Segments

Marketing segments targeted

Market segmentation is the careful sub-division of the market into smaller target units that may participate in the wider ecosystem

INDIVIDUAL OWNERSHIP

Distressed Families

Millennials who are passing through difficult times, and need some stop gap capital which they have invested in their own house. In this case they could unlock part of the house value using NFT and then when they are in a good situation again, try to buy back their share in the open market by paying a better price.

Multiple House Owners

In this segment, multiple house owners who are getting rental returns of 2% or less annually. In some places like India rental returns are even lower than 2% in many places. Now after some time, when these owners want to liquidate part of their holding and take out the capital locked up in the house itself(appreciated over a period of 10+ years for example) without losing for example the rental income, then would be able to do that using this platform. The houses can then be converted to NFT and these auctioned off on the REIT token platform. Right now it would mean going through the hassle of selling off the house, and if there are tenants the market will value the house at 30% discount sometimes, and host the hassle of paying taxes etc. In one word , inconvenient.

Individual owned houses

Hosting and transactions involving individual owned houses would be pretty easy on the Reitcircles platform. After the KYC and other essential verification of house ownership, the house will be cryptographically encrypted in a unique NFT certificate to the asset. When need arises and the owner wishes to sell partial interest in his property, he will be locking the above NFT into a contract and issue partial NFTs which would be traded against REIT tokens on the marketplace.

Government owned social housing scheme

Individuals may only have partial or temporary interest in government issued social houses. Permitting the hosting and tokenization of such property on the Reitcircles will entail reasonable diligence to ensure the real extent of individual interest in such property, more care must also be given to ensuring compliance to relevant regulatory requirements in respective jurisdictions. For instance, since 2014, most social housing schemes in Canada have been redesigned to serve as mere rental housing, where low-income holders are permitted temporary residency after which the housing unit goes back to the government. There are social housing schemes that permit the tenants to eventually exercise the right to buy the house. In such a situation, it might be safer to allow such houses to be hosted on the Reitcircles platform. It could be safely assumed that hosting social housing apartments will be determined based on the peculiar facts of each instance.

Corporate estate market Corporate real estate (CRE) is property that is used solely for commercial purposes or to offer a workspace, as opposed to residential real estate, which is utilized for living purposes. Commercial real estate is frequently leased to tenants for the purpose of conducting income-generating operations. This vast category of real estate can range from a single storefront to a large shopping mall. Corporate real estate houses may include office space, industrial buildings and retail buildings. Common owners whose corporate property is hosted are granted ownership tokens which make them eligible to get rental returns in REIT tokens on the platform. The tokens may be swapped to their preferred national currency in market places.

CORPORATE OWNERSHIP

COWORKING SPACES

The co-working spaces are owned by large corporate houses and many of these could end up being utilised, and hence becomes a liability for the owners. In order to reduce risk for owners, they could instead rent out the spaces using NFT on this platform.

Again the process is similar to home ownership, but instead of just fractional equity ownership, the NFT could represent rental tokens with time based slots on sale. Thus every unit of rental (say a desk or a 2m2 rental) would be minted as NFT. Every account on this platform will be associated with a vault, wallet and a staking address. And all rental returns associated with this NFT

People have a choice to buy and trade these with others in the marketplace.

And these would gain value with time due to the following reasons:

1. They are scarce

2. Enables collection of rental returns on these assets. An app to enable this would be released which can be used to

VACATION RENTALS

This is a special area where the equity tokens issued on the platform can lead to greater liquidity and ability to raise funds in the open market using targeted and personalised offerings.