RealT, the tokenized real estate investment platform, has officially completed the sale of the highest valued tokenized property on Ethereum.
We've broken the record for largest property sold on #Ethereum!
16200 Fullerton, a 15-unit 14400 square foot apartment home, completes sale at $615,000!🏢
— RealT (@RealTPlatform) February 25, 2020
The Detroit-based property is a massive 15 unit, 14,400 square feet apartment complex selling for $615,000. In total, the tokenized property is owned by 270 unique individuals with the average owner holding 14 shares out of the total 3,800.
The 16200 Fullerton property is currently paying out $215 in rental income per day to tokenholders, or $0.056 per token. With that, the expected annualized return on the apartment complex currently sits at around 12.76%.
The property owners comprise of a diverse group of individuals, living in a total of 35 different countries across the world.
- France – 25.8%
- Germany – 19%
- Ireland – 10.5%
- Switzerland – 4.9%
- Bulgaria – 3.15%
- Turkey – 1.8%
- Singapore – 0.15%
While US regulations currently bar unaccredited investors from participating in RealT’s investment platform, it is interesting to see that the United States (where the property is located) didn’t make it as a country within the property owners list.
The sale of the Fullerton property follows the recent launch of the Uniswap Liquidity Incentive Program for the 9336 Patton property. Since the launch of the liquidity program, the Patton property has established itself as the most liquid of all RealT properties offered on Unsiwap.
With their announcement of the sale of 16200 Fullerton, RealT is also announcing another Uniswap Liquidity Program for the 10024-28 Appoline property – a $582,200, 12,000 sq-feet multi-family property. The tokens currently offer $17.21 per annum per token, boasting a 11.82% annualized return on the property.
RealT is continuing to see a significant amount of success with its tokenized real estate offerings. As it stands today, the platform has tokenized around $800,000 in real estate on Ethereum. The properties include:
- 9943 Marlowe: $63,750
- 5942 Aududon: $58,300
- 9336 Patton: $62,700
- 16200 Fullerton: $615,000
RealT is clearly on the path to tokenized $1M in real estate on Ethereum – an important milestone for DeFi but still an infinitesimal drop compared to the $220 trillion in global real estate.
As seen with the above liquidity program, RealT is quickly establishing itself as the clear leader for tokenized assets within DeFi.
With prominent Ethereum community member David Hoffman as COO, RealT has become one of the more progressive platforms on the market. The company has been quick to offer liquidity incentives for its property holders along with leveraging Compound for its maintenance reserve.
To highlight this briefly, the Fullerton property currently has 3,500 DAI set aside for any property maintenance. Rather than leaving it idle, the team has elected to deposit that capital (along with their reserves for all other properties) into Compound, allowing it to earn 8.07% APR in passive income.
While these are relatively small numbers in the world of real estate, it sets the precedent for what’s possible for new and emerging web3 companies. At DeFi Rate, we’re extremely excited about the future of tokenized real estate and its potential to democratize ownership.
Analyst at Bankless – one of the leading resources for open finance. Lucas is an active contributor to the DeFi ecosystem with appearances in other notable DeFi outlets including The Defiant and Our Network. He has years of experience working with dozens blockchain and token startups where he focused on token economics, marketing, and growth.