Turtlepoint NFT
Last updated
Last updated
is a stunning three and a half acre property located in Rekawa, 3 and 1/2 hours drive from Colombo, the capital of Sri Lanka. (see Google Map below). It is surrounded by unspoilt natural beauty and is within the .
Situated on the property is a 4 room villa of contemporary architecture which is in need of renovation.
The owner is interested in tokenizing the future rental earnings of the property using NFT's. He is offering returns to NFT owners based on a conservative rental of USD250 per night for the entire villa and an expected minimum annual occupancy of 100 nights or 27%.
NFT Staking Rewards- expected staking rewards with a minimum IRR of 13.78% and an upside to a maximum of 28.35% based on 125 nights per year subject to actual occupancy.
Price speculation on the NFT’s- Price of the NFT’s will increase based on the return and risk of other comparative income products.
Support a good cause – NFT owners can vote to contribute their staking rewards for marine conservation and specifically, the Rekawa Turtle Conservation Project.
Tier 1 Associate
USD 150 each x 100
USD 15,000
Tier 2 Partner
USD 750 each x 32
USD 24,000
Tier 3 Patron
USD 1,500 each x 14
USD 21,000
Please note that number of tokens issued for each tier may differ according to demand.
A total of USD 60,000 will be collected through NFT minting and primary sale of tokens to be denominated in $HBAR. Each NFT owner is entitled to a pro rata share of the income derived from the future sales of the room inventory over the next 3 years.
As an illustration, an owner of an Associate NFT contributed USD 150 out of a total of USD 60,000. Therefore, the owner is entitled to a 0.25% share.
Solar power
USD 10,000
Rainwater Storage
USD 2,000
House interior renovation
USD 15,000
Swimming pool
USD 20,000
Outdoor Lounge Pavilions
USD 5,000
Contingency
USD 8,000
Total
USD 60,000
The Turtlepoint DAO is to be created using the Hsuite Dapp and its members will be restricted to the Turtlepoint NFT owners. Each NFT can create a proposal and that proposal can be voted on by the other NFT owners.
The projected minimum 100 nights occupancy per year (and a cumulative of 300 nights over 3 years) @ an average of USD 250 per night will generate USD25,000 per year for 3 years. i.e USD75,000. The maximum occupancy attributable to the DAO is capped at 125 nights per year (cumulative of 375 nights over 3 years) or USD 93,750. For clarity, the maximum revenue to be distributed to the NFT owners from the DAO on a pro-rated basis will be USD 93,750 over 3 years.
The property will be advertised for short term rental though hotel aggregator sites like Agoda, Booking.com, Trivago etc as well as having its own website for direct booking offers.
NFT staking rewards are paid daily though auto staking using a snapshot taken every day again using Hsuite’s staking as a service functionality. The rationale for the daily payouts is so that the NFT owners receive their rewards right up to the day they sell their NFT. Conversely new NFT owners will receive their returns from the day they purchase the NFT.
Staking rewards will begin 16 weeks after minting to provide ample time for the renovations to be completed. Auto staking rewards will cease after 36 months from NFT minting, after which the token will be burned. In the event that the IRR to the NFT holders has not reached a threshold of 10% for the 36 month period, the DAO owners can request for an extension of the period in order to compensate for the shortfall.
If all the NFT’s are not purchased during the primary sale, the remaining NFT’s will be retained by the DAO treasury and subsequently offered for sale on the secondary exchange.
Turtlepoint NFT owners will be whitelisted for future NFT sales for this location or other locations (i.e Langkawi, Pulau Perhentian or Bali) with Patrons having the higher priority followed by Partners and then Associates.
Although the revenue will be distributed on prorated basis (i.e in the case of a Patron NFT, the share will be calculated as 2,500/60,000 or 4.16666%), each tier of NFT will be entitled to disproportionately higher number of votes for governance proposals. For example, an owner of an Associate NFT will be entitled to 1 vote, the Partner NFT owner will be entitled to 8 votes and the Patron NFT owner will be entitled to 25 votes.
NFT owners will also receive a free airdrop periodically of ESG NFTs for turtle conservation awareness. Royalties from the secondary sale of the Turtlepoint ESG NFT’s will go directly to turtle conservation project.
