In a bid to tokenize more real world assets, technology company BlockSquare has entered into a partnership with real estate subsidiary Vera Capital to tokenize $1 billion assets in real estate. This partnership will expand BlockSquare’s tokenization infrastructure to cover ownership in commercial and multi-family real estate across U.S.A.
The deal was announced on the 18th of April, according to Chainwire. The first asset to be tokenized as part of the deal was a $5.4 million commercial property in Fort Lauderdale. This comes with a 5% annual return and potential upside from redevelopment.
BlockSquare CEO Denis Petrovcic said the deal marks a significant turning point for the tokenization of real estate in the U.S.
“Vera Capital’s $1 billion roadmap signals a major turning point for real estate tokenization in the United States. They’re going beyond just experimenting with blockchain — they’re deploying it at scale to unlock institutional-grade real estate for a global investor base,” said Petrovcic.
Created in 2012, Vera Capital manages over $100 million in real estate. Their business model includes brokerage, development, property management, and investment services. Vera Capital is a subsidiary of Vera Group.
BlockSquare uses its tokenization technology to leverage blockchain infrastructure to connect Web3 investors to real-world assets. To date, BlockSquare has been used to tokenize 150 properties in 28 countries at a total value of $145 million, as reported by Cointelegraph.