TREIT (noun)
/triːt/(pronounced like "treat")
Tokenized Real Estate Investment Trust: A fund that holds real estate tokens, representing fractional ownership of real estate properties. TREITs are part of a class of cryptocurrencies known as real world assets, where the value of each token is directly connected to the value of the underlying real estate properties.
We break it down further in Token Talk
Real Estate Tokens
Blockchain technology, specifically Asset Backed “Tokens,” are radically disrupting the “old boys club” in the $50 Trillion US Real Estate industry. Tokens are digital stock certificates that represent a share of equity in an asset, company, or real estate property.
Real Estate Funds
ADR is creating a new family of Tokenized Real Estate Investment Trusts (TREITs) that will offer investors a wide range of ETF style investment portfolios across multiple real estate types including commercial, storage, multifamily, industrial, hotels, and special use (data centers etc).
Secondary Market
Being able to buy and sell tokens of real estate properties in an open market, similar to public stocks, gives the fund an unprecedented degree of control and liquidity. Lower entry costs and capital requirements allows the fund to have much higher diversification through a larger number of properties.