Opportunity Zones Explained for Real Estate Investors

By Gregg Tepper

I have been married to my wonderful wife Letha for 29 years. We have 3 children: Max, Alexander and Charlotte. I have been a licensed Realtor in the New Orleans area for 20 years and am the Operator of The Tepper Group with Keller Williams Realty in Mandeville. Our team services the entire New Orleans and Baton Rouge metro areas. Our team of partners has well over 40 years of experience. In 2024 we helped 132 families buy, sell and lease homes, land and commercial investments.

Opportunity zones have been coming up more often in conversations with investors, especially those who have recently sold property, stock, or even a business. The question we keep hearing is often: “Is there a smarter way to handle capital gains?”

In this discussion with Rich Schega of Magnolia Wealth, we break down how qualified opportunity zones work and why they’re gaining attention.

At a high level, opportunity zones are designated areas where investors can reinvest long-term capital gains. If structured properly and held for at least 10 years, future appreciation in an opportunity zone investment may be capital gains tax-free.

That does not mean every opportunity zone investment is automatically a good one. As Rich explains, tax benefits can enhance a strong project, but they cannot fix a weak one. Diversification, underwriting, and long-term planning still matter.

We also discuss how this strategy can complement, or in some cases replace, repeated 1031 exchanges. For investors who have built significant portfolios and are looking to de-risk or reposition, opportunity zones may offer flexibility along with potential income and appreciation.

If you’ve recently realized capital gains or are planning a sale, it may be worth exploring how opportunity zones fit into your overall financial plan. If you want to learn more, feel free to watch the full interview above.

And if you have any questions about real estate strategy or want to connect with the right professionals, call 985-218-5445 or email TGroup@kw.com. I’m here to help.