Baker McKenzie advised BrickMark AG (“BrickMark”) in the purchase of a prime commercial building in the heart of Zurich's central business district. BrickMark, an innovative real estate investment company, just announced that it has signed a purchase agreement about the largest ever real estate purchase using tokens, buying a high profile prime commercial property on Zurich’s prestigious Bahnhofstrasse. The transaction volume amounts to over CHF 130 million. Initially, BrickMark acquires 80% of the shares of Bahnhofstrasse Immobilien AG with a call option on the remaining 20% exercisable within 9 months. The seller of the property is the international real estate investor RFR Holding GmbH. A significant part of the purchase price will be paid in BrickMark tokens.
The purchase agreement signed by the two parties opens up new dimensions in terms of the size and institutional character of token-financed real estate transactions. “We are breaking new ground for the real estate industry,” said Stephan Rind, CEO of BrickMark. “There has never been a token-based real estate transaction of this magnitude. We are implementing what was once no more than a concept in the real estate industry. This is why it was so important to us that the real estate and transaction partners were of the highest quality and reputation.”
BrickMark, “The Blockchain Real Estate Company”, is an international real estate investor and real estate asset manager, and a pioneer in the tokenization of real estate. The company is using a new form of digital security, the BrickMark token, as an integral part of the capital-raising process. It thus combines the asset value and profitability benefits of real estate as an asset class with the technological possibilities of smart contracts in the blockchain.
The Baker McKenzie team was led by Martin Furrer (Real Estate, M&A) and further comprised Yves Mauchle (Capital Markets, Crypto-Finance), Ramon Tissafi (Real Estate, M&A), Andrea Bolliger (Tax), Ariane Ernst (Tax), as well as other real estate, M&A, capital markets and crypto finance specialists of our Zurich office.