Saudi real estate firm to tokenize Maldives Trump hotel; targets US investors: report

Saudi real estate developer Dar Global seeks to finance much of its new Trump-branded hotel in the Maldives by tokenizing the estate and selling the tokens to U.S. retail investors, Reuters reported.

Dar Global CEO Ziad El Chaar told Reuters that the developer will tokenize up to 70% of its luxury resort project as the primary financing strategy using blockchain technology, aiming for maximum distribution to token holders.

Unlike typical models that tokenize completed real estate, Dar Global and the Trump Organization's initiative said it will tokenize the development phase, giving investors exposure from the project's inception, according to a Tuesday press release. 

"This development will not only redefine luxury in the region but also set a new benchmark for innovation in real estate investment through tokenization," said Eric Trump, executive vice president of the Trump Organization.

The Maldives project is currently valued at around $300 million, and Dar Global intends to retain a 30% to 40% ownership stake, according to a separate report from Bloomberg.

Dar Global is currently in discussions with the U.S. Securities and Exchange Commission regarding the token sales, Reuters said. The Block has reached out to Dar Global and the Trump Organization for further comment.

The planned resort — about 25 minutes by speedboat from Malé — will feature roughly 80 luxury beaches and overwater villas, and is scheduled to open by the end of 2028. 

Dar Global and the Trump Organization together have several projects under development, including an 80-story tower in Dubai, luxury homes and golf properties across various parts of the Middle East.