Fifth Wall, the California-based venture capital firm focused on technology in real estate, has closed a new $503m (£405m) fund today with investment from companies across the globe, including British Land and SEGRO in the UK.
The oversubscribed fund is Fifth Wall’s biggest raise to date, and more the double the firm’s initial fund, which closed in May 2017 at $212m. Fund 11 brought Fifth Wall’s total assets under management to over $1 billion.
Apart from British Land and SEGRO in the UK, investors participating in Fund II include Gecina in France, MERLIN Properties in Spain, Kenedix and Mitsubishi Estate in Japan, Keppel Corporation in Singapore, and many in the United States, including CBRE, Cushman & Wakefield, Lennar and Related Companies.
Brendan Wallace, co-founder and managing partner at Fifth Wall, said: “As the real estate and technology industries increasingly converge, Fifth Wall has become central to that convergence, fostering a level of strategic collaboration that has never before characterised the real estate industry.
“We see powerful network effects in our unique fund model, as it becomes a centralised platform for the world’s largest real estate companies to share insights and access new technologies to enhance their businesses. For our entrepreneurs, Fifth Wall efficiently opens distribution channels for their products to more than 50 corporate strategic investors globally, and we have dedicated a team to support the success of those partnerships and integrations.”
James Power, director of digital and technology at SEGRO, said: “There’s no doubt that technology will have a huge impact on the property sector in the years to come, from the way we interact with our customers to how we invest in, build, and manage our assets.
“The success of Fifth Wall shows the industry’s determination to ensure we’re fit for the future, and we look forward to working with the next generation of entrepreneurs who are going to transform the built environment, particularly in the industrial space.”
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