The property will undergo a traditional conveyancing transaction to transfer the title from the existing landlord into the SPV. A SPV Director will be appointed to manage the SPV and a property manager from an established firm will manage the property.
Transparency will be achieved via the property management protocol.
After a successful Introducing Real Estate On-chain (IRO), all qualified property managers will be invited to submit a proposal to manage the Real Estate and that proposal will include projections for the next 12 months in terms of expected rental income, operating cost, and property management fee.
- The property manager who submitted the highest projected rental yield will automatically be appointed by the SPV director.
- During the next 12 months, if the property manager underperforms significantly from their projection, they will automatically be replaced with the property manager that submitted the next best proposal.