The firm represented the client on a commercial real estate partnership to buy a Miami WeWork Building.
Miami, FL – February 26, 2019 – Greenspoon Marder represented Inveniam Capital Partners, an innovative capital markets firm, in the Florida real property acquisition component of a first-of-its-kind multi-offering placement of real financial instruments in tokenized form, to be held in crypto wallets and sold via auction. The groundbreaking $260 million transactions announced today by Inveniam are a first both in traditional and cryptocurrency markets, and will present to crypto and fiat investors offerings of four different partnerships: a commercial real estate partnership that is buying a Miami WeWork building, a student housing partnership that is buying 917 beds in three student housing projects, an infrastructure partnership that will invest in a North Dakota water pipeline project, and a multi-family housing partnership developing projects in southwest Florida.
The Greenspoon Marder team was led by Real Estate Partner Manuel L. Crespo and included Real Estate Associate Frank Whitaker. The team represented Inveniam on the commercial real estate partnership for a WeWork building in Miami, which seeks $65 million for the acquisition of the building. The seller will contribute the asset to a limited partnership, in which Inveniam Capital Partners will serve as general partner and limited partnership interests will be sold via tokens purchased with cryptocurrency. Proceeds from the sale of tokens will be exchanged into US dollars over a period of time and provided to the seller.
“We are excited to have our team at Greenspoon Marder representing Inveniam in the Miami component of this transaction,” comments Mr. Crespo. “It underscores our city’s continuing attraction of investors by providing not only value but a sophisticated transactional space second to none.”
Unlike one-off sales of real estate properties and luxury good purchases currently dominating the cryptocurrency market, this tokenized transaction structuring ensures that the value of the token can be commuted from one party to another while still offering support to the ecosystem. Investors can transact in cryptocurrency or fiat currency, and private placements will be conducted in accordance with SEC Rules 144a and 506c. Each token will represent $50,000, with a minimum round lot purchase of $500,000.