Safe and Green Development Corp To Roll Out Xene Platform March 27th, 2024

Rhea-AI Summary

Safe and Green Development Corporation (SGD) announces the upcoming launch of the Xene Home platform, aimed at revolutionizing real estate transactions. The platform will offer services to institutions managing REO portfolios and introduce revenue streams through SAAS memberships, agent listing referrals, and secondary services.

Insights

Market Research Analyst

The introduction of Xene Home platform by Safe and Green Development Corporation (SG Devco) represents a strategic move to capitalize on the digital transformation of the real estate sector. The platform's focus on REO Default Portfolios positions it to tap into a niche yet potentially lucrative segment. The decision to cater initially to institutions could provide a steady revenue stream, as these entities often seek efficient ways to manage and liquidate their property assets.

The SAAS membership model introduces a recurring revenue structure, which is favorable for financial stability and forecasting. The pricing strategy for real estate investors and realtors appears competitive, given the industry's standard costs for similar services. However, success will depend on user acquisition and retention. The estimated market size of over 2 million licensed real estate agents in the United States indicates a substantial target audience, but conversion rates will be critical.

Agent listing referrals and secondary service offerings present additional revenue opportunities. The average referral fee per deal of $4,400 suggests a high-value proposition, although this will likely depend on the volume and quality of leads generated by the platform. The integration of ancillary services like home warranty and insurance could enhance the user experience and create cross-selling opportunities, further increasing the platform's value proposition.

Financial Analyst

SG Devco's announcement of the Xene Home platform's imminent launch could have a positive impact on the company's stock as investors often react favorably to innovative growth strategies. The expedited development timeline suggests efficient project management and could be a sign of a well-organized corporate structure, potentially leading to investor confidence.

The focus on a SAAS model for revenue generation is in line with current tech industry norms, where recurring revenues are highly valued for their predictability and potential for scale. The detailed revenue streams provide transparency and allow for more accurate financial modeling and valuation by analysts. However, it is essential to monitor the execution of the platform's launch and user adoption rates closely, as these will be key indicators of the platform's financial viability.

Given the competitive nature of the real estate technology market, SG Devco will need to ensure that Xene Home differentiates itself through superior technology, user experience and service offerings. The reliance on AI technology for handling REO listings could provide an edge, but the company must prove that its technology can deliver the promised efficiency gains.

Real Estate Industry Expert

The launch of Xene Home could be a disruptive force in the real estate industry, particularly in the REO segment. The platform's emphasis on AI technology to streamline the sales process of REO properties could fill a gap in the market, where the traditional handling of such properties can be time-consuming and complex.

The membership model for investors and realtors is an interesting approach that could foster loyalty and consistent usage, provided that the platform delivers value in terms of early access to listings and tools for client service enhancement. The availability of a network of property preservation experts and eviction attorneys as part of the platform's offering could be a significant draw for institutions managing REO portfolios, as these services are integral to the management and disposition of such assets.

While the revenue streams identified are promising, success will hinge on the platform's ability to deliver on its value proposition and stand out in a crowded marketplace. The integration of secondary services is a strategic move that could lead to a more holistic real estate transaction experience, potentially increasing customer lifetime value.

Xene Potential Revenue Streams

MIAMI, Fla, Feb. 22, 2024 (GLOBE NEWSWIRE) -- Safe and Green Development Corporation (NASDAQ: SGD), also known as SG Devco, is pleased to announce the expedited development and imminent launch of the Xene Home platform, following the acquisition of Majestic World Holdings on February 8th, 2024.

Xene Home, set to be fully operational by March 27th, is designed to significantly enhance the buying, selling, and investing experience in real estate. By prioritizing the consumer's needs, Xene Home will empowers users to steer their real estate transactions to their advantage, saving them money and providing an efficient and beneficial process for all parties involved.

The platform will initially offer comprehensive services to institutions managing REO (Real Estate Owned) Default Portfolios. The platform is expected to provide such institutions access to an extensive network of property preservation experts and eviction attorneys. Leveraging the advanced AI technology developed by Xene, the platform is uniquely equipped to handle a high volume of REO listings, facilitating a quick and efficient market presence and sales process for properties.

