In a previous episode, we said that rural EB-5 projects trade safety for speed; and that did not go down well with everyone. In this episode, We put the hard questions to Dr. Vish, a developer with over 43 years of experience who is actively building in rural America, with projects spanning from Chicago to Hawaii.
Yes, it’s true that rural projects are moving with processing times spanning six to eight months whilst urban TEA projects sit in queues stretching to eighteen months. But does faster necessarily mean riskier? Dr. Vish makes the compelling case that the urban / rural framing is the wrong lens entirely. The questions and factors that genuinely matter, he argues, surround capital stack depth, developer track record and market strength.
Whether it’s financing myths or developer misconceptions, this episode covers the most persistent assumptions in EB-5 due diligence. Merely stamping a project as “rural” or “urban” tells you little about whether your capital is properly protected. The simple fact we keep returning to is that processing speed is just one input you should consider when choosing a project, not a substitute for the full picture.
For investors, advisors, and anybody exploring EB-5 projects requiring sharper due diligence methods: This episode is one to bookmark.
“So I think instead of branding it as urban versus rural, we have to look at other aspects such as what’s the capital stack and how soon do the investors get their money back? What is the pro forma operating statements? What do they show? There are so many other variables.” – Dr. Vish
DR. GANESAN VISVABHARATHY
Dr. Ganesan Visvabharathy (“Dr. Vish”) is the founder and CEO of Hawthorne World, a commercial real estate developer. An Electrical Engineer, with an MBA from IIM Ahmadabad, India, and a Ph. D. from the University of Illinois, Champaign, Illinois. His vision of providing affordable housing for the masses has led him to do several projects in areas not previously known for the same.
In several of Chicago’s gleaming suburbs and neighborhoods, his firm was able to offer housing at a price well below the competition, thus providing an opportunity for thousands to own their homes, an unthinkable task previously for many of them.
Such housing has been made possible by the relentless efforts of Dr. Vish, and his team, with a razor-like focus on technology, costs, affordability, and elegant design.
Over the years, Dr. Vish has proven that ‘green’, and ‘affordability’ are not antonyms, but indeed can be synonymous.