REAL ESTATE DIGITAL BLOCKS
Integrated Tokenization and Digital Assets Platform
Commercial Real Estate
About Us
RED Blocks is a “Tokenization and Digital Assets Services” platform that offers commercial real estate issuers a low-cost solution to onboard their investors, convert existing or newly issued real estate debt and equity to tokens and make it available on a regulated digital exchanges enabling instant liquidity.
RED Blocks will deploy its flagship product RED X Tokens backed by high quality asset backed CRE tokens governed by our token governance council at the highest ethical standards.
RED Blocks is co-owned by Chesterfield Faring Ltd (CFL). CFL provides deal flow and commercial real estate expertise to the platform and will screen, vet, approve then sponsor each Commercial Real Estate investment in the RED X Tokens. CFL is a direct issuer of CRE debt and equity instruments, provides advice on the entire life cycle of investments and has extensive experience managing CRE assets.
Why RED blocks?
Services
Low-cost white labeled digital portal to onboard existing and new investors on regulated platform
Streamlined platform to Tokenize existing and new issuances that are legally compliant.
Seamless integration with secondary digital trading platforms to enable liquidity of tokenized units of issuances.
Ability to trade the Red X tokens and individual property tokens on regulated digital exchange.
RED X Tokens backed by high quality asset backed CRE tokens. The Flagship tokens will have stakes in individual tokenized properties and are curated by token governance council to ensure high quality of digital assets. The RED X Tokens will provide a predetermined annual dividend, paid quarterly, that can be reinvested in additional Tokens or directed anywhere by the investor.
Current Market Problem
REITs driven by dividends. REITs retain little income for new acquisitions except by asset sales or costly equity raises, Slow asset growth.
Slow wealth factor using low leverage.
Perpetual model and liquidity but not a wealth creator.
Private funds have limited lives. Retail investors have zero access to these CRE assets.
Available to family home offices, billionaires, and institutional investors.
No liquidity, assets are often disposed in a down real estate cycle.
Limited Partnerships/LLCs have limited lives, no control over exits, no liquidity, and limited access for retail investors.
Tenants in common require consensus to dispose of an asset. Loss of control and no liquidity.
Limited types of CRE investments available directly to retail investors.
Like all other alternative investments, crowdfunding investments are typically entirely illiquid for three (3) years to seven (7) years.
High cost of capital often more expensive than institutional sources.
Underwrite the assets conservatively. Borrowers receive less proceeds than from other private sources and at higher costs.
Risk mitigation-Have few experienced asset managers/servicing departments causing substantial potential losses and legal costs for their investors in down cycles.
Use third party sponsors and operators. The crowd funders have little or no control over the assets thus possibly causing additional losses.
Technology
Minimal equity raise costs or disposition costs in order to acquire or sell CRE assets.
Tokens provide liquidity so no real barrier for sponsor to sell assets into Tokens.
Retail investors invest for a moment, a week, a month, or indefinitely.
Retail investors stay in control of their investment, not the issuer or sponsor. Investor decides what to invest, when to buy, and when to sell.
Paid quarterly basis. Can be automated to be reinvested in Tokens compounding the wealth factor of CRE for investors or create a predictable income stream.
Platform
” Ease of Use “
Retail investors are easily on- boarded to the portal and will have access to dashboard with view of CRE ownership.
” Size does not matter “
Retail Investors buy or sell fractionalized portions (any size) of investments available on portal.
” Convertibility “
Convert from Tokens to FIAT or popular crypto currencies.
” Diversification “
Existing CRE “units” can be converted into Tokens to diversify the investor’s portfolio.
” Control “
Investors can convert Tokens into “units” or fractional “units” in any specific investment.
Process
News and Resources
January 4, 2022
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Executive Team MEMBERS
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