- Posted at 3:06, January 06, 2014
- By Russ Bleemer
Four real estate startups have gathered $18 million in venture capital money in the past six weeks, according to an article posted last night for Monday's Wall Street Journal.
The amounts are small but they're significant because they all go to real estate technology startups and, the article says, may indicate that this development could be poised to take off in 2014.
The article, which notes that the commercial real-estate industry has been slow taking up web technology compared to other industries, names the four real-estate startups:
- View the Space Inc., which creates online property video tours;
- Honest Buildings Inc., which matches managers' and developers' building needs with appropriate contractors and consultants;
- Floored Inc., which provides 3D depictions of properties; and
- Hightower, which provides mobile leasing information and support.
The article quotes Susan Wachter, a University of Pennsylvania Wharton School real-estate and finance professor, on the importance of the Internet technology funding: "These deals are not large yet, but it's indicative that the center is very likely to be in New York for this intersection of commercial real estate and technology."
The article provides further context on the amounts. It says that the four firms' $18 million of investment over the past six weeks compares with just $11.62 million venture capital invesment in New York real estate technology companies in 2013's first nine months. It points out that Hightower has recently moved to New York, from Seattle, to be closer to investors and customers.
The trend, the WSJ says, is that "New York increasingly shows signs of becoming the epicenter of entrepreneurship in real-estate technology."
The article is available HERE with a subscription.