Future City: Smart Home Combo
smart home combo
Smart home startup SmartRent has made another big purchase — its second so far this year — buying maintenance software and resident services company SightPlan for $135 million in cash.
SightPlan, based in Orlando, Florida, has been around since 2013 but has struggled to scale. The company has approximately 6,000 properties under management, primarily multi-family properties.
“SightPlan was at a crossroads in its evolution, deciding between raising additional capital or partnering with a complementary provider of real estate business software,” said SightPlan President Joseph Westlake.
SmartRent, which went public via a SPAC merger last summer, expects the deal to add $10 million in revenue in 2022.
“Where their pipeline is today and where they are in portfolio conversion, we feel very good about that,” said Lucas Haldeman, founder and CEO of SmartRent. The real deal.
The acquisition follows SmartRent’s purchase of rival iQuue for an undisclosed price in January. There are no planned layoffs and SightPlan will continue to operate out of Orlando.
Knock, a proptech that helps people buy new homes before selling old ones, laid off nearly half of its staff and scrapped plans to go public, citing a deflated SPAC market.
Chief executive Sean Black said the pandemic and Zillow’s surprising departure from the iBuying business has also dampened the company’s public markets ambitions. Knock launched as a somewhat traditional iBuyer in 2015 before branching out to its Home Swap program.
New York-based Knock executed another round of private funding instead, raising $70m in equity and $150 in debt funding – a big step up from the $400m to $500m dollars it had once hoped to raise in an IPO. Limited funding contributed to layoffs.
“The company is doing well, but … there’s no IPO market right now,” Black said, according to Bloomberg. “It feels like money has become very scarce and very expensive.”
By March 2021, Knock had raised $600 million in debt and equity. It hopes to be profitable by the end of the year, Black told the publication.
“We feel like we’re in the early stages of a big disruption.”
Digital mortgage lender Tomo is growing even as its competition, rattled by rising interest rates, shrinks. The Stamford, Connecticut-based startup raised $40 million in a Series A round and moved to Michigan and Ohio.
Tomo, co-founded in 2020 by former Zillow executives Greg Schwartz and Carey Armstrong, said it more than doubled its valuation to $640 million thanks to the fundraising. Series A follows a two-part $70 million seed round in late 2020.
The startup, which now operates in about a third of the United States, seeks to differentiate itself in a crowded field by focusing solely on mortgage purchases, promising on-time loan closings and cultivating an “e- trade” for his client. , Schwartz said.
“It’s a tough neighborhood, with sharp elbows,” Schwartz said. “At the end of the day, we focus on speed, cost and experience.”
The increase brings its total equity funding to $110 million.
STATISTICS OF THE MONTH
Proptech’s “Investor Confidence” stood at 9.3 out of 10 at the end of 2021, an all-time high.
Tishman Speyer, a years-long investor in real estate tech, has raised $100 million for his first proptech fund.
The Tishman Speyer Proptech Venture Fund will target start-ups with “proven technologies and disruptive business models,” the company said. Demand from Tishman’s own investor base prompted its launch, said Jenny Wong, who runs the company’s proptech platform.
“Real estate isn’t generally considered to be on the cutting edge of innovation,” Wong said. “But we feel like we’re in the early stages of a big disruption. And the industry itself is accelerating its adoption of the technology.
The company has secured major commitments from the National Pension Service of Korea – the third largest public pension fund in the world – and the Investment Management Corporation of Ontario, or IMCO. Tishman plans to raise $150 million in total for the fund.
• PropertyGuru, a Singapore-based online real estate marketplace, debuted on the New York Stock Exchange after shareholders approved its merger with SPAC Bridgetown 2, a blank check company sponsored by billionaires Richard Li and Peter Thiel.
• EarnUp, a fintech that offers payment and data solutions for the mortgage industry, raised $31 million in Series C funding.
• Seeking to expand overseas, Mastt, a construction technology start-up that helps owners manage large capital and infrastructure projects, raised $9.5 million in seed funding.
• Haystacks.AI, a real estate intelligence platform that incorporates alternative insights such as sentiment data, raised an additional $3 million, bringing its total seed funding to $8 million. New investors included RRE Ventures, Assurant Ventures and Preface Ventures.
• Lettey, a mobile home rental marketplace, has launched its app – the first platform of its kind to integrate “social proof” into the search process, according to the company.