On a quiet downtown block in Hood River, light once again pours through a restored historic atrium. Locals gather for a drink, visitors linger after check-in, and a long-dormant landmark has reclaimed its place at the heart of the community. The Lightwell Hotel is more than a place to stay — it is a place to belong.

At Columbia Gorge Capital, we focus on real estate investments that generate strong, risk-adjusted returns while contributing lasting value to the communities where we build. One of the most effective tools for aligning those goals where allowed is the federal Opportunity Zone program, particularly when paired with a long-term ownership strategy.

Opportunity Zone rules were designed to encourage patient private investment in historically under-capitalized areas. When structured properly, these investments allow investors to defer and, in some cases, reduce capital gains taxes. Most importantly, they allow for the elimination of depreciation recapture and capital gains tax on appreciation from the Opportunity Zone investment itself when held for at least ten years. For long-duration real estate projects, the ability to compound returns without capital gains tax drag on exit can materially enhance after-tax performance relative to otherwise identical non-Opportunity Zone investments.

That tax efficiency reinforces our long-held philosophy of durability over velocity. We design projects to be held, refined, and stewarded over time rather than rushed to exit. Opportunity Zone incentives reward that discipline, allowing more capital to remain invested in the asset and supporting higher-quality construction, resilient capital structures, and patient ownership.

This alignment enabled Columbia Gorge Capital to take a more ambitious, preservation-focused approach with The Lightwell Hotel in downtown Hood River. The project occupies a nationally registered historic building that has long been a defining feature of the city’s historic business district. Restoring and reactivating this structure after over half a century of near abandonment required thoughtful design, higher upfront costs, and a long-term perspective that is often difficult to justify under short-term return models.

By leveraging Opportunity Zone rules, we were able to raise patient, tax-efficient capital and deliver a project we are deeply proud of. The Lightwell Hotel is positioned to deliver strong long-term financial results for our investors while preserving an important piece of Hood River’s architectural and cultural fabric. It is designed not only as a place for visitors, but as a place for the community.

We believe the Lightwell will be regarded by locals as a “third place” — a living room for Hood River — where people gather, connect, and linger. This is the kind of outcome we strive for: investments that align investor success with community pride, historic preservation, and enduring value.