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Stake, a DIFC-based fintech company, has partnered with Swiss-headquartered ACE & Company to develop a secondary transfer facility for fractional real estate investments in the UAE.
The joint venture will create liquidity solutions for investors seeking exposure to fractional real estate opportunities in the UAE, the companies said in a joint statement.
The secondary transfer facility allows investors to sell their ownership shares in a property to other investors before the final, full-asset sale.
The secondary transfer facility will initially be for properties listed on the Stake real estate portfolio in the UAE, held through special purpose vehicles (SPVs) in the DIFC.
The initiative seeks to create a more liquid, transparent, and efficient marketplace for investors and strengthen the investment ecosystem around fractional ownership structures in the country.
Stake is regulated by the DFSA, the independent regulator for business conducted from or within DIFC.
The partnership will offer existing investors optionality and transparency, while prospective investors will gain greater confidence in fractional investments. The market will benefit from robust liquidity mechanisms, a scalable source of permanent/long-term capital and a more institutionalised framework for participation.
Founded in the UAE in 2021, Stake has over 2 million users from more than 211 nationalities and has enabled over 450,000 investments across over 600 properties and four private real estate funds. It has paid over 70 million UAE dirhams ($19.06 million) in rental income and has surpassed AED 1.5 billion in real estate transactions to date.
Geneva-based ACE & Company is a global investment group focused on private markets, with more than $2 billion in assets under management.
(Writing by P Deol; Editing by Anoop Menon)
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