Smart-lock startup Level Home buys Dwelo, raises $100M
Company’s first acquisition, Series C raise to drive expansion in multifamily arena
Level Home, a startup that designs smart locks that look like “dumb” ones, acquired the device management platform Dwelo, with plans to expand in the multifamily arena.
The newly combined company raised $100 million in a Series C round led by Cox Communications to advance what amounts to a vertical integration of the business: high-tech access hardware powered by comprehensive home management software.
Walmart also participated in the round, which brings Level Home’s funding so far to $171 million.
Level, founded in 2016, originally focused its consumer hardware business on the single-family market, but began moving into apartments a couple of years ago. The company saw an integrated hardware-software product as a way to distinguish its offering in the crowded smart-access field, John Martin, co-founder and CEO of Level, said in an interview.
“We’re going to go after all of residential,” Martin said.
While much in-home smart tech has concentrated on upscale new developments, Level and Dwelo are focused on the vast middle market — garden-style apartment properties with up to 300 units that comprise the bulk of multifamily in the U.S. Level’s leadership touts its products’ retrofit capabilities.
Dwelo’s platform, geared for apartment owners and managers, allows for the control of a range of smart devices within a building. The combination will facilitate new, high-demand functions like self-touring and package management and delivery, Dwelo CEO Mike Rovito said.
“The multifamily space is the arena where a lot of the potential for smart technology is actually beginning to be realized,” he said.
Rovito will serve as president of the combined company, while Martin will remain CEO.
The Dwelo deal is Level Home’s first acquisition. Proptech is on track for a record year in fundraising and M&A, according to the research firm Unissu.