Realty services group Property Connect Holdings (ASX: PCH) has entered into a minimum five-year licence agreement to use a technology platform powered by marketplace treasury company Clearmatch, in the development and marketing of its own lending products designed to ease property market transactions.
The binding heads of agreement allows Property Connect to use the SocietyOne platform owned by Clearmatch to develop products focused on the emerging project development finance and residential mortgage sectors within the private peer-to-peer lending market.
Property Connect will be licensed to operate a white-labelled version of the Clearmatch platform and will combine this with its own LiveOffer auction platform to enable frictionless property transactions and automatic financing, either prior to bidding or during the purchasing process.
Easing the rental process
LiveOffer was introduced to create an easy, fair and transparent system under which purchasers and tenants are able negotiate the best offer on a property for purchase and rental.
Using LiveOffer, potential tenants can submit their application for a property and let the property owner or manager know details such as how much they are prepared to offer, when they can move in and the rental duration.
Tenants can view the progress of their application, track applications online or update their offers as necessary, while property owners and managers can view applications, review terms and liaise with relevant parties during the tenant approvals process.
Property Connect’s new lending products will target, and generate revenue from, end users including property developers, financiers, investors and owners.
Under the terms of the Clearmatch agreement, Clearmatch will be paid fees for establishing and hosting Property Connect’s products on its SocietyOne platform.
Damac UAE agreement
The Clearmatch heads of agreement compliments a global referral and finders partnership announced last month between Propery Connect Holdings and Dubai-based Damac Properties, one of the largest private developers in the United Arab Emirates.
Under the initial 12-month term (to be renewed annually), Property Connect will use its LiveOffer platform to promote and sell Damac’s portfolio of developments in the UK and Gulf Co-operation Council countries of Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and UAE.
Damac has established relationships with global leading luxury brands including Fendi, Bugatti, Paramount Studios, Trump, Cavalli, Versace and Tiger Woods.
Its properties range from investment-grade studios to luxury apartments and villas within entire communities providing services including shopping malls, schools, medical centres and sporting facilities such golf resort living.
Property Connect chief executive officer Darren Patterson said the opportunity to support Damac’s portfolio has been a major coup for the company.
“Dubai is hosting the World Expo in 2020, and the [current] level of investment in infrastructure and real estate development in the region is unprecedented,” he said.
“This [agreement] presents a unique moment in the property cycle for investors and real estate developers, and we are very fortunate to be the only Australian company to be engaged by Damac [for this purpose].”
At mid-afternoon, shares in Property Connect Holdings were steady at $0.0020.