BROKERAGE,REAL ESTATE INVESTMENT
Real | December 12, 2022
The Real Brokerage Inc. (“Real” or the “Company”) (TSX: REAX) (NASDAQ: REAX), the fastest growing publicly traded real estate brokerage, today announced it has successfully completed its acquisition of LemonBrew Lending Corp. (“LemonBrew Lending”), a tech-enabled home loan platform.
The acquisition broadens Real’s product portfolio to include mortgage brokerage services and is a critical step in the Company’s mission to offer a seamless end-to-end home buying experience that removes pain points for both agents and their customers. Licensed as a mortgage brokerage in 20 states throughout the U.S., LemonBrew Lending provides the foundation for Real to offer consumers the ability to finance their home purchase with Real, removing the need to work with multiple service providers.
“LemonBrew Lending’s current mortgage capabilities and future lending potential, brings us one step closer to our strategy of providing consumers a frictionless home buying experience,”
- Tamir Poleg, Chairman and Chief Executive Officer of The Real Brokerage
The LemonBrew Lending team is excited to take the mortgage lending platform we have developed to the next level, and couldn't be happier that we get to do this in partnership with Real's best-in-class technology, said Samir Dedhia, Chief Executive Officer of LemonBrew Lending.
With Real’s earlier acquisition of Expetitle, a digital title and settlement company, now operating as Real Title, Real now has added mortgage and title capabilities to its growing brokerage platform in 2022.
Summary of the Acquisition
Pursuant to the terms of a share purchase agreement dated September 23, 2022 between the Company, LemonBrew Lending and LemonBrew Technologies Corp. (the “Seller”), the Company acquired 100% of the issued and outstanding equity interests of LemonBrew Lending from the Seller for an aggregate purchase price of $1,250,000 (the “Acquisition”). The purchase price was satisfied by (i) cash in the amount of $800,000 and (ii) the issuance of 351,837 common shares (the Consideration Shares) at a deemed issued price of $1.279 per share. The issued price of the Consideration Shares is equal to the product of $450,000 divided by the 5-day volume weighted average trading price of Real’s common shares on the NASDAQ immediately prior to the closing of the Acquisition.
The Consideration Shares are subject to a six-month hold in accordance with applicable securities laws and have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) and are “restricted securities” within the meaning of Rule 144 of the U.S. Securities Act subject to restrictions to the effect that the Consideration Shares may not be reoffered or resold in the United States absent registration or an applicable exemption from the registration requirements.
In connection with the closing of the Acquisition, the Company entered into certain agreements with management and key employees of Lemonbrew Lending (the “Key Employee Agreements”). The Key Employment Agreements provide for certain performance-based milestone payments of $2,500,000 payable over 36 months following closing of the Acquisition, of which $2,000,000 with be payable in cash and $500,000 will be payable in restricted share units of the Company.
The Real Brokerage Inc. (TSX: REAX) (NASDAQ: REAX) is revolutionizing the residential real estate industry by pairing best-in-class technology with the trusted guidance of the agent-led experience. Real delivers a cloud-based platform to improve efficiencies and empower agents to provide a seamless end-to-end experience for home buyers and sellers. The company was founded in 2014 and serves 44 states, D.C., and three Canadian provinces with over 7,000 agents.
REAL ESTATE TECHNOLOGY,REAL ESTATE INVESTMENT
Tishman Speyer and Mitsui Fudosan America | November 09, 2022
Tishman Speyer and Mitsui Fudosan America (MFA) today announced the formation of a new programmatic joint venture dedicated to the acquisition, development, redevelopment and operation of industrial properties in leading U.S. cities.
The newly-created Tishman Speyer-Mitsui Fudosan America Logistics Venture will be seeded by an initial $500 million commitment from an affiliate of MFA along with co-investment capital from Tishman Speyer. The funds will be used to pursue ground-up development projects and the major repositioning or redevelopment of existing value-add industrial acquisitions. The joint venture will prioritize ESG investments that adhere to the standards and specifications set forth by market leading environmental certifications such as LEED and GRESB.
