MIAMI—On the heels of City of Miami Mayor Tomas Pedro Regalado's recent announcement urging housing developers to build more affordable housing options, many developers and investors are increasingly eyeing the use of EB-5s to meet this demand. In fact, most experts would agree that EB-5 use will continue to grow in affordable housing—a category previously left untouched this cycle.

GlobeSt.com caught up with Steven Klein, partner with law firm Gerson Preston, to get his thoughts on this and other questions, including the obstacles and risks involved with such funding, in part one of this exclusive interview. Klein works with both foreign investors and developers and provides counsel to clients investing in the US.

GlobeSt.com: As developers and real estate investors increasingly eye the use of EB-5 funding for new construction in Miami, are there any risks associated with this type of funding?