The first iteration of the opportunity zone program ran headfirst into a tough real estate cycle, as the pandemic and the spike in interest rates disrupted the market and made it hard for investors to generate profits.
Now, as opportunity zone fund managers prepare for the second iteration, they are working to convince investors that a revamped program and different market timing will lead to stronger results. 
“There are quite a few opportunity zone funds out there that are struggling because they invested at the top of the cycle,” GTIS Partners partner Peter Ciganik said.​