Fifth Wall to launch proptech SPAC

Los Angeles VC firm has $1B under management

National /
Jan.January 06, 2021 12:30 PM
Fifth Wall’s Brendan Wallace and Brad Greiwe (Fifth Wall, iStock)

Fifth Wall’s Brendan Wallace and Brad Greiwe (Fifth Wall, iStock)

Fifth Wall, a prolific proptech investor that has backed VTS, States Title and Industrious, is joining the SPAC craze.

The Los Angeles-based firm, which is already the best-funded proptech VC outfit, is raising money for a blank-check company that could take some of its portfolio companies public.

Fifth Wall hired underwriters for the special purpose acquisition company, which could go public this quarter, reported Bloomberg. The size of the SPAC was not disclosed.

Fifth Wall declined to comment.

Launched in 2016, Fifth Wall was launched by Blackstone Group alumni Brad Greiwe and Brendan Wallace. It has $1 billion under management and has backed companies including Opendoor, States Title, VTS, Industrious and Smart Rent.

After raising a $212 million inaugural fund in 2017, Fifth Wall closed a $503 million proptech fund — the largest of its kind — in July 2019. It has since closed a $100 million retail fund and is raising a $200 million carbon impact fund and $118 million European proptech fund.

Opendoor went public last month in a SPAC deal. SEC filings show Fifth Wall’s investment grew by a multiple of seven, generating more than $600 million — on paper.

SPACs raise money from investors and then go public. Last year, 248 SPACs were formed and raised $83 billion. The year before, 59 SPACs were formed and raised $13.6 billion.

In addition to Fifth Wall, other proptech-focused SPACs include Tishman Speyer’s TS Innovation Acquisitions and PropTech Investment Corp. II, formed by Tom Hennessey and Joe Beck. Hennessy and Beck’s first SPAC merged last month with home-services startup Porch.com.

[Bloomberg] — E.B. Solomont






    Related Articles

    arrow_forward_ios
    CoStar's Andy Florance and CoreLogic’s Frank D. Martell (Photos via VCU; Getty; iStock)
    CoStar closes in on CoreLogic
    CoStar closes in on CoreLogic
    Fifth Wall's Brendan Wallace (right) and Andriy Mykhaylovskyy (Fifth Wall; iStock)
    Fifth Wall targets $250M for blank-check firm
    Fifth Wall targets $250M for blank-check firm
    (iStock)
    Pit stop: How gas stations as a real estate asset class are being disrupted
    Pit stop: How gas stations as a real estate asset class are being disrupted
    From left: American Express CEO Kenneth Chenault, Joshua Kushner, Richard LeFrak, Softbank CEO Masayoshi Son, Miki Naftali and Salesforce CEO Marc Benioff (Getty)
    Compass’ IPO means payday for these investors
    Compass’ IPO means payday for these investors
    From left: Lionheart's Ophir Sternberg, Fifth Wall's Brendan Wallace, Chamath Palihapitiya, Supernova Partners' Spencer Rascoff and Proptech Acquisition II's Tom Hennessy (Getty, LinkedIn, iStock)
    These blank-check firms are courting proptech deals
    These blank-check firms are courting proptech deals
    Costar CEO Andy Florance and RentPath's Dhiren Fonseca (Photos via CoStar on YouTube; Twitter)
    CoStar fights $60M break-up fee after scuttled RentPath deal
    CoStar fights $60M break-up fee after scuttled RentPath deal
    Clockwise from left: Softbank CEO Masayoshi Son, Social Capital CEO Chamath Palihapitiya, Opendoor CEO Eric Wu, Founders Fund partner Keith Rabois and Access Industries chairman Len Blavatnik (Getty; Opendoor; Founders Fund)
    Here are the big winners from Opendoor’s IPO
    Here are the big winners from Opendoor’s IPO
    The “office-pocalypse” might spark the great repurposing
    The “office-pocalypse” might spark the great repurposing
    The “office-pocalypse” might spark the great repurposing
    arrow_forward_ios

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

    Loading...