GLOBAL REIT: AMELIORATING THE REAL ESTATE SECTOR WITH BLOCKCHAIN TECHNOLOGY

deodivine (47)in #cryptocurrency • 6 years ago (edited)

INTRODUCTION
Over the years, investment in real estate has flourished as more people develop interest in the sector. In simple terms, landed properties and the natural resources surrounding it are what we generally refer to as Real Estate. Real estate can be residential, commercial or industrial depending on the geographical location, purpose and zone. The Real Estate sector is a major source of income in our contemporary time as it is an essential component of a balanced society. It is therefore not a hyperbole to assert that without real estate, there is no society.

The importance of this sector cannot be overemphasized, it provides income for investors and also provides employment for the masses including many more benefits. However, there are some problems that also exist in this sector, some of which stem from the irregularity of funds gotten from the sector and government regulations. In order to effectively carter for some of the existing problems and to also diversify the applications of the sector, a new platform for real estate investment has been enacted by name GlobalREIT and it has come to make a mind-blowing difference in the Real Estate sector, using blockchain technology.

PREVIEW OF HOW REITS WORK

PROBLEMS EXISTING IN THE REAL ESTATE SECTOR
There are some problems that have endangered the growth of the Real Estate sector over the years. The ordinary order of the sector is bedeviled by some drawbacks which include but is not limited to the following;
Investments in the Real Estate sector are very expensive and as such, it is controlled only by the rich , since very few members of the society are adequately financially endowed with the required financial resources to carry out such form of investments.

Government regulations have also been a major impediment to investments in the sector, especially for foreigners. This has led to a lot of bottlenecks in the blossoming of the sector. To solve the constraints of investing in foreign sectors, an arrangement in form of a corporate body was put forward to solve these problems and that proposed institutional remedy is what is known as Real Estate Investments Trusts (REITs).
This traditional REITs have also not been devoid of its shortcomings. The corporate body just serves as a registered platform in each country where investors are jointly seen to own and invest in different property and make profits from it. However, from its inception, some problems have surfaced.

Payment to investors on the platform is been done on annual basis or sometimes once every half year. This slows down the steady flow of income of users or investors on the platform. This has been a major investment barrier for some individuals as they can't wait that long.

The REITs are also regulated and dependent on geography. Not all countries allow the operation of REIT and this limits the scope of investments that a REIT arrangement can involve itself in.
The governments of some countries also have regulatory structures in place that are very stringent on matters related to the sale or investments of assets within them.

HOW GLOBAL REIT REMEDIES SUCH PROBLEMS

In a bid to remedy some of the problems created by the traditional REIT system, a team of bright like minds came together to actually evolve a new mode of regulating and conducting such transactions and investments so as to maximize profits and make for better returns on the platform, hence Global REIT was created.

Just as the name implies, it is a platform that seeks to make the real estate sector go global. It tries to bring about practical ways through which the problems existing on the platform can be solved. Due to the growing applications of the Blockchain technology in different sectors of the economy of countries all over the world, the team thought it expedient to inculcate the use of blockchain into the real estate sector.

This automatically brings in the use of cryptocurrencies on the platform, and cryptocurrency introduction has also tried to remedy the problems brought forward by the expensive nature of money required to invest on the platform. All interested can invest as low as one Token value on the platform, this eliminates the fear of the cost of investments so as to promote participation of people on the platform.

Payments of dividends to token holders on the platform are to be done on a monthly basis. Having noted that, the lack of a steady return to investors that existed in the old REITs format is solved here. This is also made possible by the use of the platform's unique twin token model. The Global REIT Fund Manager Token(GREM) and the Global REIT Asset Token(GRET). This means that the investor would be entitled to returns coming from the fund management company(GREM) and returns from the assets invested in(GRET) and this is equally topped by the utility derived from this tokens since they are both utility tokens.

The benefits of an investor on the platform extend also to the ability of the investor to also have access to the property invested in at intervals. Investors in assets under management(AUM) would be gifted free stays on a yearly basis as a means of rewarding the investors. Reward points are also given out in loyalty programs which are attached to the AUMs.

