UPDATED, 12:19 p.m., March 25: Tishman Speyer has invested plenty of its own capital into proptech. Now the developer will help others, including its own investors, put money to work in the field.
The firm said Thursday that it has rounded up $100 million for its first proptech fund, with major commitments from the National Pension Service of Korea — the world’s third largest public pension fund — and the Investment Management Corporation of Ontario, or IMCO.
Other commitments came from domestic and international investors, including family offices and high-net-worth individuals, a spokesperson for Tishman Speyer said.
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The company is still raising capital for the fund, and aims to hit the $150 million mark. Demand from Tishman’s own investor base prompted its launch, said Jenny Wong, who leads its proptech platform.
“Real estate is not typically thought of as being on the cutting edge of innovation,” Wong said. “But we feel like we’re in the initial stages of a big disruption. And the industry itself is accelerating its adoption of technology.”
The Tishman Speyer Proptech Venture Fund will target early-stage companies with “proven technologies and disruptive business models designed to improve how residents, customers, brokers, investors, lenders, operators and owners interact with and experience real estate,” according to a release.
Construction-tech also will be a focus, Wong said.
Since 2017, Tishman has made investments in 19 proptechs, including OpenSpace, VTS, Agora, Monograph and Blank Street. Last year, Tishman helped take public the smart lock proptech Latch via a merger with TS Innovation Acquisitions, a SPAC it sponsored.
Proptech investment surged during the pandemic. CB Insights estimated that $9.5 billion flowed into the sector from January 2021 to mid-November, a record.
This story was updated with revised figures for proptech investment.