Technology and the Impact to a Corporate Real Estate Strategy – Innovators Weigh In

The adoption of cryptocurrencies and the emergence of blockchain platforms have made real estate tokenization a potential capital-raising option. With tokenization, ownership interests in real estate assets can be more immediately bought and sold, but tokenization requires a thorough understanding of the technology, the offering process, and the regulatory issues involved. Investors typically invest in real estate through an LLC or limited partnership that owns an underlying property. With tokenization, LLC or LP interests are in the form of tokens that can be traded or used as collateral in smart contracts. The issuer must determine the number and type of tokens and select an exchange platform for trading. The issuer must also decide whether a security is being offered and registration is required. Offering documents may include operating agreements, subscription agreements, and a private placement memorandum. Offerings must also comply with KYC requirements and have appropriate protection of user data. Tokens should have built-in compliance features such as restrictions on transfers and secondary trading. Issuers will also need to determine how distributable cash will be paid (perhaps using stablecoins or other digital currency). Listen as our authoritative panel discusses these and other matters associated with commercial real estate tokenization.

Comprehensive plans along with zoning and development regulations form the bases for land use decisions. Before there can be thoughtful land use decisions there has to be a plan. The implementation of the plan has a direct bearing on the development regulations and the land use decisions in a community. This information will cover the different levels of comprehensive planning, the topics covered in comprehensive plans and most important their implementation and impact on land use decisions. Gain an appreciation for the importance of comprehensive plans as both guides and directives to land use, the relationships among master plans, zoning and development, and why a successful land use practice needs to begin with an understanding of the relevant comprehensive plan or plans.

In construction loans, the lender advances a small portion (or none) of the loan at closing since the proceeds are intended to fund construction costs as incurred. The conditions for advancing funds are often complicated because there are three participants--the lender, the borrower, and the contractor--and in part, because actual costs may vary from the construction budget. Most construction loan agreements provide for shifting cost savings for one item to another item in the budget. Construction budgets will usually incorporate "contingency" to be applied by the borrower to pay for cost overruns for items in the budget, subject to certain conditions. Documents must provide for retainage for unforeseen costs to ensure the completion of the project. A construction loan is unique for title insurance because disbursements are made post-closing, and property increases in value with each disbursement. Title insurance must be in place to cover the loan amount as it is funded. Counsel to the lender must structure the loan to ensure the priority of advances and procure title insurance (including appropriate endorsements at closing) consistent with that priority. Also, the borrower will typically need to obtain lien waivers or lien subordination as disbursements are made. Listen as our authoritative panel discusses the construction loan funding process and the need for increasing title insurance coverage as funds are disbursed. The panel will discuss budgeting and construction draw provisions in loan agreements, future advance clauses, and other practices for preserving the senior position of the mortgage over mechanic's liens and the title endorsements to obtain at closing.

Realvolve Webinar: Mark Stepp & Kendyl Young discuss the Client Lifecycle - This webinar begins by looking at the client lifecycle of a contact from LEAD - CLIENT - PAST CLIENT and the workflows that Kendyl put in place to handle each milestone. The we have a discussion on some of the particular actions and checklists to handle challenges in the cycle.