Cougar hunts for real property purchase, on-chain
We've been quiet for a few weeks, we're returning with a roar!
GR15 just concluded. That kept us busy with TaterDAO. Our experience in participating was invigorating to get so much support from so many different genres. Very grateful to all of those who contributed. While TaterDAO as a primitive protocol for green use cases is important, we need to demo the dirt to SPV use cases. We need to keep it simple, and make the value proposition obvious. This will enable coordination, capital raises, donations and accountability using the blockchain protocols.
We are still of the mind that real estate data on-chain is very useful to those working on the issue of climate change. However, we do not think that many of those who are climate-focused fully understand how real property and property rights come into play with climate solutions and how important education and tooling will be. Explaining that their solutions are going to be built on real property, fell on deaf ears. We overcomplicated the process for TaterDAO and will keep it simple for CougarDAO. The dirt is our layer zero.
It was a great learning experience. The Gitcoin team was fantastic. TaterDAO will keep delivering tooling that is useful to real estate, agriculture, regenerative use cases, and incentives.
The Way Forward for Cougar!
Besides the few thousands dollars Tater (major overlaps between Tater & Cougar teams) collected in GR15, we got something else: clarity.
Probably the best way forward is to actually get proof-of-concept off the ground.
CougarDAO is a member-managed LLC formed through KaliDAO. We formed the LLC in order to buy real property. Specifically, income generating real property that can be administered via Kali’s interface and utilize TATR NFTs to manage, reward and monetize some value from the real assets
Funds to purchase the property will be received in cryptocurrency (likely USDC). Those funds will be converted to fiat currency. The Cougar DAO LLC will then use those funds to purchase the property “in real life.”
Income generated from the property will then be placed in the Cougar DAO LLC bank account or if on-chain put into the CourgarDAO treasury. The bank account can be used to send the funds to the treasury operated by the CougarDAO in the KaliDAO interface or vice-versa. Income will then be distributed to property owners/investors.
Fundraising, property upgrades, property investment, property management, and income distribution decisions, will all be decided on-chain, by the owners of the property through the governance votes on-chain and transparent.
Here are some things we need to answer:
What type of property do we want to buy?
We’ve talked about unique recreational properties (i.e. Cougar Island). We’ve talked about short-term rental properties (i.e. Airbnb). We’ve also discussed less unique and more income focused properties including self-storage facilities, farms and car washes.
What type of property should we buy?
In which jurisdiction should we buy the property?
Initially, we were looking for property in Wyoming, since that is where the LLC is formed. Also, Wyoming is perhaps a more crypto friendly jurisdiction.
We’ve also considered Colorado since they are a crypto friendly jurisdiction. Also, @tmoindustries can probably assist us as boots on the ground in this jurisdiction.
Idaho and Tennessee have also come up repeatedly as we have boots on the ground in these two states.
In Idaho, @mccallios is on the ground and familiar with complex real estate transactions.
In Tennessee, specifically Memphis, we’ve got a mix of legal and real estate folks on the ground, including @umarov, @WellsMurray, and @abenbaker.
California is out. Not only is @NickJRishwain there, but it is a nightmare for business.
At what price do we want to purchase this property?
We have discussed looking for something that is for sale and probably within the price range of $100k to $1M.
Do you think we should aim for the lower range? Should we aim higher?
The price impacts several items. Not the least of which:
How much are you willing to invest for this proof of concept?
Do we want to add complexity by only investing for a down payment and getting a loan for the remainder?
Sure, we can buy a more expensive property that way. Alas, it becomes more complex.
Should we send out @NickJRishwain and @mccallios to locate a property for sale and deliver it for a vote?
Instead of the nightmare we had with Cougar Island, our goal is to not find a property for “auction,” but one for sale.
When is a good time for a weekly or bi-weekly CougarDAO meeting?
We all have the regular RWA Consortium meeting on Thursdays. Should we choose a separate meeting specifically for the Cougar endeavor?