Patel Real Estate Holdings (PREH) has launched a $100 million tokenization fund on the Chintai blockchain, aiming to provide accredited investors with access to institutional-grade real estate opportunities.
The new Preh Multifamily Fund is a tokenized investment vehicle focused on vintage Class A multifamily units in the top 20 growing US markets, the company told Cointelegraph on May 12.
“The whole structure is digitally native from the start. It follows adaptation, reporting, capital calls, and (potential) secondary market transfers,” a Preh spokesperson said.
The fund is part of a wider $750 million investment vehicle jointly developed by several institutional companies including Preh and Carlyle, Dra Advisors, Walton Street Capital, RPM and KKR. Initially, the company said $25 million of its $100 million allocation will be tokenized in Chintai.
According to Preh, the tokenization structure helps ease many of the transparency and liquidity constraints investors typically face in placement of the personal market.
Founded in 2010, Preh is a national real estate asset manager who oversees a portfolio of Class A multi-family properties. The company owns and operates real estate investments and oversees real estate acquisitions, financing and management.
Since its establishment, Preh has completed over $500 million in real estate transactions.
Chintai is a tokenization-centric layer-1 blockchain that drives the R3 sustainability fund for environmental, social and governance (ESG) investment. According to CoinmarketCap, its native token, Chex, is currently valued at $0.24 and has a total market capitalization of $244 million.
“We chose Chintai because we provide a dedicated, fully regulated, institutional-grade platform to represent real-world assets,” Preh president Tejas Patel told Cointelegraph in a written statement, adding:
“Their technology allows us to maintain the highest standards of compliance and investor protection while introducing the benefits of blockchain efficiency and access.”
Related: RWA tokenization trends and market outlook for 2025: Report
Real estate token
Real estate tokenization has long been seen as a way to modernize real estate investment, but until recently, real-world examples have been rare.
By early 2025, real estate tokenization had gained traction in North America and the United Arab Emirates, but efforts are underway in Europe to establish a regulatory framework to support its growth.
One of the biggest catalysts for tokenization is its “ability to eliminate illiquidity discounts on real estate.”
Growth in the fractional real estate liquid secondary market can significantly enhance its benefits.
The motivation also drove the RWA platform Digishares, launching the Rex Marketplace on Polygon earlier this year, featuring two luxurious real estate lists in Miami, Florida.
Efforts to tokenize commercial real estate are also underway, with Block Square and Bella Capital recently partnering to provide fractional ownership of more than $1 billion in property.
Against this backdrop, consulting firm Deloitte predicts that $4 trillion worth of real estate will be tokenized on blockchain over the next decade.
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