Patel Real Estate Holdings (PREH) has recently made a significant move in the world of real estate investment by launching a $100 million tokenization fund on the Chintai blockchain. This fund aims to provide accredited investors with access to institutional-grade real estate opportunities through the tokenization of assets.

The newly introduced PREH Multifamily Fund is designed as a tokenized investment vehicle specifically focused on vintage Class A multifamily units in the top 20 US growth markets. A spokesperson from the company explained that the entire structure of the fund is digital-native, ensuring compliance in onboarding, reporting, capital calls, and potential secondary market transfers.

In collaboration with several institutional firms such as Carlyle, DRA Advisors, Walton Street Capital, RPM, and KKR, PREH has co-developed a broader $750 million investment vehicle. Initially, $25 million of the $100 million allocation will be tokenized on the Chintai blockchain.

According to PREH, the tokenization structure of the fund addresses many transparency and liquidity constraints that investors often encounter in private market placements. Founded in 2010, PREH is a national real estate asset manager with a portfolio of Class A multifamily properties. The company specializes in the acquisition, financing, and management of real estate investments and has completed over $500 million in real estate transactions since its establishment.

Chintai, the blockchain platform chosen for this tokenization initiative, is a layer-1 blockchain focused on tokenization that also powers the R3 Sustainability Fund for ESG investing. The platform's native token, CHEX, is currently valued at $0.24 with a total market capitalization of $244 million.

Tejas Patel, the president of PREH, emphasized the company's decision to partner with Chintai due to its fully regulated, institutional-grade platform tailored for tokenizing real-world assets. He highlighted the technology's ability to maintain compliance standards and investor protections while leveraging the efficiencies and access advantages of blockchain.

Real estate tokenization has been gaining momentum as a modern approach to property investment. By early 2025, initiatives in North America, the United Arab Emirates, and Europe have been pushing for regulatory frameworks to support this trend. Tokenization offers the potential to eliminate the illiquidity discount on real estate investments, attracting interest from industry professionals and investors alike.

Looking ahead, Deloitte forecasts that the value of tokenized real estate globally will grow significantly, with expectations of $4 trillion worth of real estate being

Source: https://cointelegraph.com/news/us-real-estate-manager-launches-tokenized-fund-institutional-backing?utm_source=rss_feed&utm_medium=rss&utm_campaign=rss_partner_inbound