Immigration Status and the Impact on Property Transactions June 19, 2018 Brent Huddleston Huddleston Law Group, PLLC

Over $365 billion in foreign CRE investment since 2010 FORBES STORY: Why Foreign Investors Love U.S. Commercial Real Estate, and Why More Will Follow (5/30/18) Over $365 billion in foreign CRE investment since 2010 Investors seek stability, options, liquidity Most active countries: China, Mexico, Canada, UK https://www.forbes.com/sites/forbesrealestatecouncil/2018/05/30/why-foreign-investors-love-u-s-commercial-real-estate-and-why-more-will-follow/#e4b5e4635090

Background - Key Players U.S. Department of Homeland Security - Contains USCIS, ICE, CBP U.S. Department of State - Controls U.S. Consulates 3

Categories of Immigration Status U.S. Citizenship Legal Permanent Residency Green Card Nonimmigrant Visa

Non-Immigrant Visa Categories Each has specific eligibility criteria Temporary v. Dual intent Some allow for spouse employment Different processing times Different validity periods All allow for purchase of real estate

Selected Visa Categories B-1: Business visitors B-2: Tourists F-1: Students H-1B: Specialty Occupation Workers L-1: Intracompany Transferees E-2: Treaty Investors O-1: Extraordinary Ability Country Specific Visas: (TN, H-1B1, E-3)

Immigrant Visa Options Spouse/immediate relative  family-based green card Extraordinary ability/managers & executives  EB-1 Advanced degree  EB-2 Bachelor’s degree  EB-3 $500k  EB-5

EB-5 Category for Immigrant Investors Investor must invest $500k or $1 million in a new commercial enterprise Investment amount is $500k if investment is in a TEA Investment must create full-time employment for at least 10 U.S. workers Regional center v. direct investment Program set to expire Sept. 30, 2018

EB-5 Regional Center Investment Regional Center is an entity designated by the USCIS that focuses on a geographic area Investment into a RC may be passive Most RCs are in TEAs for lower investment amount of $500,000 Job creation may be indirect

EB-5: Advantages Can avoid backlogs in other EB categories Only viable investor option for countries without E-2 temporary visa (China, India, Brazil) Minimum investment amount has remained consistent since 1990

DACA DACA: Deferred Action for Childhood Arrivals Provides employment authorization for certain eligible applicants Program was set to end March 5, 2018 Currently in litigation/applications still being accepted

Temporary Protected Status TPS granted for countries with environmental disasters or armed conflicts 10 countries currently have TPS status Current administration has announced end dates for 6 countries 98% of TPS grantees to be affected – roughly 317,000 immigrants

Driver’s License/SSN Only foreign nationals authorized to work can get SSNs Lawful presence required for Texas DL; not for SSN

Title Issues Must have proper identification (DL or Passport) Mexican matricular consular generally not accepted If out of the country, can use U.S. Consulate for notary Contact title company in advance

Takeaways Tune in for buzz words Ask if clients have considered immigration issues Consider title issues Keep timing in mind E.g. – TN = 1 week; H-1B can take > 1 year

Brent Huddleston brent@huddlawgroup.com www.huddlawgroup.com Questions? Brent Huddleston brent@huddlawgroup.com www.huddlawgroup.com