Weekly Proptech: Friday, November 4, 2022

Written By CRETI
 
 
 

This Week in Proptech

This Week in Proptech — $150 million was invested across 15 companies at a median funding amount of $4 million. Some of the largest funding rounds went to residential, construction, office, and other proptech companies.

Funding in a Nut Shell: This week ended the proptech industry's 4-week bull run. Venture capital investments declined by 44.7 percent. Seed stage funding represented 37 percent of funding activity, the largest funding segment this week.

CRETI PROPTECH VENTURE INDEX

State of the Market

This week we took a look at October venture capital investments in proptech companies and what it means for the industry.

The proptech industry rode a four-game winning streak all through October. Globally, $950 million was investments in proptech companies, a 5.9 percent month-over-month increase. Some of the largest rounds of funding went to Bilt Rewards, a rewards program that allows renters to earn points on rent and create a path towards homeownership, with a $150 million equity round led by Left Lane Capital, Holidu, a travel search and booking vacation rental platform, with a $102 million equity and debt round led by 83 North, and CrowdStreet, a provider of online commercial real estate investment offerings, with a $43 million equity round led by Cypress Equities, Foulger-Pratt, The Dinerstein Companies, and TIAA.

What Does This Mean For PropTech?

In October, the top 15 largest venture rounds totaled $590 million, representing 62.1 percent of total capital allocation. Series A and Series B rounds represented the lion's share of deal volume within the top 15 largest rounds at 54 percent, collectively.

Despite letter rounds continuing to lose their relevance with wide ranges in funding across the industry, including wide swings in Series B funding from $10 million to $102 million, they continue to have their place for early stages of funding, especially for Seed stage companies, which closed at 30 percent in October.

Notable Rounds of Funding

  • Lodgify raised a $30 million Series B led by Octopus Ventures with investments from aldeA Ventures, Nauta Capital, Nauta Capital and two other investors.

  • Haven raised an $8 million Series A led by Fifth Wall with investments from 1Sharpe Ventures, Fidelity National Financial, BoxGroup, and 4 other investors.

  • Tour24 raised a $5.5 million Series A from LAB Ventures, 29th Street Ventures, and 1 other investor.

 
CRETI https://cretiventures.com
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