PropTech Update – October 2022 | Allen Matkins
Focus
Construction Dive – September 29
The construction industry is increasingly embracing collaborative digital tools like BIM. While leveraging BIM brings many benefits, it also comes with unique challenges for contractors trying to land civil projects. Federal and state cybersecurity regulations are evolving rapidly, forcing contractors to stay on top of compliance issues, according to panelists at the National Institute of Building Sciences’ Building Innovation conference in Washington, D.C. The Department of Energy and Department of Transportation both updated their data policies this year, and California, Colorado, Connecticut, Utah, and Virginia all have data privacy laws that will go into effect in 2023.
News
Bisnow – October 5
Federal real estate officials believe they have found a technology that “makes the human better,” and they are looking to implement it in large buildings across the government’s portfolio. The General Services Administration (GSA) found it could save millions of dollars in energy costs by implementing smart systems that control energy use in real time at certain sites, according to the results of a study backed by the Department of Energy and shared first with Bisnow.
Real Estate Weekly – October 4
Cybercrime is expected to account for a loss of $10.5 trillion globally by 2025, according to a recent report from research firm, Cybersecurity Ventures. While many commercial building owners believe their properties are covered from these types of risks through general commercial property insurance policies, cyber event inclusions within blanket property insurance policies likely do not provide the necessary breadth of coverage. According to a recent whitepaper co-authored by JLL’s Property Management group, in order for commercial property owners to gain comprehensive cyber protection, they must fully understand the risk of information technology and operational technology threats, why comprehensive cyber insurance is necessary to protect against catastrophic loss, and how to meet minimum compliance and cyber insurance requirements.
CNBC – September 12
Assembly OSM is a modular construction startup that operates more like a car or airplane manufacturer than a traditional builder. As a result, it claims it can cut more carbon emissions than even the greenest builders at work today. Real estate accounts for 40% of global carbon emissions if you include the entire process from construction through operation and the inevitable destruction. Cutting the time it takes to build a building and the number of workers and vehicles needed on site can help reduce those emissions. Unlike other pre-fab builders, which largely do low rises, Assembly is focused on high-rise buildings between 10 and 30 stories high.
Deals
Geekwire – September 19
Retail software provider Swiftly raised $100 million in a Series C funding round, helping the company become the latest Seattle-area startup to reach a $1 billion valuation. The round, led by Hong Kong-based BRV Capital Management, marks Swiftly’s second $100 million financing round in less than six months. Swiftly provides brick-and-mortar grocers with branded phone apps designed to help retailers gather customer data and earn advertising dollars while improving shoppers’ experience in the store.
Commercial Observer – October 10
In a significant boost to the real estate crowdfunding market, private equity investment platform CrowdStreet has closed a $43 million round, with the equity and debt capital raised being used to fund the company’s continued growth in the market. TIAA is making an equity capital investment through its newly launched TIAA Ventures, which seeks investments in promising fintech companies. To date, CrowdStreet has raised more than $3.6 billion for over 670 commercial real estate projects across the U.S. since its founding in 2013.
The Real Deal – September 20
DoorLoop, a Miami-based rental property management software startup, raised $20 million from Alpine Software Group, a Silicon Valley investment firm. DoorLoop, founded in 2019 and rolled out to clients last year, allows landlords and property managers to automate services, including listings, tenant screenings, maintenance requests, and rent collection.
TechCrunch – October 7
Fintor, a fintech startup making it easier for non-accredited investors to invest in real estate properties, has just launched its mobile app for both iOS and Android. It also just raised a $6.2 million extension funding round from its existing investors, including Public.com, Hustle Fund, 500 Global, VU Ventures, Graphene Ventures, and various angel investors. This latest round values Fintor at $80 million, founder and CEO Farshad Yousefi told TechCrunch.
