Commercial real estate leasing is set to leapfrog into a new democratized era with Real Estate Doc (RED) - the first digital platform built on blockchain technology aimed at reducing costs, increasing transparency, improving security, and eliminating inefficiencies in real estate transactions.
Cloud-based RED delivers productivity and cost benefits to property developers and mall operators through a decentralised token system. Backed by transparent secure protocols, it allows for the speedy approval and real-time recording of transactions.
By shifting leasing operations to the blockchain, users can significantly eliminate paperwork, save time, streamline work processes, enjoy heightened security through data encryption, lower legal and banking charges, and minimize fraud.
Using the RED app, landlords and lessees alike can manage every aspect of their real estate leasing transactions on a single platform. Future developments will see RED expand into a regional commercial real estate exchange, allowing clients to conduct leasing transactions of any commercial real estate space.
RED is the Business to Business (B2B) software engine powering Averspace, the region’s first consumer-to-consumer (C2C) real estate digital marketplace. Averspace has inked deals with DBS to be part of Southeast Asia’s largest bank-led property marketplace. Providing a full-suite of easy-to-use real estate tools, resources and documents, Averspace directly connects home- owners and home seekers, saving them thousands of dollars in intermediary fees.
“RED was birthed from our experience in working with commercial building owners who expressed frustrations in trying to lease their properties. Current processes are manual, tedious, costly, and slow - transactions take weeks or even months to complete. By tapping on the transparency, immutability, and security of the blockchain, we significantly streamline the commercial leasing experience for property owners and tenants alike,” said Ivan Lim, Chief Executive Officer and Founder of Real Estate Doc.
Commercial Real Estate Leasing Woes
Current real estate leasing processes are largely manual and onerous, despite advances in proptech and fintech. Bookings, leases and sales are tracked by spreadsheets, making them prone to human error.
Drawing up contracts, licenses and agreements between lessors and lessees are often costly. Not to mention, property owners need to engage lawyers to draw up these contracts. Furthermore, lessors have to incur bank charges, insurance, and courier fees.
The contracting process between landlords and renters normally lengthy and tedious. Physical paper contracts need to be delivered to both parties for edits, negotiation of terms, and signatures. Moreover, paper documents could be physically tampered and subject to fraud.
Finally, the opaque nature of transactions between lessors and lessees makes it difficult to conduct due diligence processes. Without visibility of the track record and suitability of tenants, property owners and managers may offer spaces to unsuitable candidates. This results in a sub-optimal management of assets.
How RED Ushers In the Future of Real Estate Transactions
Anchored on Proptech 3.0, RED ushers in the future of real estate transactions. Built on a blockchain - a cryptographically secure ledger storing transactions across a network of computers - RED provides tools which bypass the hassles of traditional real estate leasing.
Eliminating the confusion of having multiple copies of a contract, every transaction is transparently recorded on the ledger. With the decentralised blockchain, documents are time- stamped and date-stamped, generating a digital audit trail that is tamper proof and immutable.
Due to the unique properties of a blockchain, any changes in the record needs to be approved and verified by all parties before they are placed on the chain. This ensures greater security and protection from potential fraud by rogue employees.
Users can reduce their legal fees by self-executing smart contracts on the system. Payments may be made using the RED payment gateway (deployed on its tokenised side chain), reducing financial transaction fees. Time is also saved. All parties are instantly notified whenever any action is needed. RED’s Know-Your-Customer (KYC) network further slices the time needed for due diligence by corporate landlords or vendors alike.
Equipped with business analytics functions, RED users can monitor their records of leasing values and transactions against performance benchmarks. This helps them to better plan and schedule their assets to optimize use.
In future, a Space Exchange will be incorporated into the system, dynamically matching tenants, vendors and retailers with the right spaces. Customers can bid for rental spaces and pay for them within the platform using the RED Payment Gateway.
Property Owners and Managers That Have Deployed RED
To date, major real estate companies like Frasers Property Singapore have deployed RED to digitalise their commercial retail leasing transactions.
For Frasers Property Singapore, RED’s system has helped them to digitalize their leasing processes and dramatically reduced their sales turnaround and processing time. This is translated to efficiency gains for the business.
RED Token Generation Event
RED will be launching a token sale event for the Real Estate Doc ERC20 Token (REDT) on 4 October 2018. We invite all interested parties to join us on our telegram chat at https://t.me/realestatedoc for the latest progress and news updates on our token offering.
The breakdown of the token allocation will be as follows:
- 50% for Crowd Sale
- 20% for Company Reserve
- 12.5% for the RED Team
- 12.5% for Advisors & Partners
- 5% for Bounty Campaign
Committed to running a transparent Token Generation Event, we intend to allocate the use of the funds in the following manner:
- 30% for Marketing and Business Development
- 30% for Engineering and Tech Development
- 15% for Technology Partnership and Consultancy
- 15% for Operations, Rent and Other Overheads
- 10% for Legal and Accounting Fees
Used to incentivise actors in the real estate ecosystem, REDT will be one of the mediums of payment for RED software services by its clients (mall operators or property developers). Used to pay for software services on the platform, REDT provides clients (mall operators or property developers) and other actors (eg tenants or vendors) with discounts over the full rate.
Clients who choose to pay using fiat for RED’s services may do so, but they may not enjoy the discounts offered to token owners.
With the RED Payment Gateway, REDT allows users to transact on the platform without worrying about the volatility that plagues cryptocurrencies. Doing so streamlines payments while taking advantage of the blockchain’s ability to send and verify payments almost instantaneously with negligible fees.
For more information, please join the following channels:
Telegram: https://t.me/realestatedoc
Twitter: https://twitter.com/doc_estate
Website: https://realestatedoc.io/
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Medium: https://medium.com/@realestatedocsg
Or contact: Real Estate Doc Pte Ltd DID: (65) 9180 1197 Email: [email protected]