Honest Buildings raises $5M, partners with Milstein Cos.

Investors have pumped in more than $17M in the platform to date

TRD New York /
Jun.June 03, 2015 11:00 PM

Honest Buildings, an operations and construction management platform for landlords, raised $5 million in a new A-2 funding round led by Circle Ventures, the Milstein Cos.’ venture arm, The Real Deal has learned. As part of the deal, Milstein and Honest Buildings also formed a strategic partnership.

With the new round, the firm has raised a total of $17 million from its investors, making it one of the richest real estate tech startups. Its backers include brothers Jared Kushner, who sits on the company’s board, and Joshua Kushner, whose venture firm Thrive Capital invested in the startup.

“With trillions of dollars spent on construction and building improvements annually, we see an untapped opportunity to realize significant savings and efficiencies by harnessing the power of data and information to enable better decision making,” Howard Milstein, CEO of Milstein Cos. and Emigrant Bank, said in a statement.

Honest Buildings was founded by Riggs Kubiak in 2012, initially as a sort of “LinkedIn for real estate” to connect developers and landlords with engineers, architects and contractors. This April, the platform relaunched with a new focus. It is now primarily a tool for building owners and developers to manage and solicit bids from contractors and oversee management and construction costs across their portfolios – although the marketplace still exists. In essence, it allows landlords to manage costs throughout a portfolio in a way akin to how Hightower or VTS allow landlords to manage leasing.

The firm counts WeWork, Kushner Companies, Equinox, Benchmark Real Estate Group and Madison Realty Capital among its clients, and claims to have had its hands in $600 million worth of deals.

“Our new partnership with Circle Ventures and the Milstein family is a strategic alliance that will help to accelerate our growth with owners, developers and lenders,” Kubiak said.


Related Articles

arrow_forward_ios
Eric Gordon

Eric Gordon on the evolution of the residential data game — and how to stay competitive in the new world

Big Tech locations in NYC

MAP: Here’s a look at all the Big Tech locations in NYC

What will proptech look like in 2019 and beyond?

From left: RealPlus' Eric Gordon, Corcoran's Pam Liebman, Halstead's Diane Ramirez, Douglas Elliman's Howard Lorber and Brown Harris Stevens' Bess Freedman (Credit: Eric Gordon by Emily Assiran, Getty Images, Halstead, BHS, iStock)

Terra sells part of RealPlus stake to Corcoran and Elliman

“I can talk about erections all day”: NAR tech consultant’s bizarre fireside chat

Fears about privacy and Big Brother-like tactics in real estate are taking hold

John Burger: how tech makes real estate “more professional”

Elegran founder and CEO Michael Rossi, and a segment of the domain registry history for timewarnercentercondos.com

Elegran revealed as creator of fake building websites

arrow_forward_ios