The main potential revenue stream are the SAAS (Software as a service) memberships that Xene home will offer as detailed below:

For real estate investors, Xene Home introduces an exclusive membership model. Priced at $249 per month, this membership grants early access to listings including bank owned properties before they hit the market.

Realtors can join the platform with a recurring membership of $65 per month, utilizing their existing brokerage license without moving their license to a new company. This membership offers access to valuable tools, traditional real estate leads and exclusive listings, enhancing their capacity to serve clients effectively. There are an estimated 2,000,000 or more licensed real estate agents in the United States.

In addition, the Xene home also is expected to generate revenues through agent listing referrals. Xene will serve as the referring brokerage on all listings and leads distributed in every membership category and is expected to average $4,400 per deal in referral fees.

The third potential revenue stream for the platform is secondary services that form a part of all real estate transactions today. Examples of this include home warranty, home insurance, title and mortgage services. Xene home will look to offer these services as the platform continues to be developed.

SG Devco will continue to provide updates on the progress and features of the Xene Home platform, as we remain committed to innovating and elevating the real estate experience for consumers and professionals alike.

About Safe and Green Development Corporation
Safe and Green Development Corporation is a leading real estate development company. Formed in 2021, it focuses on the development of sites using purpose-built, prefabricated modules built from both wood and steel, sourced from one of Safe & Green Holdings Corp.’s factories operated by Safe & Green Holdings’ SG Echo subsidiary. More information about SG DevCo can be found at www.sgdevco.com.

Safe Harbor Statement
Statements in this press release that are not strictly historical in nature are forward-looking statements. These statements are only predictions based on current information and expectations and include statements regarding potential revenue streams from the Xene platform, imminent launch of the Xene platform on March 27^th, Xene platform being designed to significantly enhance the buying, selling, and investing experience in real estate, the  Xene Home empowering users to steer their real estate transactions to their advantage, saving consumers money and providing an efficient and beneficial process for all parties involved, the platform initially offering comprehensive services to institutions managing REO, the platform being expected to provide access to an extensive network of property preservation experts and eviction attorney, the platform being uniquely equipped to handle a high volume of REO listings, facilitating a quick and efficient market presence and sales process for properties, Xene serving as the referring brokerage on all listings and leads distributed in every membership category and averaging  $4400 per deal in referral fees, and the platform being set to make a substantial impact on the industry, Xene being expected to generate revenues from SAAS memberships, agent listing referrals and secondary services, and Xene looking to offer secondary services , such as home warranty, home insurance, title and mortgage services . Actual events or results may differ materially from those projected in any of such statements due to various factors, including the Company’s ability to roll out the Xene platform as planned, the ability of the XENE Platform to transform the real estate landscape, the ability of the XENE Platform to save consumers money and saving time for all parties involved, the ability of the XENE Platform to facilitate a quicker and more efficient market presence and sales process for properties, the ability of Xene to generate revenues from SAAS memberships, agent listing referrals and secondary services and other factors discussed in the Company’s Form 10 registration statement and its subsequent filings with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. All forward-looking statements are qualified in their entirety by this cautionary statement and Safe and Green Development Corporation undertakes no obligation to revise or update this press release to reflect events or circumstances after the date hereof.

For investor relations and media inquiries, please contact:
Barwicki Investor Relations
Andrew@Barwicki.com
516-662-9461

Attachment

• Xene Potential Revenue Streams

FAQ

What is the name of the platform being launched by Safe and Green Development Corporation?

The platform being launched is called Xene Home.

When is Xene Home expected to be fully operational?

Xene Home is set to be fully operational by March 27th.

What is the price of the exclusive membership model for real estate investors on Xene Home?

The exclusive membership model for real estate investors is priced at $249 per month.

How much is the recurring membership fee for realtors to join Xene Home?

Realtors can join Xene Home with a recurring membership fee of $65 per month.

What is the estimated average referral fee expected for Xene in agent listing referrals?

Xene is expected to average $4,400 per deal in referral fees for agent listing referrals.

What are some examples of secondary services that Xene Home will offer?

Examples of secondary services that Xene Home will offer include home warranty, home insurance, title, and mortgage services.