SoftBank deploys $865M into construction startup Katerra

The Japanese conglomerate is bullish on the tech startup's future

New York /
Jan.January 24, 2018 04:30 PM

Softbank’s Masayoshi Son and Katerra’s Michael Marks (Credit: Getty Images and Katerra)

SoftBank’s latest investment in real estate tech comes in the form of an $865 million infusion into Katerra, the one-stop construction shop.

SoftBank, the Japanese conglomerate, deployed the cash through its $100 billion Vision Fund.

Katerra will use the proceeds to expand its manufacturing operation — including adding new factories — and speed up deployment of its customer platform, in addition to research and development, according to a company release.

Rapidly expanding, the three-year-old Katerra said it has more than $1.3 billion in bookings for new construction contracts in multifamily, student housing and hospitality.

The company designs and builds its projects, sources its materials, and manufactures its own components at its Phoenix, Arizona, factory, according to the New York Times.

Katerra has a “roadmap in place” to expand its manufacturing outfit, and already broke ground on a timber factory in Washington state, according to a news release.

Former Flextronics International CEO Michael Marks founded the company and is its chairman. Nearly all of Katerra’s business until the middle part of last year came from Wolff Company, a real estate-focused private equity company run by Katerra co-founder Fritz Wolff, according to the Wall Street Journal.


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
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
MAP: Here’s a look at all the Big Tech locations in NYC
What will proptech look like in 2019 and beyond?
What will proptech look like in 2019 and beyond?
What will proptech look like in 2019 and beyond?
Mayor Bill de Blasio (Getty, iStock)
NYC to revive $17B in public construction projects
NYC to revive $17B in public construction projects
Homebuilding is largely responsible for the increase in construction spending. (Getty / Photo Illustration for The Real Deal)
Construction spending hits new record in January
Construction spending hits new record in January
Softbank CEO Masayoshi Son and Adam Neumann (Getty/Illustration by Kevin Rebong for The Real Deal)
Adam Neumann, SoftBank near settlement agreement
Adam Neumann, SoftBank near settlement agreement
133 East Clarke Place (Google Maps, Getty)
Elevator mechanic killed at Bronx building
Elevator mechanic killed at Bronx building
(iStock/Illustration by Kevin Rebong for The Real Deal)
Housing starts fall for first time since August
Housing starts fall for first time since August
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...