The partnership will focus primarily on major urban centers with dynamic workforces, growing populations and high barriers to entry such as Los Angeles, the New York Metro region, the Puget Sound region, San Francisco Bay Area, Austin, San Diego, Washington D.C., Boston and Chicago. Tishman Speyer will execute its industrial strategy through its long-established in-house teams within its target markets.
Tishman Speyer will invest in a wide range of industrial assets that facilitate the movement and delivery of goods and services in those high barrier locations, including distribution, warehousing, research and development, small bay, transload and outdoor storage.
"The evolving needs of today's consumer have generated strong demand for well-located, functional industrial properties. This is especially true in the most supply-constrained urban centers. Through this new joint venture, we intend to create and operate facilities that bring companies closer to their customers, We are also excited to grow and diversify our strategic partnership with Mitsui Fudosan America - already a co-investor in a number of Tishman Speyer's life sciences, residential and office developments."
-Tishman Speyer CEO Rob Speyer
Said Sean McSweeney, Senior Vice President, Acquisitions, at Mitsui Fudosan America, This is an exciting area for the growth and expansion of our portfolio. Our partnership with Tishman Speyer has already proven its success in finding opportunity and delivering value to a wide range of urban communities throughout the U.S. This initiative extends from the decade long commitment by Mitsui Fudosan Co., Ltd., to acquiring, developing and managing industrial facilities. In Asia, under the Mitsui Fudosan Logistics Park flagship brand, there are 53 projects being developed and managed.
Tishman Speyer launched its industrial platform in December 2021 with the acquisition of two distribution centers in Pittsburgh and Colorado Springs. In 2022, the firm tapped industry veteran Andy Burke to serve as Managing Director and Head of Industrial. Burke previously held leadership roles at AMB Property Corporation (now Prologis) and most recently at Terreno Realty Corporation, where he was part of the management team that established its platform and took the company public in 2010.
Mitsui Fudosan America's commitment to this new joint venture will accelerate our industrial platform's expansion from core and core-plus assets to include value-add, development and redevelopment opportunities, said Tishman Speyer Senior Managing Director Paul Galiano, who serves as Co-Head of U.S. Acquisitions and Global Capital Markets.
Added Burke, The servicing requirements that come with an ever-expanding omnichannel experience are constantly creating dynamic demands on the supply chain. By positioning our investments in high density locations in the path of consumption, we will unlock significant value for our customers and our investment partners.
About Tishman Speyer
Tishman Speyer is a leading owner, developer, operator and investment manager of first-class real estate in 32 key markets across the United States, Europe, Asia and Latin America. We develop, build and manage premier office, residential and retail spaces for industry-leading tenants, as well as state-of-the-art life science centers through our Breakthrough Properties venture. With global vision, on-the-ground expertise and a personalized approach, we are unparalleled in our ability to foster innovation, quickly adapt to global and local trends and proactively anticipate our customers' evolving needs. By focusing on health and wellness, enlightened placemaking and customer-focused initiatives such as our tenant amenities platform, ZO., and our flexible space and co-working brand, Studio, we tend not just to our physical buildings, but to the people who inhabit them on a daily basis. Since our inception in 1978, Tishman Speyer has acquired, developed, and operated 512 properties, totaling 217 million square feet, with a combined value of over $126 billion (U.S.). Our current portfolio includes such iconic assets as Rockefeller Center in New York City, The Springs in Shanghai, TaunusTurm in Frankfurt and the Mission Rock neighborhood currently being realized in San Francisco.
