Leaseum Partners, the first institutional-grade tokenized real estate fund, has introduced a new model of blockchain-backed real estate investments.
The firm is looking to raise $250 million through private placement, followed by a securitized token offering in September, and will invest the proceeds through a traditional fund focused on core-plus commercial real estate located in the United States.
The tokenization of the fund will make transactions more liquid by reducing the standard five-plus-year lock-up period for investors’ capital. Token holders will benefit from dividend rights, capital gain rights and voting rights. Trading of the tokens at low cost will be open 24 hours a day, 365 days a year on regulated crypto exchanges and peer-to-peer.
Leaseum is led by Steve Sillam, co-founder and CEO. The company has a track record of managing more than $20 billion in assets, including several landmark deals in the United States, such as The Willis Tower in Chicago and the Sony Tower in New York. Michael Chetrit, a principal of the Chetrit Organization, a leading real estate investment company in the United States, will manage the fund.