At RedSwan CRE, we often get asked by our customers what the key differences are between investing in security tokens backed by commercial real estate equity interests versus publicly listed real estate investment trusts (REIT). The main differences boil down to three areas: 1) Targeted Exposure, 2) Control, and 3) Tax Benefits. In many aspects, as you will see, tokenized CRE is a superior option to simply buying shares of publicly traded REITs. Let’s take these differences one at a time.
Targeted Exposure. Publicly traded REITs typically focus on a single commercial property type and have diverse exposure across geographies…
Crypto. DeFi. Security Tokens. Smart Contracts. These are components of the “Cryptoeconomy”, the term used to refer to a new open financial system built upon crypto and underpinnings like blockchain. As I am writing this, the eagerly anticipated IPO of Coinbase, the bell weather company in the crypto ecosystem just began trading on Nasdaq sporting a market capitalization of about $100 billion. For many, this event legitimizes the blockchain, cryptocurrencies and related technologies that were born only 12 years ago when the first Bitcoin was minted.
In Coinbase’s IPO prospectus, the company states, “Our mission is to create an open…
The recent surge in bitcoin is minting millionaires and billionaires daily. Individuals who invested into emerging crypto currencies are reaping the benefits of huge gains. The price of Bitcoin has spiked from around $9,000 a year ago to almost $63,000 today, equivalent to $1.2 trillion market value for all Bitcoin outstanding.
In reality these gains are on paper only and cannot be realized unless the asset is sold and profit is realized. As good as it sounds to take a profit and reward yourself for taking risk, there are two problems that most crypto owners fear. First, once you take…
Each week, I thought it would be helpful to showcase our property that has been tokenized and is currently having equity funding raised to illustrate the top quality CRE we are making more affordable, accessible and liquid to the market. Introducing The Draper Garland, in Garland, Texas.
The Sponsor, GroundFloor, offers Qualified investors the opportunity to invest in the acquisition and the development of a +/- 155-unit multifamily project. They will develop the project on the 3.7 acres of land located within the downtown area of Garland, Texas. The acquisition consists of the fee-simple ownership of the land situated around…
This week, RedSwan CRE is showcasing our property that has been tokenized and is currently having equity funding raised to illustrate the top quality CRE we are making more affordable, accessible and liquid to the market. Introducing The Verge at Summer Park, in Rosenberg, Texas.
Buckhead Investment Partners, Inc. (“Buckhead”), is offering accredited investors a luxurious 291-unit, residential apartment project to be built on a 14.9 acre site in the master planned community of Summer Park, near the Brazos Town Center in the City of Rosenberg, Fort Bend County, Texas. The project is located within a Planned Unit Development (“PUD”)…
My prior Medium pieces focused a lot about what we are doing at RedSwan CRE and the overall commercial real estate crowdfunding opportunity through tokenization. Today, I thought it would be helpful to showcase an actual property that we are tokenizing and raising equity funding for to give you a sense of the high quality CRE we are making more affordable, accessible and liquid to the market. Introducing Hello Albemarle in Brooklyn, NYC!
Hello Albemarle presents loft-like, industrial-chic spaces featuring tons of natural light, polished concrete floors, exposed finishes and private decks. Each unit generously features; private elevators opening directly…
RedSwan CRE’s business objective focuses on liquidity as a key function of our platform benefiting building owners and investors from all corners of the globe. We see an enormous necessity to bring affordability to investors around the world. Quality real estate is too expensive and typically available only for large financial institutions and investment groups. In my 18-year executive career creating and selling Multi-Family investment properties for Colliers International and Cushman & Wakefield, most of my active clients were for deals $15m and above. They were very high net worth investors and big companies who capitalized projects with $5–40m equity…
The back half of 2020 has been a huge period for crypto adoption. Unprecedented central bank money printing to support economies during the coronavirus pandemic and slashing of benchmark interest rates to near zero have caused many to question the long-term value and stability of fiat currency. In response, for the first time, many institutions, financial and otherwise, have looked to cryptocurrencies as a viable long-term store of value and/or payment method. A recent high-profile case is the publicly traded software company Microstrategy (ticker: MSTR) deciding, in the 3rd quarter of this year, to allocate almost all its excess cash…
Last Friday was an exciting day as our company RedSwan CRE formally announced a partnership with Coinbase to accelerate adoption of blockchain digital securities backed by commercial real estate. Please click here for the original press release.
As I mentioned in my inaugural Medium post, we are using blockchain tech to digitize equity limited partnership shares of Class A CRE, making large buildings more tradeable, liquid, and affordable. RedSwan CRE is helping real estate sponsors/owners raise equity capital from accredited investors in the US under Reg D and foreign investors under Reg S. With RedSwan CRE, subject to any initial…
The introduction of new technologies and ways of conducting business often begins with a period of experimentation as well as speculative fever as markets attempt to pick the winner(s). This is followed by a longer period of maturation as a small handful of pioneers end up becoming dominant players and companies in other industries identify ways to adapt the technology to make their own operations more efficient and effective. The best modern example of this is the late-1990s emergence of E-Commerce. Companies like Amazon and eBay were formed in this era and became great success stories.
COVID-19 has escalated digital…
Edward Nwokedi
Founder and CEO of RedSwan.io a commercial real estate marketplace for digital asset investments of equity ownership leveraging the blockchain.