About Mitsui Fudosan America
Mitsui Fudosan America, Inc. (MFA) is the U.S. subsidiary of Japan's largest real estate company, Mitsui Fudosan Co., Ltd., a publicly-traded company with approximately $65 billion of assets. MFA is responsible for Mitsui Fudosan's real estate investment and development activities in North America, and is headquartered in New York, with branch offices in Washington D.C., San Francisco, Los Angeles and Honolulu. MFA has been active in the United States since the 1970s, and currently owns assets in the New York, Washington D.C., Boston, Dallas, Atlanta, Denver, Seattle, San Francisco, Los Angeles, San Diego and Honolulu metropolitan areas. MFA's U.S. portfolio includes 8.6 million square feet of office space, 2.7 million square feet of office space under development, 2,000 residential apartments, 5,300 additional rental units under development, as well as 741 hotel rooms. Additionally, MFA has recently developed several condominium projects in the New York and Washington D.C. markets.
REAL ESTATE TECHNOLOGY,REAL ESTATE INVESTMENT
JLL | November 22, 2022
JLL Technologies (JLLT), the technology division of JLL, today announced the launch of the Strategic Technology Program, which provides assessment, strategic planning, goal setting and performance measurement services for real estate technologies.
The launch of the program is in response to increasing demand for technology solutions to help commercial real estate (CRE) managers adhere to sustainable business objectives. These services are particularly relevant now as businesses implement long-term hybrid work models and ambitious sustainability targets stemming from the pandemic.
According to JLL research, 44% of large and mid-size organizations rely on external partners and service firms to accelerate their real estate technology implementation. Among JLL's enterprise clients, demand for technology management services has increased by over 50% year-over-year. As demand has increased, JLL has invested in its technology services.
The Strategic Technology Program helps real estate leaders better manage and operate their real estate technology for optimal outcomes. Real estate leaders can use the program's technology assessment, management and measurement offerings to align their technology portfolio to their building systems and data, sustainability, and facility management objectives.
The offering helps companies in the following areas:
Building – Tools that tune buildings and workspaces to drive for optimal performance, inform sustainability objectives, and enable real estate services teams to interact with building and enterprise systems.
Workplace – Enterprise technology solutions that help maximize employee efficiency and enhance their workday experience.
Sustainability – Platforms that measure and improve energy use, water use and waste to help companies reach their net zero carbon goals.
Data & Analytics – Governance, integration, reporting and modeling that leverage data and analytics platforms to achieve financial, operational and experiential breakthroughs that power insight-driven real estate decision.
"More and more, organizations are coming to us to help them demystify the ever-expanding and increasingly complex real estate technology landscape, and ultimately use that technology to help them navigate the changing world of the workplace, Hybrid work requires technology to be successful. This offering is a great example of how we combine expertise across technology and technology services to enable our customers to select, deploy and adopt technology and accelerate their return on investment."
-Sharad Rastogi, president, JLLT
JLLT houses decades of talent from all corners of CRE – developers, technologists, brokers and more. Together with other business lines in JLL, it delivers a comprehensive portfolio of purpose-built software platforms, apps, hardware and technology services. It also offers innovations from venture-backed companies. JLLT's objective is to meet and exceed the industry's demands for transactional, operational, experiential and data-driven excellence.
JLLT is our strategic real estate technology partner, They are an extension of our internal team and a trusted delivery and thought partner. They help us drive innovation, transformation, and adoption through an actionable and measurable technology roadmap and tightly aligned business outcomes, both of which are supported by efficiently utilized people resources and technology resources,said Kathy Jones, Associate Vice President for Facilities Engineering and Planning, Rice University.
JLLT is recognized as a leading Workplace Systems Integrator by Verdantix Research and has helped thousands of clients deploy and manage technology in more than 130 countries globally, representing over 250,000 properties and more than 14 billion square feet of space.
JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. JLL shapes the future of real estate for a better world by using the most advanced technology to create rewarding opportunities, amazing spaces and sustainable real estate solutions for our clients, our people and our communities. JLL is a Fortune 500 company with annual revenue of $19.4 billion, operations in over 80 countries and a global workforce of more than 102,000 as of September 30, 2022. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated.