Property management firm Home365 closed a $16.3 million funding round led by Canadian magnate Alan Greenberg’s venture capital fund.
The Santa Clara, California-based startup secured the funding from Greenberg’s Greensoil PropTech Ventures and from existing investors including Eyal Ofer’s O.G. Tech, Verizon Ventures, Lool Ventures and North First Ventures.
Home365 also announced it has acquired SlateHouse Property Management and Realty. Through that deal it will manage 7,000 units, mostly smaller or medium-sized rentals.
The fundraise is the latest sign of the investment pouring into the proptech space, which seeks to modernize tech-averse sectors of real estate such as construction or property management.
Home365 automates the property management business through its platform. The company says it can predict maintenance, repairs and other property issues along with a property’s monthly operating income. It charges a fixed monthly fee.
Its pitch is to make investing in real estate more passive for landlords by cutting down on constant, unplanned maintenance issues.
Daniel Shaked, Home365’s founder and CEO, said the platform can also provide investors with data on a building’s operating expenses.
“One of the major problems that you have with the performance of rentals is what happens after you buy,” said Shaked. “That’s the unique part of what we are doing: We are able to predict various events for a specific asset.”
He said the funding will allow the company to improve its products and expand further into the Sunbelt region.
Home365 also has a 40-agent realty division that facilitates the buying and selling of investment properties. It operates across six states with offices in 14 major metro areas including Las Vegas, Atlanta, Philadelphia, Pittsburgh, Trenton and Baltimore.
Gideon Soesman, a co-founder of Greensoil Proptech Ventures, said the firm is “looking at Home365 to become a consolidator” and the company could start acquiring more property-management firms similar to SlateHouse.
Greensoil Proptech Ventures, founded in 2015, previously invested in construction tech company Procore and Dealpath, a deal-management startup. The company announced the launch of a $100 million proptech fund earlier this year.