Activity on the platform is regulated by three major components which are; The Asset Management Module which is built on top of Ethereum Blockchain, regulates all inflow and outflow of assets invested in on the platform; The Transaction Module which serves as a hub for all the central business ideas used on the platform as well as controlling and executing all transactions and information on the platform; and lastly the Compliance and Security Module which is the backbone of the transparency and efficiency of how the platform is run, providing adequate security for users and all transactions they partake on the platform.

The platform is the first Blockchain-based REIT platform and also the first of its kind in the world. It is based in UAE and has been ratified and declared to be sharia-compliant and as such, it is compliant with all the legal regulations of the conduct of affairs in the country. As a security measure and a medium to also promote transparency and independence on the platform it has employed the services of an independent financial auditor; Deloitte which is one of the big four (4) audit firms in the world. Deloitte is an auditing company that would simultaneously work hand in hand with the Blockchain mechanism to guarantee transparency on the platform. it also employs the services of MME, to be the project's legal adviser.

Global REIT in order to adequately balance all her investments would invest in some very promising aspects of the real estate sector which includes; shopping malls, residential and commercial properties, hospitals etc. In a bid to guarantee this promise, it has already bought a property located in UAE worth about 75 million USD. It is expected to bring in steady returns as time goes by.
From all the above-listed factors, it is very much obvious that Global REIT is the way to go, it is the future of the Real Estate sector. It promotes investments on the platform and eliminates unhealthy competition among investors on the platform.

TOKENS (GREM, GRET) AND TOKEN SALE DETAILS
There are two tokens available for use on the platform. The Global REIT Fund Manager Token(GREM) and the Global REIT Asset Token(GRET) and they are both Utility tokens. The project is supported by Ethereum ERC20 Platform. The symbol of both tokens are GRET and GREM respectively. The crowd sale or Public ICO is ongoing now and should end by June 30, 2018. The total token Supply is 75,000,000 for the GRET Tokens. The tokens made available for sale is 16,650,000. The price for 1 GRET Token is $1 whereas the price for 1 GREM is $0.07. the minimum investable amount is 0.1 ETH / 0.01 BTC and payments into the platform can be done through ETH, BTC, USD, and USDT. Another important feature of the GRET and GREM tokens is the fact that they are fully tradeable on all platforms for token exchange anywhere in the world. This is an advantage of Global REIT over the traditional REIT system. This is so since it makes for a rapid, cheaper, simpler, efficient and secure trading availability than that of traditional REITs. Token sale details and distribution preview can be seen below:

TEAM AND ADVISORS
The team and advisors comprise of experienced intellectuals with great profiles, who are devoted to attain the project aim. Preview of team members can be seen on the image below :

CONCLUSION
Global REIT seeks to evolve a new and evidently global real estate network and investment platform which will offer all her investors mouthwatering benefits and awesome deals that beats what is available in the traditional REIT system. It opens the global real estate markets to all investors on the platform. What’s more is that it shifts the need for the acquisition or management of an entire property to the fund management department leaving all investors with the sole purpose of investing and the reward of getting steady rewards on a monthly basis from the platform alongside other awesome benefits that accrue to a user on the platform. Global REIT also has great partners like Amazix, MME, and Deloitte who will assist in ensuring the project vision is achieved.

USEFUL LINKS
Consider checking out the links below to know more about this mind-blowing project.
Website : https://www.globalreit.io/
Whitepaper: https://www.globalreit.io/front/whitepaper/Global-REIT.pdf
Bitcointalk ANN: https://bitcointalk.org/index.php?topic=3293399.0
Telegram: https://t.me/GlobalReit
Reddit: https://www.reddit.com/user/GlobalReit01/
LinkedIn : https://www.linkedin.com/company/globalreit/
Facebook : https://www.facebook.com/GlobalReit-144007413076936/
Twitter : https://twitter.com/globalreit01