The following information highlights the conditions of the current B2B Real Estate Technology Industry. It is designed for those who are currently involved with the industry or interested in getting a broader look.

Industry Segmentation

The growth of the Real Estate/Property Technology (“PropTech”) Industry is rapidly accelerating.

According to Forbes, in 2017, venture capitalists invested over $5 billion in real estate technology, more than 150 times the $33 million invested in 2010. The We Company has raised $13.6 billion since 2010. $6.702 billion — a whopping 52% of the total– was raised in 2018 and the first month of 2019 alone. Given that U.S. real estate is a $35 trillion asset class, and represents a multi-faceted market generating over $1 trillion in revenue annually, according to IBISWorld Industry Reports, the strong interest in companies built to serve, invest in, or compete with the occupants is not surprising.

New Co-Working franchises, Integrated Workplace Management Systems, and even Workplace Analytics (that’s right… your boss may be interested in seeing your everyday moves in the workplace in the near future) are being introduced left and right– and the tremendous growth rates of each of these segments within the Real Estate Technology Industry prove to be very successful. But while these specific technologies are interesting and evolving, they only hit the tip of the iceberg, encompassing one component of our real estate life cycle– asset/property utilization. Consider there to be five other components of the B2B real estate life cycle, with hundreds of companies contributing.

We’ve taken a deep dive into the B2B (not B2C) Real Estate Technology Industry–including all software, technological service, and hardware– with hopes of aggregating a cohesive output on real estate technology for those who are currently involved or those who are interested in getting a broader look.

We’ve simplified the B2B Real Estate Technology Industry into six different stages of the Real Estate life cycle. Within each of these stages are even more segmented areas of high-growth real estate technologies that currently exist in the marketplace. Here is a graphic we’ve created with these prominent technological segments in mind:

Resources for Discovering Companies

Unique companies/platforms view the Real Estate Technology differently. With help from publicly available market maps from reputable market research platforms such as CBInsights and Venture Scanner, we are better able to compile the different segments of the Real Estate Technology Industry. Looking at unique market maps has allowed us to come up with agreed upon areas of market segmentation, as well as especially prominent companies that continue to surface in our research.

Source: CBInsights

Source: Venture Scanner

An interesting aspect of analyzing market maps is comparing one company’s segmentation of the industry to another’s. Take a look at the differences between CBInsights’ & Venture Scanner’s interpretations. Similarities include: Listing & Search Services, Indoor/Virtual Viewing Services, & Property Management. But there are segments one market map has that the other doesn’t- we’ve addressed relevant differences in our break-down of the Real Estate Technology Industry in our previous article.

Additionally, look for similar companies in both of the market maps. This is a giveaway for high-performing companies to look out for in the current/future marketplace. Floored (now CBRE Build), 42Floors, and Cadre are all noticeable, interesting similarities between these two market maps.

OUR TIPS/RESOURCES

  • Sign up for Owler, where you can get daily reports of news in the Real Estate Technology Industry and competitively analyze specific companies, such as WeWork
  • Check out CBInsights directly, where you can predict emerging trends in the Real Estate Technology Industry and explore new markets
  • Follow Industry-specific channels on LinkedIn. Not only will you receive relevant news on your feed, but future employers can see your interests to better align their job fillings with your interests…

We recommend following:

  • CREtech: where the commercial real estate industry comes to discover all things tech
  • Specific companies, such as: WeWorkCoStar Group, or VTS
  • Specific hashtags, such as: #RealEstateTechnology, #PropTech, #WomenInRealEstate

OTHER INDUSTRY SPECIFIC RESOURCES

Key Events/Conferences

Real Estate conferences provide a wealth of opportunities to network and get outside the bubble of your local market and see what is going on in the real estate tech world. Even simply browsing through conference catalogs/sponsors provides reasonable insight to prominent companies in the Real Estate Technology Industry!

Here are some key events/conferences in the B2B Real Estate Technology Industry,:

  • CoreNet Global Summit: Offers opportunities for members to network, learn and be recognized for professional achievements, bringing corporate real estate (CRE) professionals together from across all aspects of the profession.
  • PropTech CEO Summit: A gathering of the world’s top founders, investors and leaders to uncover the biggest opportunities in Real Estate Tech – what’s trending, what matters most and what’s next.
  • CREtech Conferences: Where the commercial real estate industry comes to discover all things tech. Their mission is to connect the commercial real estate and tech sectors, bringing a new age of innovation and growth to the industry.
  • BuiltWorlds: Caters to the building, construction, industrial, developer, and designing industry professionals.

 

Key People

Real Estate Tech News released an article of the Top 20 Real Estate Tech Leaders to Follow On Twitter, which is also a great hub for finding disruptive real estate technology behind the brains of leaders in the industry. We’ve provided relevant B2B Real Estate Technology leaders on their list, along with some additions of our own (with links to reputable companies and organizations) below:

  1. Adam Neumann (@WeWorkAdam) – Co-Founder of WeWork (The We Company), a disruptive company that provides shared work spaces for technology startup subculture communities, and services for entrepreneurs, freelancers, startups, small businesses and large enterprises.
  2. Daniel Ceniceros (@connectdjc) – Founder and president of Connect Media, which connects people, information, and data for making commercial real estate deals easier to complete.
  3. Jonathan Wasserstrum (@jmwass) – CEO of TheSquareFoot, a full-service technology-based brokerage firm.
  4. Seth Williams (@retipsterseth) – Founder of REtipster, Seth provides insight into technology, trends, and strategies.
  5. Dennis Fassett (@dennisfassett) – Real estate investor who shares information about crowdfunding platforms and more.
  6. Jeff Finn (@jeff_finn) – CEO of Realnex who is currently working with partners to build a fully integrated and holistic technological solution for professionals in the real estate arena.
  7. Ash Zandieh (@AZandieh) – Founder of RE:Tech who is working on Falkon, a real estate tech solution via a free iOS app.
  8. Pierce Neinken (@Pierce9ken) – Founder of CREtech and industry leader on emerging and innovative technologies.
  9. Ben & Dan Miller (@BenMillerise and @dan__miller) – Co-founders of Fundrise, which provides access to investment opportunities through a simple transparent platform.
  10. Richard Sarkis (@richsarkis) – CEO of Reonomy who is revolutionizing the real estate industry through a sites research platform.
  11. Riggs Kubiak (@RiggsKubiak) – Founder of Honest Buildings, an automated procurement workflow and bid management platform used by building owners.

Key Venture Capitalists

Behind every great idea is a group of investors who believed in the mission of the business. Pitchbook released a great article detailing the 14 most active VC investors in US real estate tech since 2008 (complete with deal counts) utilizing their reputable data. As their data shows, VC investment in real estate tech started to boom in 2014, and it hasn’t slowed down since. Deal count has gone up every year since then, and this year is on pace for a decade-high total.

We’ve compiled a list of other major believers in Real Estate Tech; here are our findings:

Consider searching through theses companies’ partners and portfolios, as you’ll find even more information about transformative investors and companies. We hope to continue to add findings to this list as major investments are made.

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