Proptech VC Investments Sees 152.7% Year-over-Year Increase from 2018 to 2019
Last year was the best year in the PropTech sector ever. Venture capital investment shot up to record highs, hitting $14B in the first half of the year, totaling $31.6B billion by the end of the year. That’s a 152.7% year-over-year increase over 2018’s $9.6B deal volume. Even more interesting is how much the deal volume increased. Total deal volume grew by nearly 3.7% to 528 from 509 in 2019. Deals are also getting bigger, the median deal size increased by 172.9% from $3.75 million in 2018 to $10.22 million in 2019, according to CREtech’s 2019 year-end report.
What do all those numbers mean? That proptech is here to stay. For the past few years, proptech has been in its early stages, fundraising and innovating with small teams in hubs like Silicon Valley and New York. Last year was an inflection point for proptech. Companies are finally settling on revenue models, investors are piling in, and proptech products and services are going mainstream.
Developers, landlords and property managers are taking note. As each party struggles to adapt to increasing government regulations and rising energy prices, they are turning to smart building technology offered by the proptech sector. At the current pace, it won’t be long before the proptech sector breaks its own investment records again.
Read the full report: https://www.cretech.com/product/cretech-2019-end-year-report
