Opportunity Zones were designed under the 2017 Federal Tax Cut and Jobs Act to draw funding to low-income areas throughout the U.S., and are intended to support diversified economic growth in regions that may otherwise have limited access to long-term capital. Initially, such funding took shape in the form of real estate. However, the new guidelines allow broader use of investment dollars. Proximity intends to use the funding to grow the global network of its coworking software technology.
Opportunity Zone funding is a tremendous advantage for us, says Josh Freed, Proximity CEO. We're thrilled to move forward with a growth plan that allows us to reach more coworking spaces, new international markets, and continue the expansion of the Proximity Network.
Local municipalities and economic development offices in Colorado are deeply engaged in the implementation of Opportunity Zone funding. In the Grand Junction area, the Grand Junction Economic Partnership (GJEP) is the first stop for guidance and support on this and other tax incentives.
We have seven Opportunity Zones in Grand Junction and have been proactively working with a number of companies to take advantage of these investment opportunities, says Robin Brown, GJEP Executive Director. We're thrilled to see Proximity receive Opportunity Zone funding. It is a sign that the new guidelines are in fact helping to accelerate the growth of our economy by supporting the expansion of more diverse businesses.