NOON Capital, a Southeast Asia-based property developer and manager, has announced its partnership with private real estate investment firm, Asia Capital Real Estate (ACRE).
The two companies have launched the first US$25 million project of a Thailand focussed real estate fund which is targeted to grow up to US$150 million across at least six multi-family development projects.
The first project will kickstart in Phuket followed by further expansion across cities such as Pattaya, Chiang Mai and Bangkok.
NOON Capital is seeing interest around building estate management solutions on the blockchain. The company is piloting blockchain on their existing revenue generating and development phase projects, that are both for rent and for sale.
Due to the dual source of cashflows, these properties are part of a portfolio to be listed on blockchain and can be liquidated in a relatively short time frame.
Receiving positive feedback from investors, NOON Capital has finalised the legal and compliance infrastructure.
The onboarding process is now available, with assets soon to be deployed onto blockchain.
Although the digital certificates offer embedded liquidity, NOON Capital are in talks with upcoming security token exchanges to provide additional avenue for investors to trade on a secondary market.
Once the digital securities are consolidated, NOON Capital plans to apply the same process to the multi-family projects, giving access to smaller investors.
The process has garnered interest from family offices and high-net-worth individuals, creating a new avenue for traditional real estate investors if they are searching for innovative ways to gain exposure.
The power of blockchain allows for digital certificates to be issued that grant transparency, efficiency and secondary market liquidity.
This technology layer added to the final leg of investment provides full legal recourse on assets, similar to a traditional real estate transaction.
At this stage, NOON Capital are driving investments in Thailand but are planning expansions into other Southeast Asian countries.