Guesty, which just raised $3 million, is building tech to help property managers optimize their listings. Buran VC led the series A round, and was joined by Magma Venture Partners (an early Waze Investor) and AltalR Capital. The startup will be using the money to continue scaling and to being in an exclusive layer of engineering, marketing, finance and customer success VP’s.
Real estate tech is just getting started and these startups in New York (Bowery, Flip, Ravti, OnTarget, Entertive and hOM) and across the country are lowering transaction costs, creating new apps and technologies, and bringing a wave of innovation to word of residential and commercial real estate.
The 29-year-old Ryan Williams is a force, as is his company. Since launching, Cadre has generated nearly $1 billion worth of deals, raising close to 70 million in funding from high-profile investors such as Peter Thiel, Goldman Sachs, and Jack Ma. Cadre is an e-commerce site for investing in real estate. It connects customers, primarily wealthy individuals, referred to as “qualified purchasers” – to property deals across the US.
Convene, a New York City based startup, is Brookfield’s only startup investment and it has doubled down on the best. It has led a $68 million Series C investment in the company alongside Conversion Venture Capital and ArrowMark Partners. Convene’s business – “workplace as a service” – takes some explaining, which might by why CEO Ryan Simonetti frequently employs comparisons to other companies and explains “We are helping landlords run an office building like a full service lifestyle hotel. It’s the Starwood-infication of real estate.”
Investment in real estate service companies has risen steadily over the last few years, but people in the real estate industry – realtors, mortgage brokers, homebuyers, etc. – have been taking advantage of the tech advances for years. Hence two VC’s, Fifth Wall Ventures and Moderene Ventures, with a focus on backing startups in real estate technology industry have launched and closed $212 million and $33 million funds respectively to invest in startups that interact with real estate industry in various ways.
Investors continue to see the value in real estate tech and are investing capital in potential real estate tech startups which are revolutionizing how brokers, agents, lenders and more field professionals manage their business. Here is a rundown on a few VC’s (500 Startups, Thrive Capital, SV Angel, Box Group, DCM Ventures) that have led the way in investment capital for RE tech development over the last twelve months.