in EB-‐5 investment
opportunities with:
• Exceptional strategic thinking
• Expert market knowledge
• Experienced management
• Exemplary proven performance
AN ENCORE SPONSORED
PRESENTATION
The information contained in this document is for informational purposes only and is not an offer to sell or a solicitation of any offer to buy any securities. Securities will only be offered throughconfidential offering materials delivered to suitable, accredited investors and will be offered and sold pursuant to an exemption from registration under the Securities Act only to persons who areaccredited investors within Rule 501(a) promulgated under the Securities Act. These offering materials will contain information regarding risk factors, conflicts of interest, material investmentconsiderations and other important information about such offering and should be read carefully. Neither the Securities and Exchange Commission nor any state securities regulatory authority haspassed on or endorsed the merits of such offering. The information contained in this document is not intended to and does not constitute investment, legal or tax advice. Any investment in securitiesinvolves ahigh degree of risk and is not suitable for all investors. The information contained inthis document isprovided “as is,”withoutwarranty of any kind. Past performance is not indicative of futureresult. No representation is made that any investment will or is likely to achieve profits or losses indicated herein or achieve profits or losses similar to those achieved in the past or that losses will beavoided. Certain information contained in this document may contain forward looking statements, which can be identified by the use of forward looking terminology such as “may,” “will”, “should,”“expect,” “project,” “intend,” “plan” or “ believe” or similar terms. Forward looking statements are based on certain assumptions, are subject to risks and uncertainties and speak only as of the date onwhich they are made.Securities offered through NMS CapitalAdvisors LLC, Member FINRA/SIPC.
