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Tokenizing Luxury Real Estate: Ricardo Johnson's Global Investment Strategy

With Ricardo Johnson

Episode 56033 min

Episode guide

Written by The Real Estate Investing Club from the recording’s transcript and show notes (). It summarizes what Ricardo Johnson said on the show; it is not a transcript.

Ricardo Johnson describes starting as an inventory clerk in the UK, building a short-term rental management business in Birmingham and turning to overseas deals after COVID. He explains to Gabe Petersen how Oasis puts resort units into a special purpose vehicle and issues one token per share, with a register of owners updated as tokens trade. He also covers how the company chooses pre-construction projects, developers and tourist markets.

Questions this episode answers

  • How does tokenized real estate ownership work?
  • Are real estate tokens legally tied to shares in the property?
  • Can a sponsor raise money with tokens before finding a property?
  • What should you check before buying pre-construction resort property abroad?
  • Why do some investors look overseas instead of the UK market?

What Ricardo shared

  • Ricardo says Oasis buys resort units through a special purpose vehicle, mints one token per share, and keeps a register of owners that updates whenever tokens change hands.
  • He says his first tokenized deals only gave investors a right to revenue, while Oasis tokens are now registered securities backed by owned property.
  • Ricardo says investors must pass KYC and anti-money-laundering checks and be accredited, and if a raise falls short the money is refunded.
  • He says buying pre-construction can lock in prices 20% to 30% below market value at completion, but raises the need to check a developer's history of late deliveries.
  • Ricardo's criteria include growing tourism, nightly rates, occupancy, other capital flowing into the area and distance to the beach and airport.
  • He says the UK has become hard for small landlords because of interest rates and tenant-friendly rules, which pushed him toward overseas markets.

Chapters (audio; approximate times)

  1. Introduction
  2. From inventory clerk to short-term rental manager
  3. COVID and the move toward crypto
  4. Why he looked overseas
  5. A failed app and the first tokenized deals
  6. Revenue tokens versus tokenized shares
  7. The legal structure: SPVs and tokens
  8. Raising before a property is found
  9. How Oasis picks resort properties
  10. Quick questions and lessons learned

Show notes

Global real estate innovation

In this fascinating episode of The Real Estate Investing Club, I sit down with Ricardo Johnson, founder of Oasis, who's revolutionizing how investors access luxury resort properties through blockchain technology. Broadcasting from sunny Seattle to Ricardo in Barcelona, we explore how tokenization is democratizing high-end real estate investment opportunities worldwide.

From humble beginnings to tech innovation

Ricardo shares his inspiring journey from starting as a simple inventory clerk in the UK to building a substantial short-term rental portfolio. When COVID-19 hit the hospitality industry hard, Ricardo pivoted toward international investments where he saw tremendous growth potential in markets like Dubai, which has experienced a staggering 70% capital appreciation over just 3-4 years!

Revolutionizing real estate investment

What makes Ricardo's approach truly groundbreaking is how Oasis uses blockchain technology to fractionalize ownership of luxury properties. Rather than requiring $150,000-$200,000 to invest in premium resort real estate, investors can participate with as little as $5,000-$10,000 through tokenization. Ricardo explains the sophisticated legal framework they've developed, including:

"We set up an SPV (Special Purpose Vehicle) which holds the assets. The investors directly own shares represented by tokens, with each token equaling one share," Ricardo explains. This creates a transparent, liquid investment where ownership rights are automatically updated on the blockchain whenever tokens change hands.

Global investment criteria

For those wondering how Oasis selects properties, Ricardo details their comprehensive approach to international markets. They target pre-construction developments in high-tourism areas like Tulum (Mexico), Costa Rica, and the Dominican Republic, securing properties 20-30% below market value by purchasing during development phases.

"We look for growing tourism rates, established developers with proven track records, and regions with substantial capital deployment," Ricardo shares. Their focus on emerging luxury destinations allows investors to capture significant upside while enjoying rental income from these resort properties.

Market insights and personal development

Ricardo's book recommendations provide valuable perspective for aspiring international investors. He cites Donald Trump's "The Art of the Deal" for negotiation tactics and "Psycho-Cybernetics" for developing the self-image needed to succeed in global real estate. His advice to be patient reflects the long-term mindset necessary in this industry.

Connect with Ricardo on LinkedIn or Instagram @ricardjohnson, or visit oasisglobal.io to learn more about tokenized real estate investment opportunities!

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