Building in NYC Listed on OpenSea as an NFT

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Okada & Company, a commercial real estate company,  has listed its first commercial property as an NFT on OpenSea.  The current price is 15,000 ETH, approximately $28 million USD.  This NFT gives the buyer exclusive rights to “acquire the building all its uses rights & related deed covenants,” according to the website.  “Due to the nature of real estate sales, the sale of the NFT does not warrant the completion of the real estate transaction, or reflect the transfer of the deed or title.  The traditional real estate process must still be complete.”

One Eleven
One Eleven | 109-111 West 24th Street, NYC Source: OpenSea

The property that Okada & Company listed on OpenSea is a 46,299 square feet office & retail building located at 109-111 West 24th Street, New York, NY.  It is a 7-story elevator building near the world famous Madison Square Park, The Highline, and the Flatiron District.  The sale ends on June 30, 2022 and it will be minted on the Ethereum blockchain.  

According to Okada & Company, they included the “utility of the NFT and finding another way of receiving payment for commercial real estate,” which benefits from hybrid transactions for both buyers and sellers.  

Some industry observers argued that Okada is using the sale to increase the visibility to potential buyers.  Web 3 investor Benjamin Cohen tweeted, “My guess is it’s a marketing tactic, but imagine a building can trade as nft? Buyers can see the deed, NOI, tenant mix on the blockchain+ trade hands immediately.10 years away? 15?Whenever this happens will be so sick”

“The future of real estate is on-chain. Very excited to see proof of concepts like a commercial building being sold on OpenSea,” founder of Compound Labs, Robert Leshner tweeted.  “This property last traded for $16.25M 7 months ago; now listed for 15,000 ETH ($27M). That would be quite the NFT flip!”

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Building in NYC Listed on OpenSea as an NFT
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Building in NYC Listed on OpenSea as an NFT
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Okada & Company, a commercial real estate company,  has listed its first commercial property as an NFT on OpenSea.  The current price is 15,000 ETH, approximately $28 million USD.
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Luckmon
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