The documents were filed Tuesday with the U.S. Securities and Exchange Commission (SEC), and indicate the New York-based firm is trying to raise its largest fund yet. Metaprop’s second fund, raised last year, added up to $40 million and its first to $5 million, but this new fund of more than $100 million would more than double anything the company has done thus far.
Asked about the new fund, a Metaprop spokesperson told Inman they “cannot comment on any current fundraising activities but can confirm a form was filed.” Neither the company nor the SEC documents gave any indication when the firm might finish raising the $100 million or how it might ultimately invest that money.
However, in the past Metaprop has invested in an array of companies focused on everything from drone-based property inspections to artificial intelligence-enabled transactions to property management technology. The firm’s current portfolio includes pop-up hotel startup WhyHotel, appraisal firm Bowery, title company Spruce and many others.
Metaprop is also currently accepting applications for a startup accelerator program designed for “early stage real estate technology companies.” The program is scheduled to take place this fall at Columbia University.
Given that track record, then, it seems all but certain the $100 million fund will also be used to invest in property technology, or “proptech,” startups.
After launching its $40 million fund last year, MetaProp partner Zak Schwarzman told Inman that the company was embarking on “the next chapter in our ability to help grow the next generation of emerging real estate and property technology companies.”
Schwarzman told Inman Thursday that going forward he sees technology that deals with construction and affordable housing as some of the most fruitful areas for investment. He explained that construction has been slow to adopt new technologies compared to other sectors, while housing costs could be addressed via prefabrication and modular building innovations.
“You can attack it from a bunch of different angles, there’s no one size fits all,” he added. “There’s no shortage of opportunity.”
Metaprop’s perennial fundraising rounds also come amid a flood of capital into the real estate industry. The cash is flowing from high profile mega funds such as Softbank, among other big names, but a multitude of smaller venture capital firms are also backing a dizzying array of startups that want to upend real estate.
Update: This post was updated after publication with additional comments from MetaProp partner Zak Schwarzman.
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