Sees wider participation with significant amounts trusted by customers choosing to invest for Property Tokens instead of Registered Co-Ownership option
Pune – Fractional ownership platform RealX has recently closed its Ayodhya
commercial land parcel sized of 31,646 sqft (3516.22 sqaure yards) at a value of Rs 10.40
crore. This milestone saw participation from 57 investors who invested between INR 50,000
to INR 25 lakhs to acquire proportionate ownership rights in the property. This deal signifies
a step forward in making high-value real estate accessible to a broader audience through
fractional ownership and property tokenization. Fundbezzie assisted RealX as a Strategic
Partner in the deal.
Fractional ownership addresses the high costs of owning expensive assets such as real
estate, yachts, and private jets. Traditional ownership requires significant capital and
maintenance, often unaffordable for many. By sharing these costs among multiple investors,
fractional ownership allows experience of high-value assets without the full financial burden.
This model also promotes diversification and risk mitigation, thereby increasing potential
returns.
On choosing Ayodhya, Manish Kumar, Cofounder and CEO of RealX, says, “Ayodhya is
one of the top appreciating property markets today. With support from central and state
governments, the town is poised for rapid growth. Securing a prime property was challenging
due to the seller’s market, but it was a perfect case for fractional ownership. By bringing this
opportunity to people, we want to make it a participative investment story.”
RealX offers direct property rights to investors, avoiding the classical SPV route followed by
other fractional ownership players. RealX provides two ownership modes: Registered Co-
ownership and property tokens (on blockchain). The former makes the investor a direct co-
owner of the property, while the latter grants direct and legal beneficial rights within the token
through a signed legal note.
Initially many investors hesitated due to concerns about executing a clean transaction in
Uttar Pradesh, especially digitally and in fractional ownership mode. “We accepted the
challenge and completed the transaction within the expected timeline, even subscribing to a
portion ourselves to meet the commitment. Now, post-registration, our contribution is also
available for sale on the platform, boosting overall confidence in the system,” Manish Kumar
added.
Ajay Setia, one of the investors who chose to invest in tokens shared his experience,
“I was looking at investing in Ayodhya however couldn’t due to the high cost. With RealX, I
found the entry barrier for investment to be low i.e. INR 50,000. I got introduced to the
founders of RealX on WhatsApp and I found them credible which prompted me to invest.
The prompt support and handholding thru the process from the founders made it joyful.”
Tokenization of real-world assets is a new concept with immense promise. Post the global
regulatory clampdown on cryptocurrencies, asset tokenization has emerged as a widely
accepted blockchain application. RealX has positioned itself as a leader by delivering
tokenized sales in this Ayodhya property deal.
Neera Inamdar, Cofounder and COO of RealX, said, “It was surprising to see that the
biggest investors opted for digital assets as tokens. They carefully considered both modes
and chose property tokens, which highlights the potential of digital assets.”
The fractional ownership of real estate in India is evolving rapidly, with the market expected
to reach INR 4,500 billion by 2026. Currently, 200 million sq ft of Grade A office space is
available for fractional ownership. According to Deloitte, real estate tokenization was valued
at $2.7 billion in 2022 and is projected to reach $1 trillion by 2030. The Boston Consulting
Group estimates the total size of illiquid asset tokenization, including real estate, could reach
$16 trillion by 2030. In India, the real estate market is expected to reach $1 trillion by 2030,
with fractional ownership and tokenization gaining traction.
