Venture capital firm Fifth Wall has closed its European Real Estate Technology Fund at €140m (£117m).
The fund, which was oversubscribed, has attracted investment from some of the biggest players in real estate, including Aldar Properties, Azora Capital, BNP Paribas Real Estate, Conren Tramway, Damac Group, Gestilar, Inmobiliaria Colonial, Ivanhoé Cambridge, Knight Frank, Merlin Properties, Momeni Group, Neinver, affiliates of Northwood Investors, Pecunia, PGIM Real Estate, Pontos Group, Redevco, SEGRO and Tramway Capital.
The fund aims to accelerate European proptech innovation adoption, replicating the success of Fifth Wall’s previous core North American real estate tech funds. This closing brings Fifth Wall’s capital under management to around $3bn (£2.2bn).
Brendan Wallace, co-founder and managing partner of Fifth Wall (pictured), said: “The success of Fifth Wall’s model is premised on identifying the leading proptech companies and accelerating their growth through Fifth Wall’s global network of more than 90 strategic investors. Having so many of the leading European real estate firms supporting our European fund will enable us to help accelerate the expansion of the proptech ecosystem in Europe and Israel.”
Wallace said the European fund would target investments in high-potential European start-ups and also potentially provide co-investing opportunities alongside the firm’s core North American real estate tech funds.
Investments out of the fund will range from series A to series C rounds, and it has already completed investments in fast-growing start-ups, including Clikalia, a Spanish i-buyer platform, and Gorillas, an on-demand grocery delivery company.
Patrick Brenninkmeijer, business development director at Redevco, an investor in the fund, said: “The value of being invested in Fifth Wall’s European real estate technology fund is the early exposure to transformative proptech solutions and the guidance of the Fifth Wall team in exploring new ways to solidify Redevco’s business model.”
He added: “The great appetite for the fund underlines the importance of technological innovation for the real estate industry, and we look forward to continuing the fruitful partnership with Fifth Wall.”
The European fund is co-led by Roelof Opperman and Miguel Nigorra.
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